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Technical definition of a "Producer"

Question asked by paula.waggoner Advocate on Feb 5, 2016
Latest reply on Feb 10, 2016 by paula.waggoner

Islin Munisteri I got a question about the technical definition of a producer.

 

Throughout my energy career, I have understood "producer" = "operator" = if your drilling the states you are required to have an operator's license issue by some type of government entity.  Honestly until about a year ago, I never questioned that.

 

So a couple times I have run across large landowners who refer to themselves when talking to industry professionals as "producers".  I suspect these landowners may have some working interests in their leases.  I know they are not the "operators" [could not find a license].  I have noticed they never use the term operator either.  Obviously they are "non-op" as they refer to names of oil companies who have leased them and are drilling on their property. So technically, does that meet the definition of a producer?  Is there like some official oil and gas definition for this term?  Has anyone else run into to this?

 

I am just curious.

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