It is time for the Mississippi site to have the discussions about Mississippi wells.

There are 5 new pending permits and petitions before the board--two by Goodrich and 3 by EnCana.

There is a South offset to the Crosby Well and a proposed a well to the SE in 2N 1E. These are in Wilkinson.

EnCana has proposed 2 wells adjacent to each other north of the Ash Wells in Amite.

There is also a proposed well in Sections 5 and 8 in 1N 4E in Amite.

The procedure so far has been to get a force integration permit--to force the landowners to lease; then not drill the wells immediately. (This is an abuse, particularly by EnCana, by which they use the force integration statute to help get the prospect leased--then they don't drill before the force integration permit expires.  They drill instead when they are good and ready.)

But, being in a unit is a hell of a good start even if it doesn't get drilled immediately--and it looks like poor ole Mississippi is getting more than its share of permits.  

 

   

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I know that goodricich is moveing the the rig to the huff pad this week and I know that they will be busy riging up the rig once they get thought riging up this week then by next week they should start to spud the huff well let's hang in there because things are going to start picking up in the Tms play jwp

The permits keep rolling in but not the drilling rigs. If they don't add a bunch of rigs most of us will be waiting a long time for producing wells. There are Encana approved unit permits on the La, side that are dying of old age. Some over a year and a half old. Encana hasn't announced any additional rigs coming, though Goodrich has suggested they have plans to add rigs. This process flows slower than cold molasses - don't worry, you still have plenty of time to do financial planning.

Field orders creating drilling & production units in LA are good indefinitely whether drilled or not.  There is no requirement to develop.  The timing of development within established units is often a function of lease expiration dates and extension options.  Understandably the creation of a unit leads to expectations that wells will be drilled and they usually are but no one other than the unit operator knows the schedule.

In Mississippi, the companies, particularly Encana, are using the Force Integration Statute to force landowners to lease. A landowner can't stand to be force integrated; he can't participate, so he leases for what Encana offers.

So EnCana files for a permit even though it has no plans to drill within the 6 months that a force integration is good for; it gets the leases in.....and then renews the permit later, when it is actually ready to drill.

It is an abuse of the Statute.

 

Speaking strictly for LA regs and wishing to make clear terminology, a unit application is not a well permit.  Or a "permit" of any kind.  A unit application by a company generally proceeds to a public hearing whereby the Commissioner of Conservation approves a field order establishing the unit.  The operator of a unit must apply to the state for the spacing of alternate unit wells.  Once again, not a permit.  Both applications require the unit applicant/operator to send notice letters to mineral and surface interests within the unit boundaries and adjacent to a distance of 1000'.  A well permit must be approved before an actual well can be drilled. A permit to drill can be affective for 6 months or for 12 at the operators option.  There is no notice required for the application or approval of a well permit.

I agree...especially under the circumstances that exist today.

EnCana has announced they don't know what they are going to do in the future.

They say they are making plans and will let us know sometime in the next few months.

I say, the Mississippi Oil and Gas Board should say, "Fellas, whenever y'all demonstrate to us y'all are going to drill what y'all have had permitted for the last year, THEN, we'll permit y'all some more."

But, I'm betting they will get out the rubber stamp and keep moving.

Actually what will slow up the TMS even more is the lack of completion rigs.  If you look at other emerging shale plays the bottle neck always seems to be in completing wells and NG hookups.  Drilling times always seem to improve, but not completion times.

Does anyone have any info on when the Ventress well in Wilkinson will be started? Thanks.

CB

Wasn't the O&G board meeting today. 

Hope some rigs start moving in soon.

Onesock, I have the MSOGB meeting on this Wednesday, Aug 21st.

 MSOGB meeting on this Wednesday, Aug 21st.

My bad. Thought it was the 15th. Thanks.

Did any new info come out for Amite County in the Aug 21st meeting

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