can a unit be amended in size after production has commenced - GoHaynesvilleShale.com2024-03-28T23:18:11Zhttps://gohaynesvilleshale.com/forum/topics/can-a-unit-be-amended-in-size?feed=yes&xn_auth=noafter giving this matter some…tag:gohaynesvilleshale.com,2011-01-10:2117179:Comment:17350692011-01-10T14:09:38.359Zking johnhttps://gohaynesvilleshale.com/profile/kingjohn
<p>after giving this matter some thought, i have decided not to sign anything. i notice the decimal has already been adjusted and applied on my last three checks. it's the clauses that i believe is motivating this company, and oh, did i mention their name? encore/denbury/ whoever just bought them out. their office is the absolute worst RR, i have encountered. with that said, i don't have any leases with CK...lol</p>
<p>kj</p>
<p>after giving this matter some thought, i have decided not to sign anything. i notice the decimal has already been adjusted and applied on my last three checks. it's the clauses that i believe is motivating this company, and oh, did i mention their name? encore/denbury/ whoever just bought them out. their office is the absolute worst RR, i have encountered. with that said, i don't have any leases with CK...lol</p>
<p>kj</p> Mike R-- if the operator can…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17322572011-01-07T20:43:40.682Zadubuhttps://gohaynesvilleshale.com/profile/adubu
Mike R-- if the operator can not drill a deeper H well I think I would be happy they left you out of the pool and your deep rights are not HBP with Goodrich SW Henderson well within 5 miles for some one will buy the deep rights from operator and later years when prices are right they will drill deep H well. . I assume you did not have a pugh depth clause in your lease with CHK. If the CHK expires and operator then wants to lease and put you in the unit just make sure you have depth clause in…
Mike R-- if the operator can not drill a deeper H well I think I would be happy they left you out of the pool and your deep rights are not HBP with Goodrich SW Henderson well within 5 miles for some one will buy the deep rights from operator and later years when prices are right they will drill deep H well. . I assume you did not have a pugh depth clause in your lease with CHK. If the CHK expires and operator then wants to lease and put you in the unit just make sure you have depth clause in your lease so you can lease the deep right otherwise to another who can drill it. Ben--of course they did they…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17322462011-01-07T20:31:57.223Zadubuhttps://gohaynesvilleshale.com/profile/adubu
Ben--of course they did they wanted all they had leased contiguous for to HBP
Ben--of course they did they wanted all they had leased contiguous for to HBP My suspicion is they did that…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17320952011-01-07T18:38:25.446ZBen Elmorehttps://gohaynesvilleshale.com/profile/BenElmore
My suspicion is they did that solely to hold acreage.
My suspicion is they did that solely to hold acreage. Ben---they verbally tell me t…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17320392011-01-07T17:51:02.606Zadubuhttps://gohaynesvilleshale.com/profile/adubu
Ben---they verbally tell me they will drill additional wells as price of NG dictates to develop the unit. They did pick up a few more of my acres I had (100% of what I had leased) but it did dilute me from mineral decimal of .0666 to .02100 in unit. Now I need 4 wells to make what the one well produced for me.
Ben---they verbally tell me they will drill additional wells as price of NG dictates to develop the unit. They did pick up a few more of my acres I had (100% of what I had leased) but it did dilute me from mineral decimal of .0666 to .02100 in unit. Now I need 4 wells to make what the one well produced for me. Mike,
How much time do you…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17319152011-01-07T16:28:49.202ZDJGhttps://gohaynesvilleshale.com/profile/DGaar
<p>Mike,</p>
<p> </p>
<p>How much time do you have left ticking with that CHK lease? Seems resonable to contact the operator once again after the CHK lease expires and then negotiate getting pooled into that producing unit. If they do eventually agree to that, then make sure that you have your royalty interest back-calculated based upon the pools date of 1st production and not from your date of signing.</p>
<p> </p>
<p>DJG</p>
<p>Mike,</p>
<p> </p>
<p>How much time do you have left ticking with that CHK lease? Seems resonable to contact the operator once again after the CHK lease expires and then negotiate getting pooled into that producing unit. If they do eventually agree to that, then make sure that you have your royalty interest back-calculated based upon the pools date of 1st production and not from your date of signing.</p>
<p> </p>
<p>DJG</p> Mike R,
CHK still has a duty…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17317702011-01-07T15:07:09.191ZBen Elmorehttps://gohaynesvilleshale.com/profile/BenElmore
<p>Mike R,</p>
<p>CHK still has a duty to protect you from drainage by the unit, unless your lease expressly states otherwise. </p>
<p> </p>
<p>Adubu, it is true operators can add contiguous acreage to existing units, but just because with the added acreage the unit remains within RRC permitted unit size does not automatically make it okay. Yes it is evidence it is okay, but that does not end the discussion. Nor does a JV with another operator make it okay. In the case you describe, it…</p>
<p>Mike R,</p>
<p>CHK still has a duty to protect you from drainage by the unit, unless your lease expressly states otherwise. </p>
<p> </p>
<p>Adubu, it is true operators can add contiguous acreage to existing units, but just because with the added acreage the unit remains within RRC permitted unit size does not automatically make it okay. Yes it is evidence it is okay, but that does not end the discussion. Nor does a JV with another operator make it okay. In the case you describe, it seems to me it is not a timing of the increase in unit size that is the issue (i.e., they did not add it a year or two after continuous production), the issue your situation raises in my mind is will the one well adequately develop the larger unit? If not, they have a duty to drill additional wells on the unit to develop it. By your description, they have substantially diluted the royalty of the original unit owners. Going from 40 to 480 is a substantial dilution. The fact that they originally permitted it as a 40 acre unit tends to indicate that they believed the well would only drain those 40 acres. I would want to know their plans forfully developing the 480 acre unit.</p>
<p> </p>
<p> </p> Mike R--- I think this maybe…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17316622011-01-07T13:56:13.232Zadubuhttps://gohaynesvilleshale.com/profile/adubu
Mike R--- I think this maybe due to wording in your lease regarding pooling of your minerals-- maybe some of our experts on lease terms would like to comment and educate us on this issue.
Mike R--- I think this maybe due to wording in your lease regarding pooling of your minerals-- maybe some of our experts on lease terms would like to comment and educate us on this issue. King John-- I was told that t…tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17315912011-01-07T12:41:31.608Zadubuhttps://gohaynesvilleshale.com/profile/adubu
King John-- I was told that the operator could add contiguous leased acreage anytime as long as total stayed within allowable unit size ie for gas 640+/- 10%. I had well drilled permitted as 40 acres and after well drilled the DO showed 480 acres in the unit because operator JV with another leasee contguous with their acreage. I ask operator and TRRC if there was deadline to add acreage and was told NO DEADLINE but must be contiguous acreage leased. The operator can get permit with minimal…
King John-- I was told that the operator could add contiguous leased acreage anytime as long as total stayed within allowable unit size ie for gas 640+/- 10%. I had well drilled permitted as 40 acres and after well drilled the DO showed 480 acres in the unit because operator JV with another leasee contguous with their acreage. I ask operator and TRRC if there was deadline to add acreage and was told NO DEADLINE but must be contiguous acreage leased. The operator can get permit with minimal require acreage for field rules of the formation planned to drill and admend at any time with filing only at court house and not necessary on RRC site permit admendment showing data but will be in DO admendment to royalty owners Good point GoshDarn.tag:gohaynesvilleshale.com,2011-01-07:2117179:Comment:17314752011-01-07T05:21:03.212ZLinda Whatleyhttps://gohaynesvilleshale.com/profile/LindaLaffitteWhatley
Good point GoshDarn.
Good point GoshDarn.