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3-46. The production rate estimate for a well is 600 bopd from a depth of 4,000 feet. Given the following data, do you recommend a rod pump or an electric submersible pump installation? Your average investment opportunity rate is 12%. Assume Investment occurs at Time 0, Oper Costs occur at the end of each year (like an annuity), and Salvage Value occurs at the end of year 8. Oper Cost Life Life Salvage Investment / Year (years) Value Rod Pump $180,000 $30,000 8 $60,000 Subm Pump $126,000 $42,000 8 $20,000