Can someone please tell me the difference in a lease based permit and a unit based permit?

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If you wanted to drill one horizontal Haynesville well you could lease 80 acres in the correct shape and drill the well by leasing the owner(s) of that 80 acres.  That would be a lease well.  Of course no company only wishes to drill one well so they form a unit and can qualify to drill the maximum number of wells allowed (they still must apply for spacing approval).  Most Haynesville Shale drilling units are compulsory units meaning the operator does not have to have every last acre in the unit under lease.  They can "force pool" all the mineral interests (mineral owners and parties holding leases).  In the early days of the land rush it was not uncommon to see wells permitted as "Non-unitized Haynesville" however the operators usually received approval of a unit application before the well went into production.


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