Replies to This Discussion

Permalink Reply by Skip Peel - Mineral Consultant on December 12, 2008 at 6:41

Sue. Southern Star has been touting results from a couple of vertical discovery wells over the last 4 0r 5 months. Letting all those investors and operators out there know that they have HS. There is another company with a working interest in the SS Sentell Field leasehold but their name escapes me at the moment. Neither appear to have the financing or technical completion ability required. Even though SS applies for the units it doesn't mean that they will be the operator in those units. They have struck a deal with a larger shale player. I'd be interested to know which one. Maybe one of the members knows. Good Luck.

Permalink Reply by Sue on December 12, 2008 at 10:06

Skip Peel,
How will this effect my section 21. Why did I get this letter for force pool if my section 21 is not being drilled? Do I need to do anything? I will attend the meeting on Dec. 22nd. I would like to know what to expect at the meeting and quesions I should ask.
Thanks

Permalink Reply by Skip Peel - Mineral Consultant on December 12, 2008 at 10:46

Sue. As part of the application process the applicant is required to submit an "interested parties" list of all land/mineral owners of record within the boundaries of each proposed unit and those immediately adjoining for a distance of 1000'. It is not necessary for a well to have been drilled in your section. The applicant will reference a well somewhere in the area that will be used to define the formation that the applicant intends to produce. It may not even be the applicants well. Although it could be in this case as SS does have two vertical wells to HA depths. I didn't look that closely at the full text of your letter. Your section needs to be pooled as to those companies who hold lease rights within the section so that an "operator" can be designated. Few sections in the play have all the leasehold in the hands of one company. Though "force pool" tends to scare land owners, it is a valuable mechanism that allows for development of your minerals. The operator will want you to be leased. If you are not already. Leased landowners should not be surprised or concerned that the company applying for the unit is not the one they are leased to. And as I said in my earlier response, just because Southern Star is the applicant they may not ultimately be the operator. As to what you should do, make sure your mineral title is in order. If unleased, consider what lease terms are in your best interest. Both financial and peace of mind. If you require a lease other than the standard form that you will be offered by the lessee, And You Should, decide what is not negotiable and what you might consider waving if you will receive a benefit in return. Possibly monetary. It is best to talk lease terms first and money second. Too many land/mineral owners do it the other way around and it can cause problems. And delays. If your mineral estate is in excess of 10 acres, I would recommend the services of an experienced O&G attorney. Congratulations. And Good Luck!

Permalink Reply by Roy on December 28, 2008 at 5:06

Sue,

Did you atend the meeting? Any news on what is going on?

Roy

Permalink Reply by Sue on December 31, 2008 at 3:56

Roy,
I did not. I have rcd two more letters, one about a meeting in Baton Rouge Feb 3, 2009 and a copy of the sign in sheet from the first meeting.
Sue

Permalink Reply by juls on December 31, 2008 at 12:56

I receved the same letter but I am right across the street, but I am in the section that is stated on the paper , i am at section 17 township 19 and range 13, I do not understand these letter we are getting one a week I have called the phone number on the back but no one has called me back , can anyone help me out with are do I need to see a oil and gas attorney,

Permalink Reply by Sue on January 2, 2009 at 10:46

Juls,
I spoke to Mr. Bramlitt at 662-983-5925(page 3 of the letter) on Dec 15th. He suggested for me to get an attorney. It seems to me it is a great for you since you are in that section. I am in section 21. Mr. Bramlitt said only people who are within 40 acres will get this letter.
Good Luck and Congrats.!

Permalink Reply by juls on January 2, 2009 at 12:13

I talked to him but he really did not say much , but I will talk to a attorney on Monday because this well has been there since the first of oct. and trucks go in and out all hours of the day,and really I do not understand alot of this but I learning alot , Thanks for your help

Permalink Reply by Joan Williams on February 25, 2009 at 10:50

Juls
I JUST noticed your post. I am also in Section 17 but we have never received any letters at all from anyone. Do you mind telling me what the status is now on this ? I would love to know ! THaNkS

Permalink Reply by Joan Williams on February 25, 2009 at 10:53

I think I replied to the wrong person. LOL My family owns about 40 acres all together in Section 17 and none of us have received any letters at all. Can you update me on what is going on now ? I actually just noticed your post and am really really curious !
Thanks !

Permalink Reply by Bobi Carr ("parker") on February 25, 2009 at 11:11

Joan,

You could contact Southern Star or the attorney's that are handling the unitization.

Are you sure that you own the minerals for this property.

There is a chance that the minerals are owned by someone from the past in the chain of title of your property.

Permalink Reply by Joan Williams on February 25, 2009 at 11:28

I am certain we own the mineral rights. There are actually four in my family who own different pieces of land in section 17. My grandfather had a dairy farm here in the 1930s. We all live on parts of the original property and own a total of approximately 40 acres. I cannot believe none of us have been contacted or received a letter. Do you know anyone in Section 17 who has been contacted ?
Do you live in Section 17 ? Thanks

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