AETHON ENERGY - PRODUCTION SHARING AGREEMENTS AND LONGER WELLS - GoHaynesvilleShale.com2024-03-29T08:14:58Zhttps://gohaynesvilleshale.com/forum/topics/aethon-energy-production-sharing-agreements-and-longer-wells?groupUrl=sanaugustine&commentId=2117179%3AComment%3A3651307&groupId=2117179%3AGroup%3A100973&feed=yes&xn_auth=noLong laterals are the new nor…tag:gohaynesvilleshale.com,2019-06-06:2117179:Comment:38307042019-06-06T21:43:15.484ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Long laterals are the new normal so your expectations will likely be met.</p>
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<p>Long laterals are the new normal so your expectations will likely be met.</p>
<p></p> This week I received a PSA fo…tag:gohaynesvilleshale.com,2019-06-06:2117179:Comment:38307752019-06-06T21:42:09.585ZJames L. Williamshttps://gohaynesvilleshale.com/profile/JamesLWilliams
<p>This week I received a PSA for the Walters Unit from Covey Park. Sharing is based on the percentage of the lateral in each unit. Since longer laterals are the most economical drilling approach now I expect there will be many PSAs for the older wells in San Augustine County.</p>
<p>This week I received a PSA for the Walters Unit from Covey Park. Sharing is based on the percentage of the lateral in each unit. Since longer laterals are the most economical drilling approach now I expect there will be many PSAs for the older wells in San Augustine County.</p> OK, thanks so much!
Good nig…tag:gohaynesvilleshale.com,2019-01-11:2117179:Comment:37954352019-01-11T05:24:26.047ZPhillip Warehttps://gohaynesvilleshale.com/profile/PhillipWare
<p>OK, thanks so much!</p>
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<p>Good night!</p>
<p>OK, thanks so much!</p>
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<p>Good night!</p> Phillip, my O&G attorneys…tag:gohaynesvilleshale.com,2019-01-11:2117179:Comment:37955352019-01-11T01:31:05.690ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Phillip, my O&G attorneys are Davidson Summers APLC in Shreveport, LA. Lake Hearne handles most of the Texas clients and should be well versed in PSAs. You may reach him at 318-424-4342 or lhearne@davidsonsummers.com. Let him know that I referred you.</p>
<p>Phillip, my O&G attorneys are Davidson Summers APLC in Shreveport, LA. Lake Hearne handles most of the Texas clients and should be well versed in PSAs. You may reach him at 318-424-4342 or lhearne@davidsonsummers.com. Let him know that I referred you.</p> Anybody:
Our attorney appea…tag:gohaynesvilleshale.com,2019-01-11:2117179:Comment:37954262019-01-11T01:25:32.712ZPhillip Warehttps://gohaynesvilleshale.com/profile/PhillipWare
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<p>Anybody:</p>
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<p>Our attorney appears to have been the subject of an alien abduction (hopefully nothing bad has happened).</p>
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<p>So, ...... does anybody feel comfortable making a referral for an attorney to review the Production Sharing Agreement.</p>
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<p>I will post my email if you don't want to make the referral public.</p>
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<p>philbware@msn.com</p>
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<p>Thanks!</p>
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<p>Anybody:</p>
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<p>Our attorney appears to have been the subject of an alien abduction (hopefully nothing bad has happened).</p>
<p></p>
<p>So, ...... does anybody feel comfortable making a referral for an attorney to review the Production Sharing Agreement.</p>
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<p>I will post my email if you don't want to make the referral public.</p>
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<p>philbware@msn.com</p>
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<p>Thanks!</p> Just from having looked at nu…tag:gohaynesvilleshale.com,2018-01-31:2117179:Comment:36646882018-01-31T15:03:15.598Zjffree1https://gohaynesvilleshale.com/profile/jffree1
<p>Just from having looked at numerous Aethon (nee St. Mary then SM Energy) unit plats... the original units tended to follow tract boundaries, with some of them ending up looking like a Texas gerrymander, with fairly short (by today's standards) hz. wells just to hold acreage. I tend to think that Aethon is trying to put together PSAs in order to accommodate longer laterals that just wouldn't fit into some of these units if they had to stay within unit boundaries. That means, in layman's…</p>
<p>Just from having looked at numerous Aethon (nee St. Mary then SM Energy) unit plats... the original units tended to follow tract boundaries, with some of them ending up looking like a Texas gerrymander, with fairly short (by today's standards) hz. wells just to hold acreage. I tend to think that Aethon is trying to put together PSAs in order to accommodate longer laterals that just wouldn't fit into some of these units if they had to stay within unit boundaries. That means, in layman's terms, that stranded acreage, which might not get drilled otherwise, will now produce gas. That is to the benefit of all RI owners involved, IMO, even if you have to share production with another unit. Just follow the advice from our experts and get Aethon to explain how each unit share will be distributed.</p>
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<p>JF</p>
<p></p> Speed racer:
Yes, this provi…tag:gohaynesvilleshale.com,2018-01-30:2117179:Comment:36644432018-01-30T19:55:31.933ZDion Warr, CPLhttps://gohaynesvilleshale.com/profile/DionWarr
<p>Speed racer:</p>
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<p>Yes, this provides an extra wrinkle - with longer laterals the standard 640 acre pooling provisions incorporated in many leases are insufficient to pool larger acreages in the era of 8,000 foot laterals. Also, pooling strictly “to the wellbore” maybe insufficient to cover the drainage and/or offset rules. In any event the agreement can then accomplish either or both tasks. It’d be nice to have some more details re: specifics of the situation and what the stated…</p>
<p>Speed racer:</p>
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<p>Yes, this provides an extra wrinkle - with longer laterals the standard 640 acre pooling provisions incorporated in many leases are insufficient to pool larger acreages in the era of 8,000 foot laterals. Also, pooling strictly “to the wellbore” maybe insufficient to cover the drainage and/or offset rules. In any event the agreement can then accomplish either or both tasks. It’d be nice to have some more details re: specifics of the situation and what the stated plans are.</p> Mr W - based on my experience…tag:gohaynesvilleshale.com,2018-01-24:2117179:Comment:36638592018-01-24T21:05:32.450ZSpeedracerhttps://gohaynesvilleshale.com/profile/Neal873
Mr W - based on my experience w Aethon - that Production Sharing agreement might coincide with an existing lease and might allow the lease to be included (shared) with others in the area in order for Aethon to stretch over a longer distance with their horizontal laterals.<br />
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I’d recommend you contact Aethon and ask them what they plan and when and see what impact it will have with your interest.<br />
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Ask them how your (yours or families or entity the letter was mailed to) interest will be affected…
Mr W - based on my experience w Aethon - that Production Sharing agreement might coincide with an existing lease and might allow the lease to be included (shared) with others in the area in order for Aethon to stretch over a longer distance with their horizontal laterals.<br />
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I’d recommend you contact Aethon and ask them what they plan and when and see what impact it will have with your interest.<br />
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Ask them how your (yours or families or entity the letter was mailed to) interest will be affected and if a longer lateral is planned that will cause your current decimal to change and if so how they make that calculation. In the event a new well is drilled and included an 8000 foot lateral and 50% of the lateral is under your interest and the remaining 50% lays under your neighbor then you’d be included at a 50% shared rate in accordance with your existing interest. The good news is the newer technology can really improve the production volumes if production is established.<br />
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Is this for San Augustine County?<br />
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Keep asking questions if this doesn’t seem to fit or if I can assist further.<br />
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BOL Phillip:
Couple of points -
K…tag:gohaynesvilleshale.com,2018-01-24:2117179:Comment:36637662018-01-24T20:00:11.492ZDion Warr, CPLhttps://gohaynesvilleshale.com/profile/DionWarr
<p>Phillip:</p>
<p>Couple of points -</p>
<p>Keep in mind that in TX that you're in "pure pooling" country - RRC isn't going to come back and force them to form a unit in order to include your extra acreage. If they have what they have under the lease, have the right to pool and/or pooling agreements in hand, and conforms with well and spacing requirements, they can pool just what they have with no issue.</p>
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<p>Production sharing is something different - is it just straight…</p>
<p>Phillip:</p>
<p>Couple of points -</p>
<p>Keep in mind that in TX that you're in "pure pooling" country - RRC isn't going to come back and force them to form a unit in order to include your extra acreage. If they have what they have under the lease, have the right to pool and/or pooling agreements in hand, and conforms with well and spacing requirements, they can pool just what they have with no issue.</p>
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<p>Production sharing is something different - is it just straight allocation? Proportionate percentage of the pool based upon acreage in the pool? How are they allocating production?</p> Thank-you Sir, ... very much!tag:gohaynesvilleshale.com,2018-01-24:2117179:Comment:36635392018-01-24T18:28:50.355ZPhillip Warehttps://gohaynesvilleshale.com/profile/PhillipWare
<p>Thank-you Sir, ... very much!</p>
<p>Thank-you Sir, ... very much!</p>