Kaye,
Devon is being backed by foreign money, so they are drilling everywhere. Some of Logan Co is doing pretty good, so that is why they are still drilling. Once the foreigners have all the oil/gas, wonder what we will pay at the pumps and to heat our house. I may not take as many trees down this year as planned, may need them for firework to stay warm.
Kaye, isn’t your lease about to run out? Have the renewed it?
Robert,
I don’t know if you get the ROAR newsletter (NARO), on page 5 a real good write up on oil and gas royalty accounting. If you don’t get it, email me on friend list and I will copy and sent it to you.
Virginia
LCP,
There is no link, it’s part of the NARO members newsletter. I don’t know if there is a way you can go to NARO and get it.
Robert,
Did you know that salt water will burn? Ha?? If you can find a Perry Daily Newspaper on Jan 29, you will see where 11 salt water tank catch fire and burned up. Do you suppose they had oil in them??? I would love to know what companies produces these wells and how did oil get into the salt water tanks. Where is our government that is protecting us?
Yes that was a very intense burn for a water disposal. Remember the 2% or less is allowed to be skimmed if it is in the water. Right?
That is what they say they are allowed. Who is monitoring?
Watch and check your condensate production.
Reuters says US is going to limit oil exports which will be somewhat of a lift on the US export ban, but Wall Street Journal says exporting condensate is a way to ‘workaround’ the export ban.
http://uk.reuters.com/article/2014/02/04/uk-usa-energy-exports-idUK…
The Wall Street Journal’s Tom Fowler suggests a workaround to the ban: condensate, a liquid that is closer to natural gas than oil, could be allowed out of the country as being in the national interest, he says.
If it looks like a duck, walks like a duck, quacks like a duck, guess what, we are probably…ducked.
I have written a letter to OCC pointing out that because Devon has described their process for water disposal as one that will correct any malfunction at the well pads causing carry over of oil to the injection sites that it is one process. Devon states that they can re-allocate that oil back to the malfunctioning well separator. This is in my opinion BS, but it makes the case that royalty has to be paid on that oil.
Robert,
I hope you get paid for your oil, sound like a bunch of B - Devon is feeding people. The oil company must feel we are all a bunch of dummy.
I think we need to write a book on “Dummy for the oil mineral owners” . I bet it would sell big time.
One more thing we all need to watch out for. The computer is making deduction, the oil company didn’t know it or why and wht it’s for. They need to check a box somewhere. But, since I catch it they will send me a check. I told them they needed to refigure all the R I checks and they didn’t think so. Guess that is another way to make a few buck.
Heresay puts 20 19n 3w initally testing about the same, has to be disappointing for everyone, but we must remember initial tesing can go up, or it can go down. No one talks about gas much, so my supposition is it does not add much to the big picture. Have other things to think about, I certainly do not think about this much anymore, but still get my manuscript loaded into the computer and work a little on it.
New technology can make oily frac water clear, therefore new technology can make downstream oily waste water clear also, so there will be frac water recovered oil at the well (lease) in addition to the oily waste water recovered oil downstream. http://www.originoil.com/
Production
The United States is the largest, most sophisticated producer of refined petroleum products in the world, with 17.7 million barrels per stream day of crude distillation capacity.
Product Gallons per Barrel
Gordon,
Try the link I just posted for Ronald. You should find the Reupert 1-21H. They show an active status of 10/2/2013. The latest Production Numbers are for September 2013. In January they posted September data around mid month.
I see Devon has drilled into our families Lease area.
API 35083240350000
Logan Sec 21 19N 2W
The Form 1002A from 9/13 shows initial test of 24 BBL/Day Oil and 43 MCF/Day Gas. Is this bad? Seams low compared to others.
No Production reported. Our Lease was with Chesapeake, but I have not heard from anyone about this well. What can I expect. Should I contact Devon and ask for a Report?
Ronald, Sorry. Typo- July was 3081 rather than 2292.
The well pad on my farm has started selling gas through the meters instead of flaring it. Good for the mineral owners, as we are being paid on the gas now. It also has had the effect of slowing down all the wells by adding back pressure to the wells. This is also good in the long run:
Although the wells may make less per day, (about 100 bbls per day less) the long term production will be more; (more days of higher production), This is because the fracs wont break down so soon, (the frac sand In the perfs and fractures leaving with the oil.) This also has a calming effect on the well, slowing it down, and reducing the surging, which causes the separators to malfunction. Which I believe causes oil to escape out the water meter. As for condensate, we are getting paid on the gas at the meter at the well. Condensate is mostly made at the compressor sites and downstream, which Devon gets all the profit, as they have already paid us for the gas.
Ronald, Did you mean the Ruffed Grouse at 17N rather than the Suchy at 19N?
If so the Oklahoma Tax Commission shows the following sales to Phillips. June=834, July=2292, Aug=2292, Sep=830.
I see numbers reported or estimated here and there.
I personally will use the Tac Commission numbers.
Ronald, you are correct the numbers can go up or down. I have come to believe the numbers are totally manipulated. Here is why.
Slawson sometimes reports on Form 1002A and sometimes not. Sometimes they report results of an actual test, One time they reported five 1002A’s with exactly the same “test” date and exactly the same production numbers to include the gallons of water. These were sometime in May.
Stephens on the other hand files glowing 1002A reports. I have yet to find a sale listed on the Tax Commission’s Gross Production System.
Check it out at:
https://www4.oktax.onenet.net/GrossProduction/PublicSearchPUNbyLega…
I use the Search by Legal Function and I enter All in the Quarter 1.
All of the tabs are worth exploring. For example, the 4 year Tax Incentive… is interesting. Gives an idea of how fast they will be sucking the stuff out of the hole.
Ooops, sorry Gordon for the double posting.
Harley,
Oct was 808.40 and Nov was 159.37 on that well.
Robert, O/G companies used to pay us for “lease condensate” recovered during the well separation process which was not the liquids recovered by condensing gas downstream (like propane and butane) and royalty checks simply stated oil, gas and/or condensate production. I’m sure you are correct about Devon paying you for the gas only. Checking well production used to be a lot easier than this. O/G companies are making it confusing so they can rob us blind. An independent operator once told me that mineral owners are like ticks on a dog and he thought we should be removed.
http://www.eia.gov/petroleum/workshop/ngl/pdf/definitions061413.pdf