I was leased with Samson, and now my royalty check is coming from Tellurian Operating, LLC. The letter said they acquired the well(s) from Rockcliff. Samson and then Rockcliff and now Tellurian. The Dec. 2017 royalty check was from Samson. I have not received anything from Rockcliff.
My question is this- who actually holds the lease on my property? Is there such a thing as buying a well(s) and not the "lease"? Thanks, MJC
Bracky Branch Field, Red River Parish
Then that would be the sixth application for alternate unit wells since February. There are five additional in Red River-Bull Bayou and Chemard Lake fields. It makes little sense for Tellurian to begin an aggressive drilling program since they are not in a position to utilize the natural gas produced. They do need to maintain some minimal cash flow to cover field operations and might need to drill a new well in any section where the original unit well is nearing depletion. Tellurian does have one well permit but no drilling rig deployed. That initial permit is for a year so it doesn't expire until February 2019. I think this is all set up for future development and does not signal any intention to start drilling any time soon.
Yes, future developement. Driftwood LNG not set to go operational until sometime in 2022.
Now the company is saying 2023. In the latest quote I have read, the company is claiming $3/Btu delivered at the plant. We'll see if they stick with that but it still ignores the potential for fair market NG prices to be higher Than $3 in 2023.
“There are a lot of LNG terminals out there, Sabine Pass being one of them,” Howie said. “But the integrated model is a little unique. We think that it is going to drive a lower-cost option for our investor customers and our goal is to deliver this LNG on the beach at $3/Btu.”
John Howie, president of Tellurian Production LLC