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PA Bulletin, Doc. No. 17-215

NOTICES

PENNSYLVANIA PUBLIC UTILITY COMMISSION

Act 13 of 2012; Producer Fees for Calendar Year 2016

[47 Pa.B. 805]
[Saturday, February 4, 2017]

Average Annual Price of Natural Gas for
 calendar Year 2016:(1)		$2.46
Consumer Price Index, Urban Consumers,
 PA, NJ, DE and MD:(2)		1.7%

Number of Spud Wells for Calendar Years
2015 and 2016

2015 2016
Number of wells spud: 784484

 CPI adjustment to spud well fees is not applicable in 2016. See 58 Pa.C.S. § 2302(c) (relating to unconventional gas well fee).

Unconventional Gas Well Fees for Calendar 2016

Year of Well(3) Horizontal Vertical—Producing
Year 1 $45,300 $9,100
Year 2 $35,200 $7,000
Year 3 $30,200 $6,000
Year 4 thru 10 $15,100 $3,000

 (1) Source: www.directenergy.com

 (2) Source: www.bls.gov

 (3) Horizontal unconventional gas wells pay the yearly fee upon spudding plus 2 subsequent years. Fees after the first 3 years are based on production levels as defined in 58 Pa.C.S. § 2302(b.1). Vertical well producing gas level above 90,000 cubic feet average in any given month during the current year are subject to 20% of the applicable horizontal well fee.

ROSEMARY CHIAVETTA, 
Secretary

[Pa.B. Doc. No. 17-215. Filed for public inspection February 3, 2017, 9:00 a.m.]


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