Replies to This Discussion

Oil & Gas ProPermalink Reply by Skip Peel - Mineral Consultant on December 7, 2011 at 13:45

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

• ▶ Reply

Oil & Gas ProPermalink Reply by Les Bamburg on December 7, 2011 at 14:16

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. 

• ▶ Reply