Costs and indices for domestic oil and gas field equipment and production operations 1994 through 1997

Abstract

This report presents estimated costs and cost indices for domestic oil and natural gas field equipment and production operations for 1994, 1995, 1996, and 1997. The costs of all equipment and services are those in effect during June of each year. The sums (aggregates) of the costs for representative leases by region, depth, and production rate were averaged and indexed. This provides a general measure of the increased or decreased costs from year to year for lease equipment and operations. These general measures do not capture changes in industry-wide costs exactly because of annual variations in the ratio of the total number of oil wells to the total number of gas wells. The detail provided in this report is unavailable elsewhere. The body of this report contains summary tables, and the appendices contain detailed tables. Price changes for oil and gas, changes in taxes on oil and gas revenues, and environmental factors (compliance costs and lease availability) have a significant impact on the number and cost of oil and gas wells drilled. These changes also impact the cost of oil and gas equipment and production operations.