Production taxes: stealthy killer of revenue

Journal Article · Mon Feb 07 00:00:00 EST 1983 · Oil Gas J.; (United States)

OSTI ID:6396856

Lohrenz, J; Dougherty, E L; Burzlaff, B H

A model of the rate of oil and gas production from a given piece of property in terms of the development cost and net operating revenues illustrates that high taxes and royalties diminish the optimal production rate and ultimately render valueless an otherwise potentially valuable productive property. The economic viability of a mineral prospect is much more sensitive to production taxes and royalties than to other factors affecting a prospect's value.

• Research Organization: Gulf Oil Exploration and Production, Oklahoma City, OK
• OSTI ID: 6396856
• Journal Information: Oil Gas J.; (United States), Vol. 81
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
03 NATURAL GAS
NATURAL GAS
PRODUCTION
NATURAL GAS INDUSTRY
INCOME
TAXES
PETROLEUM
PETROLEUM INDUSTRY
PROFITS
ENERGY SOURCES
FLUIDS
FOSSIL FUELS
FUEL GAS
FUELS
GAS FUELS
GASES
INDUSTRY
020700* - Petroleum- Economics
Industrial
& Business Aspects
030600 - Natural Gas- Economic
Industrial
& Business Aspects