First off, Merry Christmas to all.

A quick question....  I hear everyone on this site say that drilling interrupts prescription.  But the mineral code (RS 31:29) is a bit vague on what actually interrupts prescription.  It says prescription is interrupted by "good faith operations for the discovery and production of minerals."

So my question is this:  Does pad construction constitute "good faith operations?"  In other words, if the pad is being built prior to the 10-year prescription date, but the spud date of the well comes after the 10-year milestone, do the mineral rights prescribe?  In the case I am interested in, there was no pause in operations between the beginning of pad construction and the spud date.

Thanks to anyone who shares their insights.

Tags: 31:29, RS, interruption, mineral, of, prescriptiion, prescription, rights

Views: 648

Reply to This

Replies to This Discussion

Henry, thanks for starting a great topic.  I thought precription under a highway in front of a home was 10 yrs., but recently found out that on state and US highways it is forever, but there have been cases where when a parish took road frontage to build a road, the parish got minerals under road. I have been under the impression that actual drilling has to take place to interupt prescription--not just building a pad. I don't know for sure. There are a lot of members on this board who are knowledgeable, so it will be good to get their insights

mineral rights under the right of way depends on the deed conveying the property. However, prescription does not run when land is aquired for right of ways. Just be sure to reserve your minerals!

Jay is succinct and correct as per his usual.

It doesn't have to be a regionally productive horizon.

 

it  does have to be:

(1) commenced with reasonable expectation of discovering and producing minerals in paying quantities at a particular point or depth,

(2) continued at the site chosen to that point or depth, and

(3) conducted in such a manner that they constitute a single operation although actual drilling or mining is not conducted at all times

Jay and Skip,

Thanks for the answers.  After you replied, I did more searching.  Yes, the mineral code does state (in 31:30) that site prep is inadequate to interrupt prescription. 

Henry, read my blog on prescription.

 

The mineral code is specific, in addition there is a good deal of case law on the books.

Baron,

I forgot about your blog.  I went back and read it, and it answered my question and more.  My tail is officially between my legs -- I should have done a better search on this site to find an answer, before beginning this discussion.  My apologies to all.  And thanks to all who answered.

RSS

Support GoHaynesvilleShale.com

Not a member? Get our email.

Groups



© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service