Wha does allowable mean?
I guess my title says it all lol what does the allowable mean on each well?
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Permalink Reply by Skip Peel - Mineral Consultant on -
The daily rate of oil or gas that a well is permitted by state authorities to produce during a given period.
http://sonlite.dnr.state.la.us/sundown/cart_prod/cart_con_glossofterm
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Permalink Reply by Les Bamburg on
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Lisa, technically it is the deliverability of gas well. in reality allowable does not mean much. In the far past when gas markets were limited the State used to prorate wells producing from a common pool based on their assigned allowables. Now operators produce most gas wells at a rate they deem prudent. Allowables are determined based on the gas well test rate but wells can be produced up to twice their monthly allowable.
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