Replies to This Discussion

Permalink Reply by Skip Peel - Mineral Consultant on June 22, 2010 at 0:55

Alternate Unit Well orders, like unit orders, have no time line. They are in force indefinitely and may be drilled at any time of the operator's choosing. The timing of Alternate Unit Wells likely depends on whether an operator has undrilled leasehold and the term on those leases rather than the quality of the rock in an existing unit. Companies such as Questar and EXCO are beginning to drill multiple unit wells but their leasehold is relatively small compared to Chesapeake and Encana/SWEPI. Those major shale players may experiment with multiple unit wells in a few sections but probably will not drill many Alternate Unit Wells until sometime in the future. In short the chance of getting alternate unit wells at this time has more to do with what company is the operator than the level of productivity of a particular location.

Permalink Reply by Missy on June 22, 2010 at 8:53

Thank you Skip . I am leased wtih Questar and they are building a location on my property. That would make Questar the operator, right? Thanks again for all of your knowledgeable help.

Permalink Reply by Skip Peel - Mineral Consultant on June 22, 2010 at 9:02

Yes, Questar acquired your section/unit, and others in your area, from Will Drill. Questar might just drill all 8 wells on a rather short time frame. You can keep track by accessing the SONRIS Lite "Wells By Date" each Friday to see when well permits are issued.

Permalink Reply by Missy on June 24, 2010 at 3:56

Skip-
I will definately keep track of the permits. I hope they do drill that many. A huge pipeline was completed in that section a few months ago. Since the pipeline is so large, is this where the gas from neighboring sections will be gathered into and transported out? If so, would this increase the chances of having them drilled sooner than later?

Permalink Reply by Skip Peel - Mineral Consultant on June 24, 2010 at 4:03

Missy, how big (diameter) is the large pipeline you speak of? Even the usual gathering systems designed specifically for the Haynesville Shale would be unlikely to handle the production of the maximum allowed wells drilled sequentially.

Permalink Reply by Missy on June 24, 2010 at 4:14

It looked to be about 36-42 inches. Maybe larger.

Permalink Reply by Les Bamburg on June 24, 2010 at 4:09

Missy, just realize there have been some large pipelines installed thru the area for transporting natural gas from other areas to market and not just for gathering gas in the immediate area.

Permalink Reply by Skip Peel - Mineral Consultant on June 24, 2010 at 4:22

Missy, that's a long distance transmission line such as Les B. is referring to and not a gathering system pipeline.

Permalink Reply by Missy on June 24, 2010 at 4:23

Les,
I guess I am trying to figure this pipeline out because it was installed at the same time that Sanders 9 15 9 was drilled. It seems to originate right there and goes southeast (Ithink). I know nothing about pipelines, just trying to learn. Thanks for educating me.