I looked up production for the Black Lake field today on sonris.  The last reported production was in December of 2010, when 2 barrels of oil were produced -- from the 20,000-acre field.  No production has been reported since then.  Certainly this is not what the state calls "production in paying quantities."

 

The leases in this field were signed in the mid-1960's, and have been in force ever since.  They were originally with Placid Oil, and have changed hands several times, and now are held by Chesapeake.  Has anyone been successful in terminating these leases?  Are there any efforts going on to terminate these leases for lack of production?  I'd appreciate any information on this topic.  Thanks, in advance.

Tags: Black, Chesapeake, Field, Lake, in, leases, paying, production, quantities, terminating

Views: 1406

Replies to This Discussion

I would assume any additional formations would have to be unitized. I would find it hard to believe that any deeper formations would have feildwide units. This is why I think CHK would work to restore production as much as possible to maintain their leasehold.

 

and to Highwayman,

YOu could issue a formal demand letter to CHK requesting that they develop the acreage. They would have a choice of doing so, or issueing a statement of why they will not at this time. If you are lucky they will ignore you. If they refuse, you go to court and request that the deep rights be released, you would have to show that a prudent operator could economicly develop you acreage, which is a hard thing to prove. If you are lucky CHK will ignore you and you can show that they are unwilling to work with you in the interest of developing the minerals.

Wagner Oil Co. has applied for additional Petit Units in the Black Lake Field.  I don't know if they have purchased the existing leases or have leased additional property.  I've never heard of them.
Highwayman,
Where did you see that Wagner Oil applied for these additional Petit Units? I could not find it in the list DNR Hearings.

Wagner is listed as the operator of 207 LA. wells of which 27 are status code 10 (producing).

 

Org ID Name
W137 WAGNER OIL COMPANY

Address Information

Oper Type Addr1 Addr2 Add Type City, State Zip ATTN Name Contact Name Phone Num Phone Type
01 500 COMMERCE STREET SUITE 600 01 FORT WORTH, TX 76102-0000
SABRINA BONNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE
01 500 COMMERCE STREET SUITE 600 03 FORT WORTH, TX 76102-0000
SABRINA BONNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE
01 500 COMMERCE STREET SUITE 600 05 FORT WORTH, TX 76102-0000
PAM WAGNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE
01 500 COMMERCE STREET SUITE 600 06 FORT WORTH, TX 76102-0000
SABRINA BONNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE
01 500 COMMERCE STREET SUITE 600 09 FORT WORTH, TX 76102-0000 PAM WAGNER SABRINA BONNER

01 500 COMMERCE STREET SUITE 600 11 FORT WORTH, TX 76102-0000
SABRINA BONNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE
01 500 COMMERCE SUITE 600 13 FORT WORTH, TX 76102-0000 PAM WAGNER PAM WAGNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE
01 500 COMMERCE SUITE 500 14 FORT WORTH, TX 76102-0000 PAM WAGNER PAM WAGNER (817)335-2222 OFFICE







(817)332-3876 FAX-OFFICE

Organization Officers

Officer Name Title
BRYAN WAGNER PRESIDENT
H. E. PATTERSON VICE PRESIDENT/SECRETARY
WILLIAM W. LESIKAR SR. VICE PRESIDENT, TREASURY ASSISTANT SECRETARY

Organization Red Flags

Effective Date End Date Warning Status Warning Description
05/03/2000 05/09/2000 S FORM R-4 SUSPENDED FOR PRODUCTION AUDIT DISCREPANCIES

Henry,

I received a letter in the mail today from an attorney representing them.  It may take a day or so to show up in the DNR website.  I'm not sure why it's not there.

Henry and Highwayman, the letter received is a "pre-conference notice letter".  They go to all the individuals and business entities on the Interested Party List.  The letter offers a local meeting (conference) to cover the details of the unit application.  If a request is received, the applicant must hold the meeting.  They are held in Shreveport for District 6.  After that meeting or after the required period when no Interested Party has request the meeting, the application will be added to the Commissioner's Public Hearing schedule and it will then appear in the database.
They are proposing a Pettit unit & a Hosston unit in an odd shape equaling 1,000 acres just outside the limits of the original Pettit unit for the Black Lake Field.  It is a very short distance from where Chesapeake drilled and P&A'd a Pettit well a few years ago in one of their new units close to Saline Lake. 
I suggest that you scan and post the plat that is included with the notice letter.  If anyone wishes to contest the application, time is short.  And any mineral owners wishing to oppose the application need to get qualified professional representation ASAP!

Skip,

I haven't seen the application.  But can you explain why a mineral owner would want to oppose or contest this? 

I haven't seen it either Henry.  There could be many reasons.  From the size and boundaries of the unit to any specifics of the application such as permission to co-mingle production from different zones speaking generally.  In this particular case or discussion there appears to be suspicions concerning maintaining leases which are not producing significant quantities of oil or gas.  If there are no operators or lessees objecting based on development rights that usually leaves land and mineral owners who must base their objections on geological issues.  Obviously that's a tough job as the industry typically has all the geological expertise on their side.  I have yet to be involved in supporting or opposing a unit application however there are O&G attorneys with experience in such.  I suspect it would take a very compelling and straight forward reason for the LOC to deny an application.
I agree with Skip, without a Geologist and or detailed seismic or other data it would be hard to oppose an application. It is important to realize  that a big unit is not nessarliy a bad thing either.
Here's the information from Wagner Oil Co.
Attachments:

RSS

Support GoHaynesvilleShale.com

Not a member? Get our email.

Groups



© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service