Indiana Man Operates Oil Well in Backyard, Producing Three Barrels of Crude a Day

Fox News ^ | 5/19/2008 | FoxNews

[Domandred]

SELMA, Ind.

[Domandred]

I wonder how much this guy will actually be able to sell his oil for. I figure at $100,000 to build and pulling $400 a day he should be able to pay off one rig in less then a year.

And it's on his property so...build more I say!

[SoldierDad]

Hmmm. Perhaps a new home business has been created (at least for those who have oil in their own property and own the mineral rights).

[meanie monster]

interesting

[jpl]

Once this gets out, Al Gore and the radical environmental psychopaths are sure to try to force this poor guy to shut his little rig down.

[Resolute Conservative]

Refine it and use it. Can you imagine the regulation nightmare of refining in your home?

[Rennes Templar]

Looks like one price that might come down is the cost of backyard oil rigs.

[norraad]

This will be the next cottage industry, there are untold thousands of wells in our country that were capped &/or abandoned in the last century when gasoline was free, and many have filled back up &/or re-pressurized in the meantime.

Now that it costs an arm & a leg to fill your gas tank, and drilling is more high tech., the home enthusiast has a new profitable hobby, yeah!

[Excellence]

Oil derrick by John Deere?

[Domandred]

the home enthusiast has a new profitable hobby, yeah!

Yea but I'd hit water a LONG time before I hit oil where I live.

[Empireoftheatom48]

Don’t worry some democrat will find a way to stop it.

[CJ Wolf]

You could bottle the water and sell it for almost just as much. lol

[AmericaUnited]

And don’t forget “Mr. Home HydroCarbon Cracker” units at Home Depot for $99...

[Rudder]

Why is this news?

I've got one, my neighbor down the road has one and my neighbor across the road has one--all gas-producing wells. There are about 2-3 per year being put in within 5 miles radius from my place.

[stockstrader]

Just like with the oil industry as a whole—the ‘environmentalists’ will be all over this guy like ‘stink on ****’!

[commonguymd]

More actually. Bottled water @ 1.49 X 4 = Rich!

[Joe 6-pack]

"This will be the next cottage industry...the home enthusiast has a new profitable hobby, yeah!

Just wait 'til they see my home grown supertanker for transporting the stuff!

[OKIEDOC]

There are lots of costs involved with keeping a small pumping unit like that working.

In many cases the cost of lifting the oil out of the formation is more than the oil is worth.

The paperwork involved is enough to drive a drunk to AA meetings.

Only three barrels a day is a risky investment.

I wonder what his allowable is from the government?

Did he own the mineral rights?

If not he's probably going to have to pay the owner at least 12.5% of the oil taken.

Makes for a good story but if he spills any oil or salt water on the property it's Katy bar the door for the environmental hazard people and law suits from neighbors.

If all goes well he might be able to pay off the debt plus interest in a few years, that is if the formation doesn’t give out.

[norraad]

When they first started in western New York & Pa. etc., they used to just float it down the river (oil floats on water).

[BuffaloJack]

And just how long with this enterprising capitalist be able to continue? I’ll bet some liberal (Democratic Socialist) with the EPA will cite him for storing toxic substances.

[norraad]

All very interesting points, if only the government helped the small producer (as the farm subs. help the farmer?).

Someone told me it's stack against the small producer right now due to years of influence by the big oil lobby ( big surprise ).

This is likely one of the many big stupid reasons we're in such a bind.