Replies to This Discussion

Permalink Reply by BirdDawg, plain ole' idiot on March 11, 2011 at 14:47

Ms. Arkie,

Please notice the discussion in this group regarding the horizontal well that is proposed to be drilled in Section 11, T18N-R4W.

This well will be in the section adjacent to Secton 12 on the west. If they have good results on the Section 11 horizontal, I would think you are in an excellent spot. Actually, the Cotton Valley production has historically been much better in Section 12 than it has been in Section 11.

I really have not been able to figure out why they decided to drill the first horizontal in Section 11. I think Section 12, or Section 7, T18N-R3W, would have been a better location.

Be patient, and see what happens.

Permalink Reply by emily amedee on August 27, 2011 at 8:41

Hi I am in sect 12 twnship 19N Range 1 and have received an application to put a well there. Does anyone know what the potential is here. 20 acres surface and mineral rights owner , Well is proposed @ 1000ft from my property which is included in a unit. Any insight would be much appreciated.

Permalink Reply by Skip Peel - Mineral Consultant on August 27, 2011 at 10:26

emily, it think what you have received is a "pre-conference notice letter".  State laws requires an applicant to send letters noticing all mineral interests of record within the boundaries of a proposed drilling and production unit and to those adjoining to a distance of 1000'.  In other words some mineral owners are in the proposed unit and others are not.  Simply next door so to speak. If you can not scan and upload a copy of the application, I suggest you post the basic information including the company applying for the unit, the name of the unit (something like CV RA SUXX) and the sections that are included in the unit application (inside the dashed line).

Permalink Reply by emily amedee on August 28, 2011 at 10:07

Hi Skip, I ahve a letter signed by a judge that says Pre Application Notice. The unit is CV DAVIS RA SU78. All of my land is located in the dashed lines,  I own 28 acres but am estimating that 20 of them are in the circle that is drawn around the actual site of well. It may be more or less but at least 3/4 of land is in the circle , which is a projection of 2000'  out from site. I signed a lease about 11 months ago but did not know that this was a for sure thing. Now i see that many ppl around me are receiving up to 10xs the amt that i got.  I thought this was just another "exploration" as had been done in the past. Did I miss out on the bonus? I may be incorrect but I was told that the lease ppl had to tell you b4 signing a lease if it was rather likely that they would strike oil or gas??? Just trying to better understand this whole ordeal and get a handle on what I can expect or need to know.

Permalink Reply by Skip Peel - Mineral Consultant on August 28, 2011 at 10:24

emily, the pre-conference notice letter is sent by a law firm representing the applicant.  What is the name of the company making the application?   The purpose of a unit is to "pool" all the mineral interests within its boundary and for all those interests to receive their proportional share of production for all wells drilled in the unit.  It makes no difference where the actual well pads are located.  I can't speak to your bonus question as there is not sufficient information however there is no requirement for those offering a lease to tell you if they plan to drill or not.  Every lessor should negotiate a lease with a realization that if a well or wells are drilled and production is established the terms of the lease will be in force for the period of production.  That can be a long time.

Permalink Reply by emily amedee on August 28, 2011 at 14:27

Will-Drill LLC is the "applicant" on the paper. Thanks for the info about the bonus ? I just thought that if the company knew there was oil and or gas on the property they had to inform  of such (b4 signing) Again I am just learning about all of this so if my questions are a little crazy I apologize. I think this well is part of the haynesville formation...the top of it??? Keep in mind this is only my speculation from the searches I have made on the internet. I may be incorrect.

Permalink Reply by Skip Peel - Mineral Consultant on August 28, 2011 at 14:45

The unit application is for the Cotton Valley formation, not the Haynesville which is deeper.  Operating companies such as Will Drill don't take leases without some intent to develop.  Your area has a good bit of historic Hosston and Cotton Valley development.  I suggest that you learn to use the state database, SONRIS Lite.  There is a GHS group for that.  Use this link:

 

http://www.gohaynesvilleshale.com/group/sonris_help_center

Permalink Reply by emily amedee on August 28, 2011 at 14:46

Thank You so much Skip, Im sure I will be asking some more questions in the near future!

Permalink Reply by emily amedee on February 26, 2013 at 17:03

Skip, I first asked you about S12 19N 1W..however since then I have learned that my property is S9 19N 1W.  The first letter was in reference to theS12 location..Does this mean I am entitled to royalties from this well even tho it is not in my section? Also, a well has been produced commercially viable in my STR!!  Got my DO papers!  Christmas tree up.  I have not been able to find anything on Sonris yet..Do you have any info on this well??

Permalink Reply by Skip Peel - Mineral Consultant on February 27, 2013 at 1:37

emily, Section 12 and Section 9 are 2 miles apart so you won't recieve royalty from a well in 12.  In regard to horizontal wells the surface location may or may not be in the section being produced.  The number in the well name will indicate the section being produced regardless of the surface location.

Permalink Reply by arkiegirl on February 28, 2013 at 5:42

How many wells are going up in that section? I received a letter awhile back and had the impression that more than one well was being put in. My info came via Indigo.

Permalink Reply by emily amedee on February 28, 2013 at 9:10

Arkiegirl>  I only know of one for sure.  It hasn't showed up on Sonris. other than the permitted status. So there may be more that aren't showing up yet either (??)  

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