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Permalink Reply by harley on January 9, 2010 at 7:12

Coil tubing is used to frac the well. It could have split and hung in the hole. The are trying to get get it out with a fishing tool. The first well that was drilled in our section was messed up from this. I think sometimes they can get it out just depends on the situation. They had to abandon ours and drill another one right beside it. They worked on it over 100 days but had to leave it.

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Permalink Reply by Roy on January 9, 2010 at 7:23

Thanks Harley,
I gues that is good and bad news. Maybe they fix it or we will get better gas prices later on. Will this still hold a lease if they continue to work on it?

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Permalink Reply by harley on January 9, 2010 at 7:52

They will eventually have to call it a shut-in if they can't save it and I don't believe they can hold it forever on a non producing well. They basically moved over about 25 foot on ours and spudded another one just shy of 90 days of the date of shut-in. Don't really know the law on this.As long as they are working on it I guess they can hold it. They spent alot of money on ours and still could'nt save it. Like you said it was really good because that first well would have come on at 2.00 dollar gas and this one will be at 5.00. Good luck

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Permalink Reply by The_Baron on January 13, 2010 at 9:59

No Law. It depends on your lease.

In general, as long as they are working in a contiuous operation, the lease is held. Whether or not the lease could be held by paying shut in royalties or not depends on the lease.

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Permalink Reply by Crunchy on January 13, 2010 at 10:12

What is the definition of "continuous operation"? Could they not say they are working on it just to delay the plug and abandon until they can get another rig to drill? I mean how do you really know that they are still working on it?

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