Just received a notification in the mail from a law firm out of Tulsa for a horizontal drilling application by Staghorn Petroleum in section 29,township19 north, range 12 west, Blaine county,Oklahoma.
Since we own about 250 acres of mineral rights in this area, what does that mean for us as mineral owners ?
I know they are running a huge pipeline about 1/4 mile from our mineral acres.
Cant make sense of all the legal mumbo-jumbo........
Anybody have some more info on this and what that means for us ?
They are filing for a permit to drill in your section or a section to the north or south. Normally 2 mile horizontals are drilled. This is just the start of the process. All you can do now as a mineral owner is sit back and wait. If you are a landowner and they are wanting to put the location on your land someone will be contacting you as to damages. The process from filing to drilling to going into production and you receiving a check will take close to a year.
Are your acres specifically in Sec 29 or in the surrounding area?
If you are in 29, then you may be held by production by the Wymer 29-1 well. If so, then the terms of your original lease for that well will apply to any new drilling. If you are not, then you may be approached to lease before the well is drilled. Either way, you should get royalties for the new well. Carrera just drilled a well in Sec 20 immediately to the north of you in 2017. It was in the Mississippian and had 387 bels oil and 5073 mcd gas on completion. Nice well. As Paul mentioned, if they want to drill on your land and you have surface rights, then the negotiations for surface damages are a different document. If you just have mineral rights, then you don't have to be concerned about it. You should be receiving more documentation regarding the spacing, location of the well, etc.
We’re not as much worried about receiving a check, but since we are looking at selling our mineral rights I’m assuming holding off for now is the best course since the value of these mineral rights should increase since they are now drilling in this sector…correct ?
There is increasing horizontal drilling all around you. You would probably be wise to wait until you see what the new well royalties give you as that usually increases the value. Also, you may have the potential for future horizontal wells, so don't think short term, think long term.
I would not be selling at this time. I would take a wait and see approach to see what goes on in the next year. They are just starting to explore that area so who know what the future holds.
I myself live on section 29 19 north and was wondering what if anything I can do as the wymer well will be in basically my front yard? what can I do to ease the noise and dirt ect? I have contacted shaghorn and am waiting to hear back from them? what can I get or do I am at a loss here
If the location is not on your land, then all you can do is try to get in touch with them and ask what their plans are. If the location is on your land, then you should negotiate a surface use agreement. Can't do much about the noise, but you can keep it away from your house, barn, etc by a certain number of feet. Probably better to get a good oil and gas attorney to negotiate the surface use agreement. They can be quite long.
After receiving multiple notifications that applications for horizontal drilling wells were requested and approved it has become rather quit on getting any more information. Does anybody know what the current status is on these 2 supposed horizontal drilling wells ?