Rick, Thanks for the info. Your help is much appreciated. Terri
I leased mineral rights in S08-T20N-R04E, Payne County, OK, to Devon Energy. I recently checked the Oklahoma Corporation Commission website to see if there was any activity here. I found a Permit To Drill for S07-20N-R04E, dated 2/22/2013, which stated “Horizontal Hole 1 in S08-T20N-04E”. I also checked the Oklahoma Tax Commission website and found Production Unit information showing Surface Hole Lease Legal Info as S07-20N-R04E and Bottom Hole Lease Legal Information as S08-T20N-R04E. Does this indicate that the Surface Hole originated in S07-T20N-R04E, but ultimately ended at S08-T20N-R04E?? These sites indicated that a well (Newton 1-8MH) was drilled with a Start Date of 8/2013, at S07-T20N-R04E, so I’m wondering if I will benefit from this well even though I leased in S08-T20N-R04E? Thank, Terri
Terri,
The best way to find out is to look at the spacing order(s).
It is listed on the completion report
http://imaging.occeweb.com/OG/Well%20Records/1DD17F67.pdf
The well was started in April 2013 and finished in August 2013
Order 603620
It is a 640 acre spacing covering all of section 8-20N-4E.
Here is the order
http://imaging.occeweb.com/AP/Orders/0304237F.pdf
Yes, if you own property in 8-20N-4E, then you have a RI in this well.
PUN is 119-211349-0-0000
Others may have more knowledge than I. My understanding, they can drill where all 4 horizontal holes commingle in the wellbore or they drill separate wells form a single site. Not sure how payments are made if separate units (sections) are commingled. I talked with an engineer from Chesapeake and asked him the same question. He said as a general rule where different units are involved they drill separate holes so unit payments are kept separate.
Do you know if such a ruling would change recently established units or apply to new pre-producing units?
I spoke with Matt Beavers of Devon Energy about the well under sec9-20N-2E Payne county. Well name is Long Branch 9-20N-2E 1WH. He said the 1st Day of production yesterday produce 125 BBL of oil. A completion report should be to CC in a couple of weeks. They are not planning a second well in next 6 months for that section.
That is not as good as some in the area but is producing.
Hope this helps. The surface well is under sections 3,4,9 & 10 and on section 10.
My understanding is each section is a unit and each unit has it’s own well. Matt is with Devon’s central US minerals owners support. He can be reached at 405-228-4800. You need to know your legal description and well name and other info so you can leave a message and they get back to you in a couple days. Good luck.
Phillip, Yesterday I spoke with an OCC attorney Jim Hamilton who stated that currently OCC is allowing 1280 A spacing for shale formations only and setbacks for offset wells (OCC 165-5-7-6) can be modified allowing setbacks according to the locals of shale formations. However, the OCC is planning on having a rule hearing on spacing and drilling units sometime in 2014. My guess would be that this hearing might occur after CLR proves out their new formation, because OCC attorney stated that CLR is pushing for 1280 A on all formations, regardless of local, and no drilling units.
Phillip, that’s a great question, and Jim told me to email him with all my questions so I will do so. I also talked with NARO president Mason Mungle who asked me what we need to do to get mineral owners involved, because we will not be allowed a voice at the OCC rule hearing. What do you suggest?
Jim Hamilton just emailed me: The change you are describing would require a statutory change by the Oklahoma legislature and Governor. Any new law would have only prospective application. If such a statute was passed, the Commission would draft new rules to enforce the statute.
However, OCC stated in a telecom with me on Dec. 30, 2013 that a OCC rule hearing on new spacing and drilling units would take place in 2014.
Blacks Law dictionary defines “prospective” law as: One applicable only to cases which shall arise after its enactment.
Martha
I spoke with Matt Skinner that handles the Office of Public Education for the OCC. He forwarded the attached links and explained two years a horizontal drilling act was put in place looking at 1280 A area’s. These do not replace the 640A unit statute now in effect. He said he knows of no effort to change the 640A Unit statue and indicated no meeting was planned to change the rules to that Statue. The number for the Office of Public Information of the OCC is 521-4180. Looks like NARO was aware of this statue. Hope this helps.
. http://www.naro-us.org/Resources/Documents/COSMO%20Supports%20SB242…
http://www.oscn.net/applications/oscn/deliverdocument.asp?id=463352…=
Does anyone know if they are drilling Sec. 28-20N-2E?
Ron, we are unleased and have not gotten division order. When does that happen?
Ron
what I meant to say was we did not get anything from the OCC to make an election.
Something is not right . I could not find a pooling . the location is 28-20n-2e ? If you want to sent me a friend request I will give you my # if you think it will help. There is an old well in the sw1/4 of 28 but it showed no production after July 2012 .
Tony I’ll see what I can find .
Accept my friend request and I will give you my # if you would like
http://imaging.occeweb.com/AP/Orders/OCC4360044.PDF
http://imaging.occeweb.com/AP/Orders/OCC4357374.PDF
http://imaging.occeweb.com/AP/Orders/OCC4357029.PDF
Steve here is what they were ordered to pay in pooling orders close to you.
Is there a pooling order on file for Payne Co. T18N-Sec12-E2-SW4-R2E? Truvine drilled a horizontal wellbore on Section 13, the “Gates 3-12H” that is the horizontal well producing from Section 12, which was completed with first production sold on 2-10-2013.