Ala. Admin. Code r. 400-2-5-.08
Any oil well producing with a gas-oil ratio in excess of two thousand (2,000) cubic feet of gas per barrel of oil produced shall be allowed to produce daily only that volume of gas obtained by multiplying its daily oil allowable by two thousand (2,000) cubic feet. The gas volume thus obtained shall be known as the daily gas allowable of such well. The daily oil allowable of such well in barrels shall then be determined by dividing its daily gas allowable, obtained as herein provided, by its producing gas-oil ratio in cubic feet per barrel of oil produced. A well producing from the gas cap of an oil reservoir in which an oil well or wells are completed and producing shall, to the extent that it can produce without waste, be allowed to produce daily only that volume of gas and other hydrocarbons that under conditions of pressure and temperature existing in the reservoir from which produced is the equivalent in volume, under like pressure and temperature, to the oil and gas that would be produced daily from that oil well in the same reservoir producing the highest daily oil allowable if its gas-oil ratio were two thousand (2,000) cubic feet of gas per barrel of oil.
Author: State Oil and Gas Board
Ala. Admin. Code r. 400-2-5-.08
Statutory Authority:Code of Ala. 1975, §§ 9-17-1, etseq.