Ronald Von Wilson, No goats allowed in the Mississippian Fairway…
At this point, I am wondering just how many goats we could raise in a section of Logan County Land if there were no wells there?
Miss/Woodford is considered part of the unconventional O/G in dark purple & red.
So having just said that…. this popped into my emails a few seconds ago.
http://seekingalpha.com/article/1852951-eagle-ford-shale-new-record…
db—you’ve been awfully quiet for a long time. Are you still there, and are you as tired of waiting as I am?
Devon has the last three leases posted in 17. Many of the remainder that were leased in 2010 will expire in December, so I suspect a leasing push in a couple of weeks. They probably won’t pool until they get a few more of those wrapped up.
I am not sure how thick the Miss and Woodford are in 17. From the other wells in 17, it looks like about 60’ or so for the Miss and the Woodford is about 40’. It is a pretty narrow zone, but since they are leasing, one would think they might drill.
O they might be tying it up for the next three years just to make sure they have it as technology improves. This might be one that I would take a bonus on just to make sure I get something…. See who offers the best deal. Devon just got a whole bunch of Chinese money for this play, so they do have the funding….
M Barnes, I saw the Seeking Alpha article this morning also. Sinopec paid Devon about $5,500 per acre for our area. Looks like natural gas prices will remain depressed for a while, but the spread between WTI and Brent is strong, so oil will likely trend higher and Devon is advancing oil plays. You are correct that Miss is somewhat eroded in Sec 17, but I was told by another company that the Miss was about 140’. The geology has been quite confusing to me in Sec 17 and I’m self taught so that explains the rest. Still, I’m thinking the formations are so tightly stacked and thinned that a Woodford frac could get the Miss. ??? Peach 1-20 is making a lot of water and I wonder if the Woodford is that wet? All said, I bow to your knowledge and experience. Thanks
M Barnes, Do you think Devon will drill Sec 17-19N-01W. The Peach 1-20 in Sec 20-19N-01W is producing 335 or more BOPD from the Woodford. There where old vertical Miss wells that produced for many years in the NW of 17 and 16. Several O/G companies have picked up leases in Sec 17, so I don’t see why Devon does not pool the remaining unleased minerals in 17. I’m looking at leasing to a company who wants to get a well drilled in 17, but do not want to hinder Devon’s plans. Still, an OCC geologist and I have some concerns about the Miss Lime in Sec 17, because the formations are so thin. I have talked to other knowledgeable people and have some ideas to what may be happening, but would value a another opinion. Thank you.
I’m going to a Miss Lime conference in February in OKC, so I should learn a lot more then!
A Woodford or Miss frac could get into the other one, but they will behave slightly differently since they are different types of rock and their brittleness is different. Water is pretty common. Takes a long while for the frac water to come back out. And there is also the in-place water that eventually comes as well. It has a different chemistry.
Most everyone is leaning toward the liquids side in this price environment. They will take the gas that comes with it, but focus is on the oil and NGL’s for the next few years.
I recently received an order about Increased Density in the mail with the following information. Could someone interpret this data? Is this good? or somewhere in between?
“The drilling of the increased density well is necessary to effectively and efficiently drain the drilling and spacing unit and common sources of supply not being drained by the Charleen 15-19-3 1 WH well. The witness testified that there was calculated recoverable original oil/gas-in-place of 796 Mbo and 4,067 MMcf gas. The witness testified that the Charleen 15-19-3 1WH well will produce approximately 120 Mbo and 600 MMcf of gas. This leaves approximately 676 Mbo and 3,467 MMcf of gas not recovered unless an additional well is drilled.”
Thank you in advance!
Arlene, The Oklahoma Corporation Commission (OCC) sets the rules for a oil/gas reservoir when it is discovered, creating the spacing requirements (basically sets the number of well or wells that can be drilled) which is called ‘density’ (like 1 well per 640 acres allowed). When the oil and gas company drills this 1 well on the 640 acres, produces oil/gas and finds that only way more oil/gas can be extracted is by drilling more wells they have to go back to the OCC and file an Increased Density and explain to the OCC why they should be allowed to drill more wells. Then the OCC will allow the company to drill more wells (like 1 well per 320 acres). Companies can file for 1 well per 80 acres, 40 acres, 20 acres and so on depending on the formations rock (as in shale) and they send someone from their company (like a geologist) to testify before the OCC as a witness that the reasons they are stating have been found to be true. By law, a mineral owner receives notice of this Increased Density so they will know there are to be another wells or wells drilled in their section and they can determine if they should be receiving royalty payments from the additional well or wells.
M Barnes, Please let me know how the conference goes. Once the US ban on oil exports is lifted there will not be a glut in Cushing. Lots of shale plays around the world, but it’s one thing to drill and produce Oil/NLG and another to move it. The US is far ahead of the rest of the world with transportation in and out of this country. Thanks for your help.
Thanks for that. We assumed this was good news, but we weren’t sure. There have been a few other orders concerning “common sources” of supply from Section 21, Township 19 North, Range 3 West.
Specifically Order 604417 which sought to ESTABLISH by EXTENSION Order No. 600665 640-acre drilling and spacing horizontal oiland gas units for the Misener-Hunton, Mississippian, Woodford and Sylvan common sources of supply from Section 21, Township 19 North, Range 3 West to now include Section 15, Township 19 North, Range 3 West, Logan County, Oklahoma.
What does this mean? Are we sharing with section 21, or were they just setting boundaries.
Please pardon our ignorance; we’re just trying to figure this out.
Thanks in advance.
My family is in a situation where we would like to sell our mineral rights. My Mom who is 80 , unfortunately, is in need of the money for medical reasons. After reading many post on this site, I realize it may not be the best decision to sell everything, but at this point, at her age, we figure she would never get the money she needs now with these little royalty checks she’s getting. What advice can you give me for getting this process going. Is it best to just list everything on Mineral Hub? Anytime I’ve listed a question on this site, I’ve gotten such great help. Thank you
LISA, I WAS ALWAYS TOLD NEVER SELL MINERAL RIGHTS. IF YOU OWN A SUBSTANTIAL AMOUNT OF ACRES YOU COULD BE IN FOR A BIG PAYDAY. YOU MIGHT TALK TO AN OIL AND GAS ATTORNEY. I ONLY OWN 1.1 ACRES (ALREADY LEASED) IN LOGAN CO. OK. WAITING ON MY FIRST CHECK.
Lisa, my own opinion, supported by actual facts, is that even at small royalties, they will continue for 50 or more years. We have wells in Oklahoma that have been producers for OVER a hundred years and still pumpiing.
With those numbers, you may well see additional wells past the one they are asking for. Looks like about four more down the line. That will be good news for the royalty owners.
I OWN 1.1 IN 26 17N 4W LOGAN CO. FIRST PRODUCTION 5/31/13 6 MONTHS IS UP 11/30/13. WILL I RECEIVE A CHECK BY THEN EVEN IF A SECOND WELL HAS BEEN DRILLED ON THE SAME LEASE? WHERE CAN I FIND PRODUCTION RECORDS ON THIS LEASE. APPRECIATE ANYONES HELP.
Lisa Smith, Food for thought: If you had a ranch that someone wanted to buy and if it was worth $$$$ per acre would you sell it for $ per acre? Now, if someone offered to lease your land for $$$ and said you could keep your land and get paid $$$$$ for future products from your land would you still sell your land for $?