Samson Pre-App Hearing 11-19

I attended the hearing this afternoon for Samson's application for 10 units in North Shreveport. Samson did not have a specific company representative present but attorney Smelley presented along with geologist Joe Adams. Two or three independent landmen, working for Samson were there but did not answer any questions. I was not given a percentage for leased acreage but they did admit that some sections had 0% leased minerals. I questioned how they could apply for a permit without leasing any land or doing any test wells. Was told it was standard procedure. I objected to combining downhole production for CV and HA and was told it would be noted but Samson wanted to use the CV for shelf life for depleted HA to increase pressure. To the question of horizontal drilling experience the attorney and geologist was sure Samson had drilled horizontal wells but couldn't name any and stated that they were "just" the operator and would contract with experienced drilling companies. So, it appears that a company with limited horizontal drilling experience, few leased acres and no test well logs for geo info is applying for a permit for over 6000 acres. The meeting was well attended, standing room only and took over an hour.

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landownerPermalink Reply by insomniacnla on November 21, 2008 at 5:54
I believe that it means that Samson is filing the unitization but has not been designated as the operator of the units.

If an o/g company does apply for a permit to drill, then an operator must be named at the time if no operator has been appointed previously.

Oil & Gas ProPermalink Reply by Skip Peel - Mineral Consultant on November 21, 2008 at 5:04
I knew that was coming.

Oil & Gas ProPermalink Reply by The_Baron on November 21, 2008 at 5:14
KB,

On a more serious note, and back on topic.....

Do you feel that the official hearings at DNR are more professional than the pre-app?

Oil & Gas ProPermalink Reply by The_Baron on November 21, 2008 at 5:24
What kind of information would satisfy you?
Permalink Reply by louisiana lady on November 21, 2008 at 5:34
The Baron,

An "informed" rep to answer specific questions related to their requests on the app. These questions were unanswered at my first pre-app hearing; available infrastructure and proposed future plans, timeline for wells, percent leased per section, who wil be operator, experience of company in shale play, objections to combining CV and HA production, clarification of presentation plats, to name a few.

Oil & Gas ProPermalink Reply by The_Baron on November 21, 2008 at 18:29
Are you asking for a company history and resume'?

Or do you want to know why the unit should be formed?

landownerPermalink Reply by Iris on November 21, 2008 at 6:54
Milan & maid service ++ course I would care more for the scenery in Milan if you are talking about the city. I bought a dress in Rome once. Ok back to leasing.
Permalink Reply by louisiana lady on November 21, 2008 at 5:16
KB,

Exactly my impression and I think the attorney and geologist were "just presenters" that cookie cutter thing. But the O&G companies need to raise the bar and get a company rep at these conferences to answer company questions. Not too much to ask, in my opinion.

Oil & Gas ProPermalink Reply by Les Bamburg on November 21, 2008 at 7:55
LL, I would say all operators are not created equal. I have heard positive feedback regarding a recent pre-hearing conference held by EnCana.

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