|
Deep Water Oil |
|
|
Applicable |
($/bbl) |
|
Oil Price Threshold |
Actual Prices |
|
Calendar |
Annual Inflation |
For leases issued in Sales held in: |
Average NYMEX |
|
Year |
Rate |
1996, 1997, 2000 and 2002-2003* |
2001 |
Nearby Delivery |
|
1994 |
|
$28.00 |
|
|
|
1995 |
2.2% |
$28.61 |
|
|
|
1996 |
1.9% |
$29.16 |
|
$21.99 |
|
1997 |
2.0% |
$29.73 |
|
$20.63 |
|
1998 |
1.2% |
$30.10 |
|
$14.43 |
|
1999 |
1.4% |
$30.52 |
|
$19.26 |
|
2000 |
2.3% |
$31.22 |
$28.00 |
$30.25 |
|
2001 |
2.2% |
$31.90 |
$28.61 |
$25.99 |
|
2002 |
1.2% |
$32.27 |
$28.95 |
$26.10 |
|
2003 |
1.8% |
$32.86 |
$29.48 |
$31.08 |
|
2004e |
3.2% |
$33.91 |
$30.41 |
|
|
NYMEX Year-to-Date 2004 Average |
|
|
$39.06 |
|
|
|
|
|
|
Oct - Dec Average Needed to Suspend Relief |
$18.45 |
$4.45 |
|
|
|
|
|
|
|
Estimated (e) Threshold Target Price Level |
$33.91 |
$30.41 |
|
|
|
|
|
|
|
Gap Between Threshold and Current Average |
-$5.15 |
-$8.65 |
|
|
|
|
|
*These thresholds also apply to Pre-Act leases with discretionary
deepwater royalty relief. However, these thresholds do not apply to
Eligible leases issued in Sales held in 1998 and 1999.
|
|
|
Deep Water Natural Gas |
|
|
Applicable |
($/MMBTU) |
|
Gas Price Threshold |
Actual Prices |
|
Calendar |
Annual Inflation |
For leases issued in Sales held in: |
Average NYMEX |
|
Year |
Rate |
1996, 1997, 2000 and 2002-2003* |
2001 |
Nearby Delivery |
|
1994 |
|
$3.50 |
|
|
|
1995 |
2.2% |
$3.58 |
|
|
|
1996 |
1.9% |
$3.65 |
|
$2.50 |
|
1997 |
2.0% |
$3.72 |
|
$2.42 |
|
1998 |
1.2% |
$3.76 |
|
$2.16 |
|
1999 |
1.4% |
$3.81 |
|
$2.31 |
|
2000 |
2.3% |
$3.90 |
$3.50 |
$4.33 |
|
2001 |
2.2% |
$3.99 |
$3.58 |
$4.06 |
|
2002 |
1.2% |
$4.03 |
$3.62 |
$3.36 |
|
2003 |
1.8% |
$4.11 |
$3.68 |
$5.49 |
|
2004e |
3.2% |
$4.24 |
$3.80 |
|
|
NYMEX Year-to-Date 2004 Average |
|
|
$5.81 |
|
|
|
|
|
|
Oct - Dec Average Needed to Suspend Relief |
$0.45 |
-$2.22 |
|
|
|
|
|
|
|
Estimated (e) Threshold Target Price Level |
$4.24 |
$3.80 |
|
|
|
|
|
|
|
Gap Between Threshold and Current Average |
-$1.56 |
-$2.01 |
|
|
|
|
|
*These thresholds also apply to Pre-Act leases with discretionary
deepwater royalty relief. However, these thresholds do not apply to
Eligible leases issued in Sales held in 1998 and 1999.
|
|
|
Shallow Water, Deep Natural
Gas (well depths >15,000 ft) |
|
|
Applicable |
($/MMBTU) |
|
Gas Price Threshold |
Actual Prices |
|
Calendar |
Annual Inflation |
For Sale 178 |
From Sales held
in 2001-2003** |
For deep gas regulation |
Average NYMEX |
|
Year |
Rate |
30 CFR 203 |
Nearby Delivery |
|
2000 |
|
$3.50 |
$5.00 |
|
$4.33 |
|
2001 |
2.2% |
$3.58 |
$5.11 |
|
$4.06 |
|
2002 |
1.2% |
$3.62 |
$5.17 |
|
$3.36 |
|
2003 |
1.8% |
$3.68 |
$5.26 |
|
$5.49 |
|
2004e |
3.2% |
$3.80 |
$5.43 |
$9.34 |
|
|
NYMEX Year-to-Date 2004 Average |
|
|
|
$5.81 |
|
|
|
|
|
|
|
Oct - Dec Average Needed to Suspend Relief |
-$2.22 |
$4.30 |
$19.95 |
|
|
|
|
|
|
|
|
Estimated (e) Threshold Target Price Level |
$3.80 |
$5.43 |
$9.34 |
|
|
|
|
|
|
|
|
Gap Between Threshold and Current Average |
-$2.01 |
-$0.38 |
$3.54 |
|
|
|
|
|
|
|
**Except Sale 178 |
| |
|
|
Notes: |
1. The price threshold is an estimate (e). |
| |
|
|
|
2. MMS provides notice when price thresholds are exceeded. Once a price
threshold violation determination is made, based on the most recent
inflation data at the time, any subsquent inflationary adjustments will
not affect the violation determination previously made for that year
regarding qualification for royalty relief.3. The calculation for the
year-to-date average consists of the 12 monthly averages, which each
month averages the NYMEX daily closing price. This average includes
holidays and weekends using the previous day closing average. |
| |
|
|
|
|
Sources: |
NYMEX - OIL WORLD |
|
|
|
www.oilnergy.com/1onymex.htm
|
|
|
www.oilnergy.com/1gnymex.htm
|
|
|
www.bea.doc.gov |
|
|
|
|
|
|
|
Updated: |
10/12/2004 |
|
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| |
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