Stephens County, OK - Oil & Gas Discussion archives

6 months

Has anyone heard any news about the Kelly wells? I have been out of the loop for a while. Any info would be appreciated. Thank you-

Dawn and Hal,

Reference: Marathon’s HK D))M @ 19-1S-4W

Received a call back from analyst at Marathon.

The lady confirmed that I am on the payout list per an individual title search. She could not tell from her report when or how much % I would end up with for division orders. She also mention that HK DOOM is not set up yet, so information is limited at this time.

The analyst also mentioned that when you get your division orders, if any questions or concerns call Royalty Relations at 1-888-522-8871. She mentioned using this phone number for any questions or concerns: they will assign a project number and definitely get back to requesting royalty owner.

Will let you know of any additional info on HK DOOM that might help you.

David, Thank you for the update! It has to be getting close! It’s very exciting!

​Our mineral rights are held in a family trust which, according to the terms of the original trust agreement, must be dissolved when my mom passes away. She currently in pretty good health, but she is 92 and realistically we have to know that she could leave us at any time. We are being approached about leasing mineral rights in an area that may easily be drilled in the foreseeable future (OK Township 2N 5W). If I sign a lease on behalf of the trust and then my mom passes away and we must dissolve the trust, if there is production going on with royalty payments, does this situation put those payments in jeopardy of being delayed and/or withheld altogether? (The 11 of us who are beneficiaries have all agreed that we want to continue with our interests together, either in a new trust or an LLC when the time comes.) What do I need to do to protect against this eventuality?

does anyone have any idea about activity in or around Section 3-1N-6W? Continental pooled it last fall and now I understand they have refunded peoples money who elected to participate. They have one year from December 2014. Any thoughts? Thank you

Donald,

Sounds like Continental has decided to not drill at this time. If oil and gas prices rebound in the next couple of months they could drill a well before Dec. without repooling. Otherwise, they will have to start the process over again when prices improve.

Magnolia is probably leasing for someone else. No opinion either way, but you might want to try to find out who the ultimate company is if you care about who is operator.

Anyone have any opinion on leasing to Magnolia Resources?

Hutch- I noticed that the Poteets are again listed on the occ agenda for this week. Any clue as to why? Also wondering if you know the break down between 20 and 17. I tried to figure it out by looking at the surveys they attached to the docs for this weeks occ meeting but I’m clueless…I hope they don’t shut 17 out. Seems we’ve been waiting forever.

Thanks Martha! I knew we were on the short end of the stick on most of them, but it’s better than nothing. Finally something exciting after the big downer in oil and gas prices. I still hold on to the hope that they will go to 70 a barrel by end of June. Hope Iran deal doesn’t mess up my thought process!

On the Magnolia question…it depends on if it is traditional vertical development, or horizontal development. What section and township is it in? If it is big horizontal, the mineral owner has little control or say over who the operator is, and there are numerous smaller companies that are leasing so they can get a working interest in the well with the operator. In that event, it is really just the deal terms that make one more attractive than the other. In fact, you can use the smaller leasers to get attractive terms in the lease riders that the operator might not normally agree to.

It will depend upon the exact perfs in each well, but it looks like about 1/3 in 17 and 2/3 in 20 for most of them. Nice numbers on the five completions posted so far!! Good pressures and the choke just over half open at 36/64". The OCC agenda may be to list the final percentages on each well.

Jen, thats what the hearings are for, to finalize the orders and set the allocations. They have posted 5 completion reports so far. I’ll send you the allocations that I have estimated. Actually somewhat better than 1/3 for 17. So far nothing posted on todays hearings.

OCC Poteet hearings on 4/20: 3 wells “matter recommended” 6 wells “matter continued” 5/5/15

Hutch, is the gravity on the oil on Poteet #9 about the same as on the Poteet #1 and the Branch wells? Sounds like a good well. Are you counting down the days until payday??? lol

Rick Howell,

I especially was hoping to hear from you regarding my question (just previous) as I believe you have assets in the same area? Any input would be helpful. I’ve now received an offer for $1500/acre and 1/5 from an independent (I believe) landman on behalf of Newfield. I’m trying to determine if this is a good deal, or if leases are being made in that area for better terms. Thanks! Karen Slikker

Karen,

I have one offer from one company representing Continental Resources for 16-2N-5W. Significantly lower than the offer from the other company which usually works for Newfield. However, my offer is lower than yours. Now I have ammo. Yeah forum! Looks like they are moving ahead and getting closer to pooling. I will see if I can get the higher amount thanks to you.

I have been helped by you and so many others on this forum. I’m delighted to be able to contribute something of value!

Karen, I am in the same section. I have had offers from four different companies for that section over the last year-two in the last couple of weeks. You seem to be the lucky one with the highest offers so far. Looks like Continental and Newfield are battling for position. Marathon was in there at one time. I don’t see any pooling order pending at the moment.

Marathon filed for location exception in 2013, Ordered in 2014 and is was dismissed in Feb 2015. I attached the nice Woodford structure may and isopach, so put that in your files.

http://imaging.occeweb.com/AP/Orders/occ5076593.pdf where the well was supposed to be

http://imaging.occeweb.com/AP/CaseFiles/OCC4388168.PDF Woodford

Sent you a friend request