Revenue Statement vs. PUN


#1

Two new wells (different operators) in my section so I was interested in researching what I could about the wells. I found the Production Unit Details (PUN) for the two wells. What is interesting is that the PUN on one well is reporting production of natural gas and no oil. However on the revenue statement it shows a high percentage of oil and very little gas. On the other well I have not received the revenue statement but the PUN shows both oil and gas but the operator says it is just a gas well. I will get the details on it later in the month.

Any idea on why these would not match?


#2

Many things could be cause:

The OTC data often will lag several months compared to your operator or purchaser revenue statements.

The products go to different markets. We see different compaines take the responsibility of the reporting. The oil purchaser, the oil transporter, the gas mid stream partner, the well operator, plant products purchaser, etc. It depends on the operator, and in many cases a operator may report differently based on location. In some cases, the operation may schedule one transportation company for several months because of the massive initial volume. The move to another market or transport company. These reports may be delivered in different ways at different times. Because of that, a months reported production of various products may show up at various times.

The OTC (or the report submitted) May have made a mistake when entering the data. It is not uncommon to see corrections.

“Just a gas well”
Gas well is a classification of a greater than 15,000:1 gas to oil ratio. That may be what they are referring to. But often we see the “gas” wells produce oil.
The operator may even be referring to a gas well that produces large volumes of condensate which is sold as oil.