The rig for the first well may have to have it’s fuel trucked in but a later rig could run off natural gas from the first well along with generators compressors and pump jacks. Language that royalty is to be paid on gas produced and saved (used on site), not just produced and sold could be a good thing to have in your lease. Thanks to Buddy Cotten for that tidbit and I recommend his blog.
Tom,
I think they want to tie up leases that have not been drilled. This will hold the lease in production (LHP). Also, I don’t think there is enough rigs to go around. I also think there is some shift to oil. On the completion reports there is a box ‘OIL-GRAVITY (API)’ any number above 46 is light crude. I have seen some wells, don’t remember if it was in Carter, Marshall, or Johnston that was as high as 60. In the two sections where I have interest, there must be documents requesting nearly 50 wells, but nothing in my two sections.
I also understood that in order to have increase density, there must be something (a well) already there.
Tom,
Do you have the CD number for the Increase Density request for the Mercer well? I can’t find any info on this well.
Daniel, the cause CD # for Mercer # 1 well is #201206360. Order #603422 Mercer # 2 well is #201206361 Mercer # 3 well is #201206362 Mercer # 4 well is #201206363 I will be very interested to know what your opinion is on these. Tom
Daniel, I sent a text to XTO asking just what the “Residue” and the “liquids” on the check ment. This what they replied: Residue “R” is gas that has been stripped of all liquids. This usually refers to a gas stream that has been processed through a plant. Liquids “L” are the products that have been stripped from a gas stream through processing, such as methane, ethan, propane, butane, pentane, hexane, heptane, and octane. These are also sometimes known as plant products. Tom
Tom.
I am sure you have noticed that the “L” brings a really low price. There is a guy, FDR’s grandson, in Texas who is going to try and use a propane gell in place of water for drilling mud, as there is a real shortage of water down where he is in the Permian Basin. If this works out, maybe propane will go up in price. Speaking of gas going up in price, have you noticed that ‘R’ FUTURES are around 4.40 1,000 mfcd today?
Marshall: XTO Energy Inc.; Flenniken No. 1-11H2 Well; NE1/4 NW1/4 NW1/4 NW1/4 (BHL) of 02-05S-06E; 222 barrels oil per day, 114,000 cu-ft gas per day; TD 11,440.
XTO Energy Inc.; Cass No. 2-15H10 Well; NE1/4 NW1/4 NW1/4 NW1/4 (BHL) of 10-05S-06E; 309 barrels oil per day, 1,272,000 cu-ft gas per day; TD 12,468.
Does anyone know of any activity in section 6 T8S R6E ?
Hi. Does anybody know of any activity in Section 4, 7 South, 5 East?
Gary,
The only activity I could find for all of township 8S and range 6E where some sales, about 9, between two small operators.
Nothing since 2011. These where all dry/plugged well reports, form 1003D.
Thanks Daniel.
Tom,
Any activity in the area. If they are fracing within 600’ they may shut down the well. If the well is have a fluid build-up, then that will slow the well.
They may install a GAS LIFT to help move the fluid, which is probably salt water.
Tom,
When you contact XTO for the 12% late fee, called statutory interest, be sure to include the well API No. Here is a copy of the completion report, with the date of first sale as in Feb, 2012.
http://imaging.occeweb.com/OG/Well%20Records/1DD002F9.pdf
Here is XTO’s website. https://secure.pds-austin.com/xto/intro.asp
Tom,
I did notice the first sales date is empty. I was going on the first date of production.
Tom,
I was just looking at another well’s completion report and noticed that he sales date was empty. However, I have been collecting royalties for a couple of years now. I would still contact XTO about, Division Order and the statutory interest.
D
Tom,
Well that’s good news. The DO department was a lot faster in responding to me, as they want to get the info, SSN etc correct for the tax form 1099.
Daniel I got this from XTO Revenue dept today. Tom Thomas, You are correct in regards to the production being low for the Thompson and Chapman wells due to offset fracking. I am sending your email over to our Division Order department to respond to your question regarding the Ross wells.
Marshall: XTO Energy Inc.; Washita Valley No. 1-32H33 Well; NE1/4 NW1/4 SE1/4 SE1/4 (SL) of 32-04S-06E; 629 barrels oil per day, 471,000 cu-ft gas per day; TD 12,080.
Hi - I just joined the forum and am not sure where to post first, so please let me know if this isn’t the right place.
I have mineral rights in Marshall County (11-5S-4E), currently leased but about to expire. RD Williams just called me offering to renew the lease for $600/acre (didn’t mention a royalty), proposing to pay 25% of the bonus now and 75% if and when the current lease expires with no drilling. Two questions: is that proposal standard? and is that bonus competitive?
Thanks very much.