Replies to This Discussion

Permalink Reply by Skip Peel - Mineral Consultant on April 8, 2011 at 4:25

SONRIS Lite Well Search By Organization.  9 total operated wells from 1967 to 2009.  One uneconomic HA horizontal well and one Waiting On Completion since last April.  These wells are in Bossier Parish.  S22 & 27 - 19N - 11W.

 

Organization Id	Organization Name
E131	ENDEAVOR ENERGY RESOURCES LP

Cnt	Well Serial	Well Name	Well Num	Status	Class	Class Type	API Number	Org ID	Field ID	Permit Date	Sec-Town-Rng	Parish
1	120872	ARDIS & COMPANY INC	001	10			17015200390000	E131	1432	07-JUL-67	015-19N-11W	08
2	210554	J B LEVERT LAND CO INC SWD	001	09	II	5	17057224850000	E131	2432	06-SEP-89	057-15S-15E	29
3	212832	CHA MIRE RE SU;JB LEVERT LD CO	002	33			17057225390000	E131	2432	11-DEC-90	057-15S-15E	29
4	217603	LEVERT-MORVANT	001	31			17057226500000	E131	2432	10-JAN-95	057-15S-15E	29
5	234103	MILLS 23	001	10			17015240450000	E131	1432	07-SEP-06	023-19N-11W			2990
6	235428	MILLS 23	002	10			17015241890000	E131	1432	27-APR-07	023-19N-11W	08		1900
7	236114	C R WICKETT 23	003	10			17015242790000	E131	1432	09-AUG-07	023-19N-11W	08		2000
8	240419	HA RA SUF;WICKETT ETAL 27 H	001	10			17015246400000	E131	1432	04-NOV-09	022-19N-11W	08		13750
9	240533	WICKETT ETAL 22 H	001	01			17015246480000	E131	1432	07-DEC-09	022-19N-11W	08		13750

Permalink Reply by Marc Stepman on April 9, 2011 at 2:07

Hi Skip

 

Thanks for the info.  I was told my lease was assigned to Endeavour by JW.  I do not know if that is good or bad.  What happens with a  company assigns a lease?  

Permalink Reply by Skip Peel - Mineral Consultant on April 9, 2011 at 2:16

All rights to develop minerals are passed to the assignee.  And the assignee, in this case Endeavor, is required to honor all provisions of the lease.  It's hard to say if this is a good turn of events or not.  J-W for all it's early failures at drilling HA horizontal wells has improved and turned out some good wells.  I wouldn't care to have a company with the track record of Endeavor drilling any wells I had an interest in but when it comes to getting a well, they may be the only option in this particular situation at this time.  I would hope that this is actually a farm out agreement and that J-W is keeping and planning to develop the deep rights and that Endeavor will develop the shallow rights.  You might call and ask.  This may be a way for J-W to hold the leases in force without having to drill an expensive HA horizontal well at this time.

Permalink Reply by Marc Stepman on April 9, 2011 at 3:16

Hi Skip

I gave them call on Friday(yesterday) and they told me they had a 50/50 Joint Venture Agreement with JW but in some cases JW would be listed as the well as the operator and Endeavour would drill the well. They also told me that in some cases it would be  a farm out agreement as you discussed.  Thanks for the assignment information.  Your explanation helps out.  This tract(J-W now Endeavour) they got is a very large tract and the lease will expire at the first of next year.  The Joint Venture avenue must be popular I see other companies have done this.  All I can say is we will see what happens.  Does this happen a lot in North LA?

Permalink Reply by Skip Peel - Mineral Consultant on April 9, 2011 at 3:28

A lot.

Permalink Reply by Marc Stepman on April 9, 2011 at 3:35

Hi Skip

 

Thanks for letting me know.  The one thing I will say is at least they took my call an answered my questions.   I had no problem calling in.  I have read stories on here about folks not getting an answer when they contacted the O&G company but I had no issue at all.  I called J-W and I got a live person.  I would hope it is a farm out agreement since the lease covers around 30% of 2 sections in terms of acreage.  

Permalink Reply by Skip Peel - Mineral Consultant on April 9, 2011 at 3:41

Did you happen to ask what kind of wells they were planning to drill?  I wouldn't mind Endeavor as a Working Interest but I wouldn't want them operating.  I would want J-W to be the operator.  A JV and a Farm Out are a little different.  Endeavor and J-W could JV wells without a Farm Out.  A Farm Out from J-W to Endeavor would tend to indicate that Endeavor would operate.  Of course Endeavor might operate the shallow drilling rights and JV with J-W on the deep rights.  As I mentioned previously, J-W may be taking this route to keep leases in force without drilling a HA well at this time.  Instead Endeavor would come in and drill a shallower well.

Permalink Reply by Marc Stepman on April 10, 2011 at 10:04

Hi Skip

 

I did ask them that.  They seemed to indicate it would be a  shallow non HA well at this time.  But he did tell me on ours that JW would be the operator and Endeavor would have a working interest.  A well was completed recently by Will Drill and is close less than a section and a half a way to the east of me.  The Serial number is 241418 Castor Field.  Take a look at it Skip and see what you think.  Looks like a decent producer.  I wonder if this is what they have in mind?

Permalink Reply by Skip Peel - Mineral Consultant on April 10, 2011 at 10:36

It's an average HOSS well for this area.  Do a search by s-t-r but leave the section box blank.  Then you can scroll through all the sections in the township and click on a the producing HOSS wells to compare.  I wouldn't be expecting any HA Shale wells this far east.