Does anyone know why Oasis Petroleum would drill two wells right next to each other?
The well names are: Garcia and Ellison, location: 159-93. Will these be horizontal wells, or is it too early to tell?
Many thanks
The only place I see two of anything close together are two permitted locations in section 12. Permits aren't guarantees that they will drill a well. Often an operator will drill 2 wells close together to save money using the same pad, road, pipeline and eventually comingling oil in the tanks. The wells can go in two different directions, holding 2 different spacings. No way to tell at the moment if the wells will even be drilled.
Those are the two I'm talking about. So, even though the wells have names, and they have the acronym "drl" next to them (on the NDIC website) that doesn't mean that they are actually drilling?
Thanks!
r w kennedy said:
The only place I see two of anything close together are two permitted locations in section 12. Permits aren't guarantees that they will drill a well. Often an operator will drill 2 wells close together to save money using the same pad, road, pipeline and eventually comingling oil in the tanks. The wells can go in two different directions, holding 2 different spacings. No way to tell at the moment if the wells will even be drilled.
Sorry, I read it wrong. The NDIC website says the well status is LOC, not DRL.
alex garbacz said:
Those are the two I'm talking about. So, even though the wells have names, and they have the acronym "drl" next to them (on the NDIC website) that doesn't mean that they are actually drilling?
Thanks!
r w kennedy said:The only place I see two of anything close together are two permitted locations in section 12. Permits aren't guarantees that they will drill a well. Often an operator will drill 2 wells close together to save money using the same pad, road, pipeline and eventually comingling oil in the tanks. The wells can go in two different directions, holding 2 different spacings. No way to tell at the moment if the wells will even be drilled.
Alex, it is confusing. If there is a permit to drill. there should be a yellow/orange dot on the GIS map. I'm starting to wonder if they can get a location permitted without having obtained a drilling permit. Just have to wait for more information.
I did look the wells up and saw no spud date, so I would venture to say no, that the wells have not been drilled, confirmed by the lack of yellow dots on the map. DRL will be a green circle on the map, usually a happy day when that first appears.
Yes, it is confusing. I thought they got a permit for one well, but as this is all new to me, I'm not sure. Anyway, I am looking forward to that happy day....hopefully!
Thank you, r.w.
r w kennedy said:
Alex, it is confusing. If there is a permit to drill. there should be a yellow/orange dot on the GIS map. I'm starting to wonder if they can get a location permitted without having obtained a drilling permit. Just have to wait for more information.
I did look the wells up and saw no spud date, so I would venture to say no, that the wells have not been drilled, confirmed by the lack of yellow dots on the map. DRL will be a green circle on the map, usually a happy day when that first appears.
Alex, I think the most up to date information to be had on the status is to be found on the GIS map which is updated at least weekly, not in depth information but you can get some meaning out of the lttle dots and circles.
I checked the GIS Server and it appears your well location are in early stages. 2 clear circles are representative of the location being approved to drill. I am unsure if anyone has pulled a permit to date. I did not check. I can tell you that I have 4 wells to the north in North Tioga and Gros Ventre that i pool from. 2 are active and 2 are in Confidential status now. Of the ones drilled they have produced consistent numbers since 9/2012. But be warned if these are your first wells your in for a wait. I waited 6 months after the permit was given for the well to start producing and then six months after that to be paid for the first 5 months of production. It will be another 6 - 9 months until i get payment on the next two. Look for you well circles to turn orange. This will tell you they are moving forward in confidential status = Tight well.
Thank you, r.w.
r w kennedy said:
Alex, I think the most up to date information to be had on the status is to be found on the GIS map which is updated at least weekly, not in depth information but you can get some meaning out of the lttle dots and circles.
AD, thank you for this information. This is all new to me and I so appreciate the help I'm getting.
I'm not so concerned about the wait considering these mineral rights were purchased decades ago....already a long wait!
Thanks again, Alex
AD said:
I checked the GIS Server and it appears your well location are in early stages. 2 clear circles are representative of the location being approved to drill. I am unsure if anyone has pulled a permit to date. I did not check. I can tell you that I have 4 wells to the north in North Tioga and Gros Ventre that i pool from. 2 are active and 2 are in Confidential status now. Of the ones drilled they have produced consistent numbers since 9/2012. But be warned if these are your first wells your in for a wait. I waited 6 months after the permit was given for the well to start producing and then six months after that to be paid for the first 5 months of production. It will be another 6 - 9 months until i get payment on the next two. Look for you well circles to turn orange. This will tell you they are moving forward in confidential status = Tight well.
No problem. Trying to get information on these thing is painful at best. Your potential well location is in a good location and should produce steady. I am having a hard time getting a hold of the Landman for Oasis however, so if you come across a contact number please let me know. I used Oasis website for Royalty owners and they replied that i would be contacted, but was not.
alex garbacz said:
AD, thank you for this information. This is all new to me and I so appreciate the help I'm getting.
I'm not so concerned about the wait considering these mineral rights were purchased decades ago....already a long wait!
Thanks again, Alex
AD said:I checked the GIS Server and it appears your well location are in early stages. 2 clear circles are representative of the location being approved to drill. I am unsure if anyone has pulled a permit to date. I did not check. I can tell you that I have 4 wells to the north in North Tioga and Gros Ventre that i pool from. 2 are active and 2 are in Confidential status now. Of the ones drilled they have produced consistent numbers since 9/2012. But be warned if these are your first wells your in for a wait. I waited 6 months after the permit was given for the well to start producing and then six months after that to be paid for the first 5 months of production. It will be another 6 - 9 months until i get payment on the next two. Look for you well circles to turn orange. This will tell you they are moving forward in confidential status = Tight well.
We were never contacted by Oasis, even though they leased our mineral rights. We were contacted by a landman from Sundance Oil Co. Maybe they will be more responsive.
I'm happy to hear that our potential well location is in a good location. :)
AD said:
No problem. Trying to get information on these thing is painful at best. Your potential well location is in a good location and should produce steady. I am having a hard time getting a hold of the Landman for Oasis however, so if you come across a contact number please let me know. I used Oasis website for Royalty owners and they replied that i would be contacted, but was not.
alex garbacz said:AD, thank you for this information. This is all new to me and I so appreciate the help I'm getting.
I'm not so concerned about the wait considering these mineral rights were purchased decades ago....already a long wait!
Thanks again, Alex
AD said:I checked the GIS Server and it appears your well location are in early stages. 2 clear circles are representative of the location being approved to drill. I am unsure if anyone has pulled a permit to date. I did not check. I can tell you that I have 4 wells to the north in North Tioga and Gros Ventre that i pool from. 2 are active and 2 are in Confidential status now. Of the ones drilled they have produced consistent numbers since 9/2012. But be warned if these are your first wells your in for a wait. I waited 6 months after the permit was given for the well to start producing and then six months after that to be paid for the first 5 months of production. It will be another 6 - 9 months until i get payment on the next two. Look for you well circles to turn orange. This will tell you they are moving forward in confidential status = Tight well.
Alex, my guess is Sundance is in the process of Top leasing to a drilling company. I hope i said that right. i have not heard of Sundance drilling in this area. Most drilling resides with Continental and Oasis. I would hope for Continental. They seem to have the most advanced drilling techniques and are also starting ECO-PAD drilling in certain areas.
Sundance would probably be making a deal to assign their leased acres to the operator for a cash payment and probably the usual 23% royalty, meaning they keep the difference between what they leased you for and 23%.
On the Garcia, Oasis filed a new start date of June 1. The Ellison still shows up as a Feb. start date.
It seems that Sundance was the middleman because the actual lease is with Oasis. Does that make sense?
AD said:
Alex, my guess is Sundance is in the process of Top leasing to a drilling company. I hope i said that right. i have not heard of Sundance drilling in this area. Most drilling resides with Continental and Oasis. I would hope for Continental. They seem to have the most advanced drilling techniques and are also starting ECO-PAD drilling in certain areas.
Well, that's a pretty sweet deal for them (at my expense?). Learn something new every day...
r w kennedy said:
Sundance would probably be making a deal to assign their leased acres to the operator for a cash payment and probably the usual 23% royalty, meaning they keep the difference between what they leased you for and 23%.
Do you know if they will be horizontal wells?
Thanks!
Dean Kinnischtzke said:
On the Garcia, Oasis filed a new start date of June 1. The Ellison still shows up as a Feb. start date.
Everything i am seeing have been have been horizontal spanning two sections north south. there are a few which only cover a single section in the area. Hopefully ND will start making them drill individual sections. I am not sure that there is high yield advantage by pulling across such a long span (2 sections).
The Garcia is a Three Forks Horizontal and the Ellison is a Bakken Horizontal. The well pad is in section 12, but both wells are to be drilled south through section 13 and 24. I haven't looked closely why that is, but perhaps there is a lake in the way so that they could not drill in 13. Is your acreage under this?
dk