landowner

BPO, APO1, APO2, OMGWTFBBQ?

OK, I get that BPO=Before Pay Out and APO=After Pay Out.

What does that really mean?

My division order lists

BPO = x
APO1 = x
APO2 = 0

The percentages seem right, but what's the meaning of before vs. after payout?  BPO and APO1 are the same in my case.

And what's APO1 vs. APO2?

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Oil & Gas ProPermalink Reply by awharris on October 1, 2010 at 8:25
Yep, in a nutshell...but I would amend that to "the costs of drilling, completion and SOMETIMES lease operating and other ongoing expenses".

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