Oil Production, stb Month 2006 2007 2008 2009 2010 1 2,399 1,882 1,6371,3341,151 2 2,0591,6211,2651,1771,028 3 1,808 1,536 1,3861,2081,151 4 1,6271,551 1,310|1,1911,075 5 1,6991,526 1,300 1,3701,081 6 1,575 1,553 1,2411,315983 7 1,618 1,5141,289 1,2681,037 8 1,660 1,428 1,299|1,312959 9 1,5751,320 1,240|1,224989 10 1,5381,5341,290 1,229897 11 1,5411,309 1,2401,202 1,044 12 1,702 1,474 1,348 1,229996 2. An oil well has produced consistently for the last five years. The monthly oil production for each year is given in the table below. It costs $3,000 per month to operate the well, the current oil price is $65/Stb, and the severance tax is 7.085% of the gross value. The well is not producing any associated gas. Compute the following: . The decline model parameters The EL based on 100% WI and 87.5% NRI The remaining oil reserves as of 1/1/2011 Production rate at the end of 2011 The remaining life of the well Ultimate oil recovery Production for 2011, 2012, and 2013 Generate the cash flow to the EL of the lease . . . Oil Production, stb Month 2006 2007 2008 2009 2010 1 2,399 1,882 1,6371,3341,151 2 2,0591,6211,2651,1771,028 3 1,808 1,536 1,3861,2081,151 4 1,6271,551 1,310|1,1911,075 5 1,6991,526 1,300 1,3701,081 6 1,575 1,553 1,2411,315983 7 1,618 1,5141,289 1,2681,037 8 1,660 1,428 1,299|1,312959 9 1,5751,320 1,240|1,224989 10 1,5381,5341,290 1,229897 11 1,5411,309 1,2401,202 1,044 12 1,702 1,474 1,348 1,229996 2. An oil well has produced consistently for the last five years. The monthly oil production for each year is given in the table below. It costs $3,000 per month to operate the well, the current oil price is $65/Stb, and the severance tax is 7.085% of the gross value. The well is not producing any associated gas. Compute the following: . The decline model parameters The EL based on 100% WI and 87.5% NRI The remaining oil reserves as of 1/1/2011 Production rate at the end of 2011 The remaining life of the well Ultimate oil recovery Production for 2011, 2012, and 2013 Generate the cash flow to the EL of the lease