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Facility Operating Cost Example
Example - 1 well (Well #1) flowing into a facility (Facility #1):
Well #1 Settings:
- Daily Rate – 100 e3m3/day.
- WI – 50%
Facility #1 Settings:
- Operating Costs - $20/e3m3
- Processing Fees - $25/e3m3
- WI – 100%
- "Also Add All Local Facility Operating Costs As Processing Fees " not checked
- "Generate Process Fee Revenue at this Facility" - checked 
Results:
- Well #1 will incur a Processing Fee Expense of $2,500/day ($1,250/day on a WI basis)
- Facility #1 will recognize $2,500/day in revenue and $2,000/day in operating costs for a net of $500/day on both a gross and working interest basis.
See also