Okla. Admin. Code § 710:45-9-81.1

Current through Vol. 42, No. 7, December 16, 2024

Section 710:45-9-81.1 - Determination of average production volume and monthly average price of oil and gas

(a) Average production volume shall be determined based upon the lease classification, wherein only the primary product shall be used to determine the average production volume. For example, an oil lease that produced 2,789 barrels over 342 active production days during the calendar year would have an average volume of 8.16 barrels per day.

(b) Monthly average price of oil shall be determined by taking the gross value of oil produced during the calendar year divided by the gross volume of oil produced from the lease, based on a per-barrel measurement of forty-two (42) U.S. gallons of two hundred thirty-one (231) cubic inches per gallon, computed at a temperature of sixty (60) degrees Fahrenheit.

(c) Monthly average price of gas shall be determined by taking the gross value of natural gas produced during the calendar year divided by the gross volume of natural gas produced based on a measurement of one million (1,000,000) British thermal units (MMBtu).

Okla. Admin. Code § 710:45-9-81.1

Adopted by Oklahoma Register, Volume 40, Issue 22, August 1, 2023, eff. 8/11/2023