Navigation:  Consolidations > Input parameters > Economic cut-offs

As in prospect calculations, an economic cut-off allows you to define minimum amounts of recoverable oil and gas which must be discovered for a field (or group of fields) to be economic. You may define a cut-off for oil or gas or both. If either cut-off exceeded, the result is an "economic success". (See Prospects: economic cut-offs.)

Additionally in consolidations you have the option to apply economic cut-offs to the input prospects and consolidations.

Which to use (and you can use both) depends entirely on what you are consolidating. If you are consolidating different horizons in a well, the economic cut-off would be applied to the final result. But if you are consolidating fields or prospects which share no cost, then normally you would consolidate the economic numbers rather than the technical; so you'd use the economic criteria in the input files, and not apply any to the final distribution.

In some cases it will be a combination of both, and at that point you will probably need to make a few compromises. There is no easy solution and advanced economic modelling software may be your only hope.

The liquids phase used can be either recoverable oil, condensate liquids, total recoverable oil or BOE. The gas phase can be recoverable gas, gas from condensate or total recoverable gas.

The reserve used in the calculations are the whole trap numbers. When you are looking at a results graph, the cut-off is shown as a vertical line. If the graph is showing whole trap reserves, the line will be in the right place. If you are showing "company share" data, the line will still be in the right place, but it will be at the cut-off times company share ("NRI").