August 10, 2021

DJ Niobrara full-cycle costs at West Texas Intermediate (WTI) range from a low of 43.00 USD/Bbl for wells with an Initial Productivity (IP) greater than 750 Bbl/d to a high of 260.00 USD/bbl for wells with an IP of under 150 Bbl/d.

Operating costs range from 8.80-10.25 USD/bbl  while royalties & taxes and overhead represent about 10.00 USD/bbl. F&D costs range from 12.00-145.00 USD/bbl and the 15% producer return ranges from 7.60-91.00 USD/bbl. The WTI differential is 4.50 USD/bbl.

Full-Cycle Cost Curve

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This chart shows the DJ Niobrara full-cycle cost curve at West Texas Intermediate (WTI).  Incorrys analysis shows that there is 3 B Bbl (billions of barrels) of oil resource available at below 50 USD/Bbl and an additional 5 B Bbl at 70 USD/Bbl.