Hello! I need to try to create what potential revenue for 2024 for wells that we have a non-operating working interest in. The last check we received was in 2023.
Could someone help me figure out what information I need to try to find to try to determine what this would have been if we had been paid? Information I have available to me:
-2023 well production pulled from Drilling Info on the wells we have an interest in
-WI decimal
-interest in the assignment
I am just not sure I have what I need to be able to re-create this formula? Basically, I have the info for 2023 so how do I back into the formula used to help me figure this out for 2024? THanks.
Exactly what are you trying to do? If you have non-op WI, then you should be receiving statements from the operator. Are your JIB costs are being netted out of revenues or do you pay the JIB directly? If there was a large unpaid JIB, then you may be in a net negative position. Ask the operator for the summary of revenue and JIB for 2024. And ask for your 1099-NEC for the wells.
The original operator assigned its interests to a new operator and the operator stopped paying on the gas but billing under the JIB. I need to come up with a number that represents three years of revenue including and I’d like to figure out what they would have been in 2024 had they been paying us. If I have the WI and 2024 production numbers from drilling info, am I able to re-create this or would I need more info (e.g. what the gas was marketed and sold for? and is this info available on Drilling info. THanks. JIBS are netted out of revenues and I have all the info for 2023. Just need to recreate the number for 2024 if I can.
Texas CONG where Texas oil and gas sales are reported. Lease Drop - Natural Gas on left side. Use RRC lease # (6 digits for gas lease and add leading 0 to the 5 digit oil lease). Beginning and ending period are the production months. Keep in mind that usually the Nov & Dec production months are reported on checks issued in Jan and Feb of following year. Select the county as same lease numbers are used in multiple RRC districts. CONG - Cookies are required for this application.
As a quantitative researcher and investor, I can tell you that you can guess it, but your gas realization will certainly be basin specific. For instance, Waha (Permian) pricing was negative this year.
There are free options online-- I think AEGIS Hedging, Brynne Kelly, and the EIA are good resources on getting local gas prices.
Depending on what your GOR is, you may not like the results very much for FY 2024.