Acreage Requirements for Oil and Gas Company

If a section is in the process of being leased up by a couple of dominant players, what would it take for a competing O&G company to get into the play? For example, if Shell and Comstock had accquired 60 percent of a 640 acre section, and you had a 70 acre parcel in that same section, would another company want to move on it for profitable production, or, is there a problem in this example being that majority interests are already leased in that section.
Shelby

Views: 68

▶ Reply to This

Replies to This Discussion

Permalink Reply by shelby on July 23, 2008 at 18:03
LesB,
That makes more sense to me. So we could have more than one operator per. section, but, the profits (and expense) would be directly proportional to the net acreage they own in a unit?
Shelby
Permalink Reply by Les Bamburg on July 23, 2008 at 18:23
Shelby, you are correct except it is more than one "company" per section (with one operator).
Permalink Reply by Two Dogs, Pirate on July 23, 2008 at 5:45
Other companys buy in to become a working interest partner. They pay their share of costs and get their share of profit. Then pay you your share of royalty.

RSS

Support GoHaynesvilleShale.com

Top Content 

1 Seller Beware!!! How Mineral Companies Work Together.

Seller Beware!!! How Mineral Companies Work Together.
2 Haynesville Drilled Along Section Line

Haynesville Drilled Along Section Line
3 Haynesville Fairway could support drilling into the 2050s?

Haynesville Fairway could support drilling into the 2050s?
4 Mitsubishi Corp in talks to acquire Aethon Energy Management

Mitsubishi Corp in talks to acquire Aethon Energy Management
5 What is the meaning of a Unit Well?

What is the meaning of a Unit Well?
6 Site Not Loading Fully?

Site Not Loading Fully?
7 Survey Platt

Survey Platt

Blog Posts

Tuscaloosa Trend Sits On Top Of Poorest Neighbourhood For Decades - Yet No Royalties Ever Paid To The Community -- Why??

In researching the decades-old Tuscaloosa Trend and the immense wealth it has generated for many, I find it deeply troubling that this resource-rich formation runs directly beneath one of the poorest communities in North Baton Rouge—near Southern University, Louisiana—yet neither the university ( that I am aware of)  nor local residents appear to have received any compensation for the minerals extracted from their land.

This area has suffered immense environmental degradation…

Continue

Posted by Char on May 29, 2025 at 14:42

Not a member? Get our email.

Groups



© 2025   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service