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Industry Stories - on a smart PVT guy

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In the USA in some states define gas reservoir and oil reservoir based on GOR. If GOR is greater than a certain value they call it a gas reservoir and if it's less than that they call it an oil reservoir. The consequences it has it says that if we call it a gas reservoir you get one well in that one by one mile section. One well to drain that section by default. But if is an oil reservoir you can drill four wells. And you may start draining stuff from the neighboring sections that only have one. Because one company does not own the whole reservoir, one company may own a square mile of it. And you have neighbors with whom you share the reservoir.

What happened in Texas in the late 80's or early 90's is that there were some fields that were producing gas, GOR maybe ~20 thousand. And then some smart PVT guy said: "If we put a refrigerator on that well. If we process it on the surface at very low temperatures, we would get a liquid". So they put these low temperature separators on these wells that would normally produce 20,000 GOR, and it got them under the 10,000 GOR or the limit, which allowed them to drill three more wells in that section.

From here:

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