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421 bytes added ,  14:51, 4 March 2014
Line 189: Line 189:  
| '''Totals''' || '''680.632''' || '''1101.931''' || '''11991.572''' || '''7225.000''' || '''4766.572''' || '''1131.851''' || '''3634.721''' ||  || '''2729.760''' || || '''6859.396'''
 
| '''Totals''' || '''680.632''' || '''1101.931''' || '''11991.572''' || '''7225.000''' || '''4766.572''' || '''1131.851''' || '''3634.721''' ||  || '''2729.760''' || || '''6859.396'''
 
|}
 
|}
 +
<sub>'''Assumptions for Example Multiwell Extension Project'''</sub><br>
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<sub>NRI = 0.875</sub><br>
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<sub>Wellhead tax on oil and gas revenue is 8%</sub><br>
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<sub>Annual operating cost is $24,000/well. Note in the last four years the operating costs are not a multiple of $24,000. This is because the typical well produces only a fraction of a year in the eighth year.</sub><br>
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<sub>Incremental tax rate is 34%</sub><br>
    
Since the project has a longer life than the example development well, the results are summarized in a slightly different format. [[:Image:Charles-l-vavra-john-g-kaldi-robert-m-sneider_capillary-pressure_3.jpg|Table 4]] presents the production, investment, and tax assumptions for the multiwell extension project.
 
Since the project has a longer life than the example development well, the results are summarized in a slightly different format. [[:Image:Charles-l-vavra-john-g-kaldi-robert-m-sneider_capillary-pressure_3.jpg|Table 4]] presents the production, investment, and tax assumptions for the multiwell extension project.

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