1. RAILROAD COMMISSION OF TEXAS Skim Oil/Condensate Report P-18 Kierra Pimpton

2. Class Description In the class today we will be discussing how to properly file the P-18 report, and when the report is due. The P-18 Skim Oil report is a monthly report that is filed by the operators of skimming facilities to notify the Railroad Commission of the amount of water and oil/condensate that was received and skimmed for the month.

3. The Skim Oil and Condensate Report (Form P-18’s) When do we file? Who needs to file? Purpose of filing.

4. The Skim Oil and Condensate Report (Form P-18’s)

7. May 2014 Every Drop Counts 1223 Main Street Austin, TX 78701 05 083197 Oil in the Water05-1234 Bexar County65432 5 miles from Nixon 10513 Form P-18

8. 54 5000 2000 7000 100 3 97 2 95 25 100 50 75 We Take & Deliver50 T-1 05-0987 Kierra Pimpton July 1, 2014 Production Department 512463-3383

9. 05-1234 05 GordonScrubber OilMaking Money12311975000 GordonDollar SignsDripper Company99880 2 97 25000

10. Every Drop Counts 1223 Main Street Austin, TX 78701 May 201405 083197 769841 / 029-22741 NEW Oil in the Water Bexar County 5 miles from Nixon New Form P-18

11. We love to drill Oliver Blue Real Deal Oil Company 123456 2 1200 We love to drill Forrest Real Deal Oil Company 749289 1 850 We love to drill slug Real Deal Oil Company 22547 3 2000 This is example of a correct P-18 Report Filing 3 34050

12. Unknown This report was sent in with unknown in the field and lease columns

13. Unacceptable Form P-18 13

14. Unacceptable Form P-18 518.87 48.21 8.21 20 60 518.87

15. Delinquent P-18’s P-18 was not received before the 15 th P-18 was out of balance P-18 had no signature P-18 had decimals, fractions or negative numbers P-18 had “unknowns” or missing information for section V Multiple P-18s were stapled together for different wells P-18 forms submitted were not previously approved by the RRC Verify the month/year reported, P-5 #, SS# & RRC ID#, format of the form, and the font sizes- which should be either Arial 10 or 11-12 point

16. Oil & Gas Imaged Records

19. Neubus Skim Oil Reports (P-18)

24. P-18 Terms Skim Hydrocarbons Allocation Tolerance Identifiable slug of liquid hydrocarbons Producing property

25. Facts Filing with no previous System Serial # Filing for a well taken over No longer operating or plugging wells

26. Questions??

27. Contact Information P-18 Production (512) 463-6726 ProductionReporting-Info@rrc.state.tx.us