Thanks Daren, very interesting! Thanks for sharing
Has anyone sold their minerals in Doddridge that would like to share their experience with me? Thanks.
Hi Darin, Nice meeting you also, My Grandfather was Frank Ramsey, lived in West Union and had his own business, he also loved to tinker in the oil & Gas business, (thank God) he had the foresight to keep and pass down his interest to my Mother and myself. I am a very fortunate man. I am sure our paths will continue to pass in the future.
Arnold- great to meet you on here! I don’t have mineral interest in that well- it could be another Dotson. My interests are Seaborn 1H and 2H, Callie, Leggett, Ahouse, and Violet-Tulip. My great great grandfather was Franklin Pierce Dotson, who had a farm on old Route 50 in the Central District (Greenwood).
I received some encouraging news today- my father-in-law attended the WV Expo and got some great info on the Marcellus drilling. I’m sure many of you are aware that these Marcellus horizontals are big producers, but the production falls off considerably after the 2nd year. The good news is that in addition to the Utica shale, there are three additional identified formations below the Marcellus. There’s no way Antero would spend 5 million bucks on a pad that produced for only 5 years! The plan is to drill deeper after Marcellus depletion, from the same pad. They said that up to 30 wells can be drilled from the same pad- so these wells should continue producing for decades :). That’s great news!!! Just thought I’d share!
Arnold…yes it was:)
Our current Antero leases are covering “from the top of the Burkett formation to the top of the Onondaga formation”- a few hundred feet of gas-rich Marcellus shale. In a few years, they will certainly want to renew these 5 year Marcellus leases, and I suspect that they may want to lease mineral rights even deeper. When a horizontal well is depleted of gas, it can simply be plugged after the 90 degree turn. The vertical shaft can then be used again to drill to a deeper formation for additional horizontal fracking. This is what was explained to me.
That is news Mr. Dotson…Ill have to bring that up with the landwoman…she may not know that (?haha)…I was aware of 10 wells and have seen pics where they are tight and beside one another after completion…
Question: Does the mineral holder with gross proceeds benefit from All formations in an older lease…the shallow wells deep wells and every mineral found…? There are LNGs and oil as well as gas…
To Laura Matundan, I don’t think too many have sold, but I know most of us have had offers! Just by way of explaining why not: my family was offered a certain figure and we finally recently found out how much our first check will be (it is retroactive back a little over a year!)…it will exceed the offer, and we only have a few wells!
great explanation Darin…first I heard of that…I wonder if other minerals are known to exist at deeper levels…
Thanks for the response Jim Greaver. I’m considering selling, but I feel that if sit and hold it will be worth it. We’ll see. Sometimes it is frustrating how much I don’t know.
POST PRODUCTION EXPENSE; Has anyone gotten their Landman/Producing Oil Co. to waive the post production expenses ???
When did you sign your leases Darin?
Thanks for the attachment Darin…I also was able to get the exact same wording (Gross Proceeds GP) in the Modification to my 1902 lease. The 1st mod consisted of that clause (GP)…Pooling…and a Market Enhancememnt clause (MEC) Then I asked for No Warranty clause - got that and the MEC was struck saying having both MEC & GP) wasn’t needed. They make sense when they explain it…but when I try to explain it to myself I realize I am playing their game…but I feel ok with it.
The Surface Use Agreement had other things I requested (Indemnification/Hold Harmless)…since this is an existing lease their was little I could do to change it (they said politely; e.g. bump it up form n 1/8 to 1/4 or 3/8)…
DT- thanks for the clarification! I am certainly no expert in “legalese”…
By the way, I noticed that all of the 2014 production numbers are now in the https://apps.dep.wv.gov/oog/wellsearch_new.cfm
So if you have not received a division order yet (like me), you can at least get a ballpark figure on royalties if you happen to know your decimal interest.
Jacqueline- not being nosy, but what well are you receiving royalties on? It will help me establish some sort of timeline. Thanks!
Josie 1H and Josie 2H. Looking for Swisher and Cross Units too. I never can figure out how to use that well search! LOL
I have heard that too Darin! Also heard that they are working on new technology for the drills they will need to get deeper. It will be interesting to see how this affects us as current lease holders
Ancel- the Utica shale is just beneath the Marcellus- it is thicker in some regions and thinner in others. Many geologists think that this layer will be much more productive than the Marcellus! There are quite a few Utica wells right now over in Ohio, down to 13000 feet. Because of this great depth, the head pressure is much higher. Go on Google and search “gas plays under Marcellus” and you’ll see. Exciting stuff!
Doyle: In my situation, the lease that was negotiated back in the '60s had language that protected us from that. That lease was still in force. So our attorney (Kyle Nuttall) said we were OK. We didn’t have to ask for that in our lease modification.
I asked but didn’t get post-production costs struck. I negotiated these in 2012. I just got my first royalty check and deductions amounted to 26.23% of the gross. How negotiable are those costs? Not that I can change anything now…