Cost Justification
Not Considering the Security and
Surveillance or Operational Benefits, the cost is justified.
•Scenario # 1 – Low/Average
Well
–Well produces 1,000,000 MCF per day
–Well goes down for a single 12 hour period per
month
–Market rate of MCF = $7.00
–Loss of $3,500
•Scenario # 2 – High Producing
Well
–Well produces 3,000,000 MCF per day
–Well goes down for a single 12 hour period per
month
–Market rate of MCF = $7.00
–Loss of $10,500