PsiNearly as good, yes, but as I've said before, these wells...

Psi

Nearly as good, yes, but as I've said before, these wells probably cost about $5M each to drill and complete. 100bopd is only 36,500 per year, and at a $30/bbl margin that's only about a $1M per year.

So a simple calculation:

1 well @ 500bopd = $5M costs, $5M per year earnings.
5 wells @ 100bopd = $25M costs, $5M per year earnings.

Now what if your field depletes after 5 years? The first example (500bopd/well) is still economic, the second (100bopd/well) is not looking so good.


I have a problem with your figures what happened to the other $40 odds??