O.K. guys and gals. I have a friend that ran a scenario by me that I need your help on. You
know I dont like to admit that I dont know something so please be gentle. I know we have covered some of this before but just humor me. There is a method to my madness. This isnt a trick question and any comments will be greatly appreciated.
Here goes.....................

I am going to buy a piece of property consisting of 10 acres. I agree to purchase said property with 50% of the minerals being retained by the current owner. I will get the other 50%.

Lets say ole Snake gets a well drilled just as soon as he buys the property. Some cats out of Houston jack up the frac and ruin my well.( just kidin' Houston ) We have to cap the well without ever receiving any royalty whatsoever.

Time moves ever so slowly forward.5 1/2 years pass by and I find someone else willing to give me a lease. I am now, through the magic of HS, at the end of said lease.I have now owned the land for 10+ years. I have never received any royalty whatsoever.


In the State of Louisiana......Is there any reason in the world that I would not now own 100% of my minerals ?

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Good night.

its a little heavy, it contains quite a bit of geologic unit, not many of those up here, but it is very informative.
All unit orders are on SONRIS. They can be accesed through the document access feature.

You will need to know what field you are interested in. Pull up the black book index for that field. it will give gerenal descriptions of all the orders for that field.

Keep in mind, each formation (James, hosston, cotton valley, Haynesville, etc..) will have its own unit independent of the others.
Units can be formed at any time. Many times a unit is not formed until after well is drilled.

A section is 640 acres. Units in North LA are typically geographic units consisting of one section . This is not set in stone. units can vary, esp by water bodies, state lines, etc...

In south La it is common to se geological units, these are the shape of the supposed resevoir. They change in shape as more wells are drilled and more knowledge of the resvoirs shape is determined. These can strech like an ameoba over multiple sections.

If your land is not unitized, a well on adjacent tracts will not interupt prescription or pay royalties if it produces unless your tract is included in the unit. If you owned 100 acres, and only 10 acres were in a producing unit, royalties would only be pain on the acres in the unit, and prescription would only be interupted opn the 10 acres in the unit.
Almost all Ha units to date are one section of 640 acres plus or minus. Unit lines are usully along section lines.
No well that I am aware of Graysands.

If the well in question was drilled and capped,4 years after I bought the land, prescription would take a total of 14 years from when the initial purchase was made. At what point would the original owner lose the right to lease, or would he ? Is there a definitive explanation of what constitutes an interuption of prescription ? In other words, is it left up to interpretation or is there a guildline that can be followed in the mineral code ? I have read the code but cant follow like you guys.Thanks again for your input. You are doing a great service to this community.
The original owner would be able to lease as long as he owns minerals.
Snake,

I don't believe there is a definitive explanation.

I believe the standard is a good faith attempt. (What constitutes a good faith attempt).

I'm sure there is some case law on the issue and thereby some guidelines.
There have been many cases over the years. I'm sure KB can dig up some.
To interupt prescription, a bona fide attempt to explore for minerals must be made.
I am not sure if I am thinking of a shut-in provision or prescription. But, I think, the 10 year prescription for non-use would begin anew starting with the last date of marketable production in the case of a shut-in well (as opposed to the actual shut-in date). I am not sure of this, simply adding my opinion for discussion. Rest assured, "someone" will be by shortly to end all speculation.
KB, since your quoting articles of the law, could you also quote article 35? I believe it merits comprehension.
I would disagree. If a unit was created in 1950, and a well was not drilled untill 1990, prescription would have run, the surface owner would have the minerals, and the surface owner would have leased the land for the 1990 well.

Now if the well had been drilled in 1950, was productive and shut in, but was not hooked up to a pipeline untill 1990, that might be different. I would assume there would be serious lease issues though. I would assume that the well could not be shut in for 40 years, that the well would be considered abandoned. What do you think KB...

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