Natural Gas Lesson From the Field

1 year ago
1

When I worked for a driller several years ago, I learned a valuable lesson.
When an oil well is producing, a lot of times you will also have natural gas come up with it.
If you don’t have pipelines to sell your gas into then you have about 2 options.
Vent the gas into the air or burn the gas, which is called flaring.
If you don’t move the gas out of the well, the gas gets stuck in the top.
Before you know it, the gas will create so much pressure it will prevent the oil from coming out.
This is called a gas lock.
If no oil or gas is coming out of the well then no one is making any money.
So, if you are looking to buy mineral property, make sure you are in an area with plenty of pipelines and take-away capacity.

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This video is meant for educational or entertainment purposes only. This video is not a solicitation. I am not a lawyer, CPA or financial advisor and I am not giving legal, financial or tax advice.

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