I am talking about typos in the legal brief. If you are trying to be cute, typest would have been been than typers. Either way would have been equally wrong, one ironic the other ?
The 2014 Oklahoma Legislature may need to consider a similar version of Arkansas’s cross unit wells using band-aid units since the Arkoma Basin covers the Fayetteville Shale. I’ve been told the Fayetteville Shale is the about the same age as the Barnett Shale and Devon is one of the largest producers on the OK side, Southwestern has over 860,000 acres on the Arkansas side and Shell, Chesapeake, Newfield and some others have joined the drilling fun. Therefore, I would not be surprised if the big boys at these companies decided they want their playpens to all look like. If I made any typos it’s because the Dow Jones fell over 300 points today.
Martha,
Boy am I crying over the Dow. I keep thinking things will turn around.
I think that we will probably see the band-aid units in Oklahoma before long. Just think they wouldn’t even need to set up a meter, just pay everyone the same thing.
Another way to protect yourself would be to put the following language in your lease. All volumes of oil and gas will be fully captured at the surface to industry metering standards of not more than 1.5% loss to the mineral owner, per 30 day period, and fully allocated to the monthly production of the well. That is the standard they are already held to for oil metering. What Devon is doing is going into the water injection business, which allows injection wells to capture 2% oil royalty free. By the way I was surprised to learn when I was a BLM oil and gas inspector, that the largest oil producer by far in the state is the disposal well operators. More than Devon or any other major producer.
Robert, here’s a better link to oil skim article. 1st one I posted didn’t show full article, so I don’t know if you have to subscribe. http://www.worldoil.com/Fluid-modeling-helps-improve-skim-tank-perf…
Virginia, Sept 2008, I was homeless due to Hurricane Ike and was staying with a friend in OK who asked me what to do about her retirement. That night we decided to pray about it and God said sell, so the next morning we sold almost everything 2 weeks before the crash.
I’m sorry, 1.5% is the metering standard OCC holds them to for gas metering, not oil.
Beans? Beans, I was raised on beans, me and my kid brother got more than one smackin for singing the bean song at dinner time. I did not think there was anything better than beans to eat until I was in Germany and had real Saurkraut and Rostbratwyrst, now beans is just a close second.
Robert, I’m not sure not an engineer and know little about volumetric utilization of oil skim tanks, but Cameron is right around the corner from me down here in Houston, TX. http://www.worldoil.com/Fluid-modeling-helps-improve-skim-tank-perf…
“Improvements can be made to older oil/water skim tanks that will improve the flow patterns and volumetric utilization, resulting in reduced oil-in-water concentrations or higher flowrate capacities. Results from CFD modeling demonstrate that improved internals designs can create flow patterns that more effectively utilize the skim tank volume in oil/water separation. The volumetric utilization of the skim tank in this study was improved to about 70%.”
Martha McM & Robert,
Have you seen where SOER is having a workshop in Stillwater on oil & Gas measurement , pricing & Hedging on 2/11/14.
I would love to go to it, but I already have that date taken. I see another workshop in March in OK City. Maybe I can go to that.
Virginia, I’m in Houston & can’t make the 2/11, but might make the March. Just got through reading article saying US refineries are only ones making until US export ban is lifted. DVN is not fully integrated, so they are dipping into our wallets for their .
LCP, where are your minerals located?
Oklahoma County, S19 14N 4W. He also has some in Logan which is why I read this forum.
LCP, Do you name of the wells? It should be on your checks.
I am trying to track down the well records through OCC from my husband’s checks and probate records. On OCC the wells say plugged/abandoned yet we gets checks every month with these well active. Any ideas?
LCP.
If that is your well, you can enter the legal at this web site:
https://www4.oktax.onenet.net/GrossProduction/PublicSearchPUNbyLega…
I called OCC and she said it was a unit (whatever that is). I looked it up by her directions and found the name as is stated on checks, WEHLU with name and tr # and they still say plugged/abandoned with no production. I swear that we get 2 checks every month, oil/gas. My husbands family also get checks. This is being passed down through inheritance and lawyer has done wonderful and also found other mineral rights. I called the oil co. and can get no answer from them. I can’t track production any where.
According to Ok Tax Commission Gross Production System there is one active well in Section 19. It is named Winters A #1 in the NE quarter of 19-14n-4w It has been active since 1980. The most recent recorded data, Sept 2013, shows a sale of Natural Gas for the three months ending in Sept. The Operator is Citation OIl and Gas. The purchaser is DCP Midstream LLP.
LCP, You may be thinking that WEHLU is the name of a single well. However, WEHLU is not a single well, because your minerals are in a unit which holds many wells and WEHLU is just an abbreviation that stands for West Edmond Hunton Lime Unit. Here is the OCC website where you will find the wells in your unit. Just type Edmond in the Unit name field and click Search. Then look under ID and click the blue numbers 3516 and look in the court document for your legal description. This document will also show you the unit size, etc. http://imaging.occeweb.com/imaging/OGUnitization.aspx
A unit is what happens later in the life of a field. Early individual wells can be operated by many companies. In order to operate and drain the reservoir efficiently, a unit will be formed which includes many wells and much more acreage than the original drilling and spacing units. One operator is voted as the primary one. The percentage royalty is now calculated for every owner as a percentage of the new acreage (it will be smaller since there is more acreage). But the benefit is that you can receive royalties from wells that are not on your property for many many years. The operator will drill new infill wells, water flood, or use all kinds of technology to reap the most benefit out of the whole field. I have some that go all the way back to 1919! Keep that field pumping! What you see on your royalty statement is the name of the unit abbreviated and probably the tract #. The tract is a subset of the unit-a collection of several sections or parts of the sections. The unitization papers “should” have a map and description attached which shows how everything is calculated.