Oil and Gas Glossary: A Terms
7 oil and gas terms start with the letter A. Each one is defined below, in alphabetical order.
Abandoned Well
A well no longer in use, whether dry, inoperable or no longer productive.
Acre-Feet
Unit of volume; one acre of producing formation one foot thick. One acre-foot equals 7,758 barrels, 325,829 gallons or 43,560 cubic feet.
Aggregate Pay Laws
The various state laws which state that oil and gas revenue distributors do not have to issue a check on a monthly basis unless the dollar amount owed reaches a minimum threshold. In most states, this is either $25 or $100. At minimum, a check must be issued each tax year, regardless of how small the amount owed.
Allowable, Oil Allowable, Gas Allowable
Amount of oil or gas which a well, leasehold or field may produce per month under proration orders of the Texas Railroad Commission (RRC).
API Number
A unique identifying number for all oil and gas wells drilled in the U.S. The system was developed by the American Petroleum Institute.
Assignment
The legal instrument whereby Oil and Gas Leases, Royalty Interests, or Overriding Royalty interests are assigned or conveyed.
Associate Reservoir
Oil and gas reservoir with a gas cap. Gas production from these reservoirs is generally restricted in order to preserve the gas cap energy, thereby increasing ultimate recovery.