U.S. Energy Information Administration logo
Skip to sub-navigation

Glossary

This page has no sub-navigation. Skip to page content.
A B C D E F G H I J K L M N O P Q R S T U V W XYZ

Browse terms related to these fuel groups:alternative fuels|coal|electricity|natural gas|nuclear|petroleum|renewable

wellhead

Wellhead:  The point at which the crude (and/or natural gas) exits the ground. Following historical precedent, the volume and price for crude oil production are labeled as "wellhead, "even though the cost and volume are now generally measured at the lease boundary. In the context of domestic crude price data, the term "wellhead" is the generic term used to reference the production site or lease property.

Wellhead price:  The value at the mouth of the well. In general, the wellhead price is considered to be the sales price obtainable from a third party in an arm's length transaction. Posted prices, requested prices, or prices as defined by lease agreements, contracts, or tax regulations should be used where applicable.

Top