The total acreage covered
by your lease.
A production unit
is a pooled group of properties sharing production
results. If your property is not pooled, make this
number equal to your acreage. This calculator assumes
one well per production unit. (however, when a property
is fully developed, generally every 80-100 acres can
have one horizontal well, thus multiplying your royalties
based on the number of wells in your production unit)
The royalty percentage
paid to you.
is simply a calculation of your share of the production
unit's total royalty value.
Price of natural gas
is current market value. See
current natural gas prices
is the daily well output. On average, horizontal wells
output between 3.5 to 5 Mmcfe/day. Vertical wells
generally average 1 Mmcfe/day.