natural gas production cost
Posted on Tuesday, March 10, 2009 in Uncategorized
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what is the cost of production of natural gas?
These are rough numbers.
The average cost of finding and developing a gas reserve last yr was around $3 per mmbtu. Average operating costs were probably around $1 per mmbtu (excl taxes). So the cost of production is around $4. However, to earn a return on your investment, you probably need to make 1.5-2x that number.
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