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Permalink Reply by Skip Peel - Mineral Consultant on December 7, 2011 at 11:35

There are two SWEPI well permits for DJ Milner 24-25 HC Alt-1 and Alt-2 with surface location in Section 13 - 13N -10W and bottom hole location in Section 25 - 13N - 10W.  This is a cross unit lateral which will pay royalties to owners of record in Sections 24 & 25 - 13N - 10W.

http://ucmwww.dnr.state.la.us/ucmsearch/UCMRedir.aspx?url=http%3a%2...

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Permalink Reply by FXEF on December 10, 2011 at 12:49

Skip,

Please explain how royalties will be figured on a cross unit lateral well. Will each unit be credited to 1/2 of total production of well?

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Permalink Reply by Skip Peel - Mineral Consultant on December 10, 2011 at 13:43

I'm having trouble cutting-and-pasting the specific language from the field order so here is the entire document.  If you require explanation beyond this I suggest you contact SWEPI.

http://ucmwww.dnr.state.la.us/ucmsearch/UCMRedir.aspx?url=http%3a%2...

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Permalink Reply by FXEF on December 10, 2011 at 14:36

Skip,

Thanks for the link to the field order. I am assuming that #6 will answer my question.

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Permalink Reply by Skip Peel - Mineral Consultant on December 10, 2011 at 15:43

Yes.  Combined with the last paragraph under "Definitions".

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Permalink Reply by Les Bamburg on December 11, 2011 at 4:17

FXEF, you could have read my Thursday post.

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Permalink Reply by FXEF on December 11, 2011 at 10:35

Les, sometimes I can't see the forest for the trees.

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Permalink Reply by Lisa Weaver Smith on December 7, 2011 at 13:11

Thanks for the info im in section 25 14n 10w in bracky branch so I did not know there was two sections 25 in this area.

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Permalink Reply by Skip Peel - Mineral Consultant on December 7, 2011 at 13:35

There is a Section 25 in each and every township.

http://nationalatlas.gov/articles/boundaries/a_plss.html

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Permalink Reply by Les Bamburg on December 7, 2011 at 14:19

Lisa, production from the well will be allocated to Section 24 & 25 based on the length of perforated lateral in each section.

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