Note: Due to the fact that in many gas plays, such as the Marcellus Shale play, long term decline rates simply do not exist, so when calculating royalties do keep in mind that you are only producing "what-if" scenarios and not predictable results.
We are tracking several actual wells and encourage anyone with a producing well to contact us to share any production & decline data for any of the gas plays, that may help us to better simulate realistic scenarios. As we receive more data we will build a new royalty calculator around it.
We initially posted a quick calculator, but when data from wells began arriving, we found that it appears that a very large portion of the production of a well occurs in the first year and then declines proportionally over life of a well. When we get a better handle on production and decline rates, we will post our new royalty calculator.
If you would like to help us create a calculator that will provide calculations not just the Marcellus, but other gas plays as well, please contact us. Here is where some of you company and geo guys can really be an asset.
In the interim, PSU currently has two Royalty Calculators that can be used for a what-if royalty calculation scenario.