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Working interest on a large block of acreage which from

An oil company is considering the purchase of the leasehold drilling rights with 100% working interest on a large block of acreage which from available geologic data appears to have a potential oil structure. The bonus required to secure the drilling rights is $3,000,000. There are no seismic coverage in the area and a detailed survey is estimated to cost about $2,000,000.

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Financial Management: Working interest on a large block of acreage which from

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