Desert Mountain Energy Corp V.DME

1.9 BCF calculation

[tylerod1]

Please someone correct me if i'm wrong but here's the math i came up with. 

1.9 BFC for 2/14 zones = 1,900,000 MCF

1,900,000 MCF x 1.1% = 20,900 MCF

20,900 MCF x 269$ per MCF = $5,622,000


For shits and giggles let's assume the BCF extrapolates for all 14 zones.   That puts the well @ $39,354,700

I used the crude MCF price so i would expect much better gains once processed.

[Buyhigheatchips]

That's how I calculated except I went for it and used $1000 MCF to get $20M for those two zones.  

[Bertie20]

One thing that has been partially overlooked amid the slightly disappointing result yesterday was that the well had excellent pressures. "Bottom hole pressures within helium bearing zones, varied with depth, from a low of 953#psi to a high of 2,349#psi." That's excellent. In comparison, well 1 had Initial shut-in pressure was 900 psi and through the multi-choke flow test

[tylerod1]

I'm new to gas driliing. Does the high pressure for the 2 zones tested make it more likely the other 12 zones also produce comparable #'s?   Or should we expect decreased pressure and BCF? 

[GoldenArm]

Good luck getting back in....cheap

[tylerod1]

I'm curious to know the expected life cycle of 1.9 BCF, how long will it take to pump out and process it? 

[Fredo51545]

Probably take about 12 years to produce. But, as pressure declines, the next deepest zone can be brought online to co mingle output once pressures equalize. And so on. So the well, with 14 zones has a lot more gross gas than 1.9 BCF but production profile and timing are highly uncertain to  outdsiders like me. It would add a lot of present value if the state would allow downspacing to 80 or