I have what should be an easy question. I keep generally up to date on things but have not kept up on some of the technical issues once I got my lease done ( I needed a break! )
Anyways, I think the company I signed with may put a pad on my land. I have seen 6 wells but they may only drill one I am told at 1st as they are trying to hold others by production ( essentially what I was told ).
I have seen numbers for various wells ( production ) and I assume that is for say one well ( ex 5 mmcf and well lets say is called 8H ). If 3 wells are drilled and one assumes the same production rate then it would be 15 mmcf and if 6 wells it may be say 30 mmcf correct/
And if you are attempting to determine royalties ( many variables I know, unit size, acres, royalty % etc ) then if you had 3 wells you would plug in your production as 15mmcf not 5 mmcf correct/
I should know this exactly but like I said I really have not kept up as I have wanted but since it appears drilling may occur then I like to make sure I understand things fully like I did during the leasing process.
Thank you for any advice. I understand royalties are hard to predict and the decrease can be rather fast but I at least want to understand the production variables that you have to plug in.
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