Still Curious

Hi

 

I am wondering what happens when the verticle part of the well is on lease and the horizontal part isn't. An Example is the Cartwright well. Verticle is on N. Davis A-147 and the end of the horizontal is not in that survey and of lease. So the O&G guys (SM Energy) run to the people at the end of the horizontal part with lease in hand? saying something like: Please Hurry Hurry sign the form!

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Oil & Gas ProPermalink Reply by Mark P on November 27, 2010 at 10:30
The operator will have the entire length of any lateral under lease prior to drilling or even permitting the well. All the leases that the lateral cuts across / intersects will be pooled into whatever drilling and production unit is set up.

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