But as long as you’ve covered your sunk costs
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That tends to be the problem with an $8~10 million well.
I was going by the chart you posted here: http://www.freerepublic.com/focus/news/3229517/posts?page=30#30
If I’m following it correctly figuring $70-100/bbl, then those numbers indicate $23-33mm for the first year, falling to $11+mm in the second year and $4mm the third year.
I am not well versed in the economics of oil wells, but the first three years $43 million has to cover the costs along with some drywells, too. Then look at the out years you capture another $30-60mm. I mean there’s got to be some profit in there somewhere, right?