Dad's well just got on line for gas in July with around 2203 MCF sold. His RC did not have the gas included. I suspect that will be separate.
More than anything, I am curious on the value of gas. I have heard of widely varying prices. What are the factors that dictate the prices. On a similar website, I was following a thread that left me wondering even more. Pretty sure it got clouded from people kabickering.
Thanks for any info!
KJ, the price does fluctuate and then there is the matter of the quality of the gas. From what I have seen, ND gas is of high quality and very rich in liquids, the problem is that it is so far from where it is wanted. Over 1 Billion dollars worth of rich valuable ND gas was flared off last year and that was at dry gas values, Henry Hub price. My gas sold for $5.38 to $6.39 per Mcf in June and July and I have seen it sell for more than $9 in the past. The payment for gas can be 3 months after it is sold. I hope this helps
About the flaring of gas, the Director of the NDIC, Helms is often called a pyromaniac or the waster in chief. Helms says that flaring is not waste simply because the value of the oil produced is so much more than the gas. I guess that makes sense if you are in the position to tell people to keep the change whenever you buy anything but I don't think that fits the real world.
North Dakota politicians are drunk on oil and tax money, 11.5% combined production and severance tax and 3%-4% state income tax, the state pockets more money from many peoples wells than they do.