Replies to This Discussion

Permalink Reply by tony allen on September 27, 2012 at 8:17

Skip,

What exactly are they doing? Do they plan to produce the Haynesville Sand and the Cotton Valley from the same wellbore? Are they unitizing in anticipation of multiple wells in each unit? Why unitize? Is it required?

Permalink Reply by Skip Peel - Mineral Consultant on September 27, 2012 at 10:06

tony, you'd have to look up the existing Field Order(s) and compare the depth definition to what AIX is proposing.  It's possible that AIX wishes to co-mingle production but there's no way to know what they intend at this time other than that they need a compulsory unit order to force pool all the mineral interests.  I don't have any clients in these units so I'm not planning on investing the time to look more closely at what AIX may be up to. 

This application is a reminder that much of what is going on in north LA is not related to the LSBD.  And while many land owners are focused on the Brown Dense a lot of other activity is taking place that they should be following, and questioning.

Permalink Reply by Aubrey C. Sanders, Jr. on September 28, 2012 at 5:00

Skip, Good observations. I just hope someday some landowner out there will request Pre-Confernce hearing every chance they get.

Permalink Reply by Aubrey C. Sanders, Jr. on September 28, 2012 at 5:09

OK< Skip I found rest of application and map

Permalink Reply by Aubrey C. Sanders, Jr. on September 28, 2012 at 4:57

Tony, It is possible that they might want to co-mingle production from Haynesville Sand and Cotton Valley Taylor sand. Yes, certainly they may be anticipating Alt. unit wells at some point. Would be  unusual if they did not. They probably want to ensure that units are "lay down" units to avoid conflicts at some later date. It is very difficult and costly to go back and do it "after the fact." Having been somewhat responsible for establishing Lay down units in Smk B aand Smk B to allow co-mingling on our properties I am very cognizant of the problems. In the AIX properties I doubt that co-mingling is the objective.Since no map was attached to application I cannot identify location.Perhaps someone might post rest of App notice along with map.

I hope landowners will not miss the opportunity to request Pre- conference hearing.

The reason to unitize is to prevent production on a lease basis. If I were landowner adjacent to property with well drilled on a lease basis I would be very, very upset and be on my way to see commissioner of Conservation 

Permalink Reply by Skip Peel - Mineral Consultant on September 28, 2012 at 7:45

The tendency of mineral owners in N LA to fixate on the Brown Dense can have it's drawbacks.  And the industry is quick to take advantage.  I don't think AIX development is associated with the BD but I believe they are grateful for the distraction.

Permalink Reply by tony allen on September 28, 2012 at 8:29

Aubrey and Skip,

We are in the 2/20/19 in Ar. and we did not receive the notification? Our minerals in the Chalybeat Springs unit are located on the Ar side of the stateline and they are in an adjoining section to the proposed unit. Would we receive notice of a potential hearing?

Permalink Reply by Skip Peel - Mineral Consultant on September 28, 2012 at 8:41

LA codes governing unitization applications do not require notification of mineral interests located outside the state as far as I know.

Permalink Reply by Aubrey C. Sanders, Jr. on September 28, 2012 at 9:54

DITTO, Skip

Permalink Reply by tony allen on September 28, 2012 at 10:17

That don't seem fair. Thanks for the responses.

Permalink Reply by Aubrey C. Sanders, Jr. on September 28, 2012 at 11:16

Tony, FAIR AND JUST IN ARK?    NO< NO & NO

Permalink Reply by tony allen on September 28, 2012 at 13:05

You are right Mr. Sanders. What was I thinking?

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