In Texas, if a horizontal oil/gas well passes horizontally 990ft from your property line, would you be untitled to royalties from production from that well? In the case I am describing the reservoir for this well extends under the property of which I own an interest. The unitized acres in the lease is 1291.17. The number of wells in this lease in this reservoir is 4 of which I own an interest in all 4. To put it another way is there any reason in this case why I would not participate in royalties from this 5th well?
Depends on the type unit. If your mineral interest is included in a pooled unit, and a 5th unit well is drilled within boundaries of that unit then you should share in it. But if it is just being drilled nearby, but not within the boundaries of your unit, then you wouldn’t share in it.
If the well is being drilled as an allocation well rather than a pooled well the answer could depend whether the horizontal well bore crosses the specific acreage where your interest is located. You should be able to answer your question by checking the drilling permit for the new well and the plat attached to it.
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