Replies to This Discussion

Permalink Reply by BirdDawg, plain ole' idiot on March 14, 2009 at 15:27

Jay,
Right now "waiting on pipeline" may mean lack of market, but sometimes it means they are waiting on pipeline, and sometimes it says that on SONRIS but the pipeline is already built and the timely reports have not been filed.

But you know that, crap.

• ▶ Reply

Permalink Reply by BirdDawg, plain ole' idiot on March 14, 2009 at 15:24

Jay,
Those cases are not always the reason for "shut in-future utility". I have seen this used in the HS to hide info on what is considered "out of the shale" and the logs have not been filed in over a year. You did say the only "legit" reason, but sometimes reasons are used that are not legit.

• ▶ Reply

Permalink Reply by Jay Murrell on March 15, 2009 at 0:41

I agree.

• ▶ Reply

Permalink Reply by Spring Branch,mineral owner on March 15, 2009 at 3:26

On what date would prescription start if a well was drilled, never produced, then shut-in future utility? Would it be the day TD was reached, or the day it was "shut in- future uitility, or some other date?

• ▶ Reply

Permalink Reply by herefordsnshale on March 15, 2009 at 3:53

That explains a lot. I had wondered why that one particular well in my section was still listed as shut-in when there has been no production in 15 years according to Sonris.

• ▶ Reply

Permalink Reply by herefordsnshale on March 15, 2009 at 3:57

Jay,

What do you think they deal was with the supposed dry hole? The spud date was 12-31-94 and the date it was plugged was 1-6-95--one week! Looking at the site I see no evidence of any activity (it was supposedly drilled on the same location as another old plugged well) Could this have just been some motion on paper to try and hold the minerals?

• ▶ Reply

Permalink Reply by Jay Murrell on March 15, 2009 at 8:43

Hi Hereford:

I'd go with the P&A date and say minerals prescribed on 1/5/2005. I'd need to look at the well file to figure out the rest of it.

Jay

• ▶ Reply

Permalink Reply by herefordsnshale on March 15, 2009 at 11:18

Thanks for the input Jay, I've been a bit curious about this since I never did get all the facts. There were questions about just when the minerals expired, Crosstimbers (now XTO) approached us in late 1999 about leasing and went so far as to issue bank drafts for a lease but came back at the last minute and said the minerals were still tied up. I gave up on ever getting the minerals until I got a call from KCS/Petrohawk in the fall of 2006. I was skeptical after that last debacle but they said they were 80% sure the minerals had expired and if I was interested in leasing they would go ahead and try to nail it down for sure. I agreed and they brought me a lease a week later. I had always been told companies NEVER let minerals expire but apparently it does happen every once in a while.

• ▶ Reply

Permalink Reply by Jay Murrell on March 15, 2009 at 11:27

Hereford:

Petrohawk is a good company...hope they drill a good well for you.

Best,

Jay

• ▶ Reply

Permalink Reply by Jay Murrell on March 15, 2009 at 8:48

KB:

If there is no lease in force the operator only owns the rights to the hole, but cannot produce anything. If operator produces w/o a valid lease they are committing mineral trespass. W/O a valid lease an operator cannot legally do anything to produce, so, I don't see how any work performend by it would interrupt prescription. That's an interesting question though. Never had it come up.

Jay

• ▶ Reply

Permalink Reply by Sweet Tea on March 15, 2009 at 16:02

KB
how can I find out what is "marketable production" for gas and/or oil for a well that
produced very little for the past 20 years? Is there a defined amount of production that must be met by a producer to keep a lease in force, if the producer is not paying shut-in pay?

• ▶ Reply

Permalink Reply by Jay Murrell on March 15, 2009 at 16:20

KB:

I think the O'Neal suit talks about production in paying quantities.

JM

• ▶ Reply

• ‹ Previous
• 1
• 2
• 3
• 4
• Next ›
• Page