Under the Full-cost method, the costs associate with dry wells can be capitalized as part of the oil and gas reserves.

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Under the Full-cost method, all costs associated with exploring, drilling, and developing oil and gas reserves can be capitalized, including dry wells, as part of the calculated cost per unit of oil and gas produced. This method is commonly used in the oil and gas industry, and under this method, dry wells are considered a necessary and normal cost of exploring for and developing oil and gas reserves.

Under the Full-Cost Method, the Costs Associate with Dry Wells