HI I NEED A LITTLE HELP UNDERSTANDING MY DIVISON ORDER.... WHT IS INTREST IN TOTAL PRODUCTION 0.00000147 ... ROYALTY INTEREST THERE IS 769.39 ACRES.. IM IN 78.69 ...20% AND 1/5 SO WHAT COULD BE THE ESTIMATE CAN ANYONE HELP .... 91,421 OIL PRODUCTION AND 68,702 CASINGHEAD..
WOOTTON UNIT API # 42-177-32956 LEASE 17051 EOG RESOURCES
Dear Ms. Farrell,
I've written an oil and gas production economics program and took a look at your well.
If the decimal interest is correct, you are making about $1.00 per month or less on this well. For production months from July, 2013 through September, 2014, your gross share of production is estimated to be $14.50.
Out of that comes taxes and any costs that you are responsible. Severance tax on oil is 4.6% and on gas 7.5%.
The gas tax number can and should go down depending on what relief EOG seeks on tight gas production.
It appears that a year from now, the production will stabilize at about 20BOPD
Best,
Buddy Cotten