RE:RE:RE:RE:RE:RE:RE:RE:Crunched q2 numbers 4 h2 forcast
if production drops capex per bbl shoots up (for surge) another thing that I didn't mention when talking about the nat gas breaking even at 4$ is because it's sharing the royalties on the oil bbls. So I see your point ... the gas IS profitable but in my calculations it's paying for extra royalties (same total income just counted different). When I had done sgy they had pumping costs of like 30$ (spread evenly over gas and oil) so that's like 5$ nat gas.... the gassy names have an advantage here because they pump way more quantity of lower priced barrels so pumping and royalties look very cheap per boe but because of volume it's usually opposite.