At am meeting,that i attended, they said your royalties were determined by the section you live in. Meaning you had to be in the section the (well) wells were in. What if they drill in the corner next to a section line? I am in the corner of 4 sections.
So am I. You are part ofd the section you are in. I wondered the same thing and yes, they could drill next to you and drain you. They can't drill wells withing something like 200-300' of section lines.
I've heard things like the oil companies planning 80 arce spacing on wellbores.
Hope you get a well in your section. 640 acres is a big area.
Example: The property in section 1 is pooled into a unit, while section 2 is not. A well is worked into production in section 1. The people in section 1 will receive royalties from the well, while the people in section 2 will not.
However, section 1 and 2 can be unitized to form a single unit. If this happens, people from both sections will receive royalties from the well. When two (or more) sections are unitized, all property within the unit are treated equal.
As exciting as this is, we know that we have a responsibility to do this thing correctly. After all, we want the farm to remain a place where the family can gather for another 80 years and beyond. This site was born out of these desires. Before we started this site, googling "shale' brought up little information. Certainly nothing that was useful as we negotiated a lease. Read More