What does Stripper Well (oil drilling) mean?
Energy producers that primarily focus on smaller and/or older wells that are nearing the end of their economic viability. Many stripper wells produce just a few barrels of oil per day, but it's strength in numbers. It's estimated that there are 400,000+ stripper wells in North America. Further, according to the National Stripper Well Association, nearly 160,000 American jobs are dependent on stripper well production activities.
Futures Knowledge Explains Stripper Well (oil drilling)
To be classified as a stripper well oil production must be 15 barrels per day or less, natural gas stripper wells can not exceed 90 Mcf per day. The cost of extracting from a stripper well can vary widely, mainly because of the 'extra' substances (like water) that are mixed in with the oil or gas.