Our original pooling hearing was postponed. The second is scheduled this coming Monday. The oil company, GLB, is pushing hard to get us to sign a surface agreement before the hearing even takes place. We are the surface and mineral owners. Is there a reason we should sign? Does it matter which comes first? Nothing about this process has been like any other lease with any other company. And we've been at this for years in BK county.
Section is 10-8-21 The company says they plan to drill on us.
M. Barnes -- Thank-you for your reply. I changed this to a new discussion after realizing I posted it in the middle of another discussion -- but saw your reply. So, Thanks.
I realize the two things are separate, but ... as you said - they are trying to rush everything. And it does seem backwards (to us) to allow them to begin building the location before we sign a lease agreement. I understand if we were not both the surface and the mineral owners - it would all happen in any order. But we would LIKE to wait for the pooling order. Today is Thursday, and the hearing will hopefully happen this time. So we do wonder what they might be up to ... in such a big hurry ...
J.
Is your lease of leases that are pooled about to run out?
They may have a pad crew in the area and want to make the pad so they don't have to paid to move the equipment again. In todays oil patch, things are being run a lot different than they were a few years back. Used to be, they leased, got it spaced, moved a rig from somewhere and drilled. Today, they lease 9 sq miles, try to drill everything while the rig and pad makers are in the area. Most of the bigger companies have these H rigs on contract for 2 years and longer and most leases are only for 3 years, so they drill an area and move on.
Just be sure to stated how big the pad will be, additional charges will be made if it goes outside that area.
Additional charges for hook up gas, salt water, etc lines. Are they purchasing water, that may be extra unless they drill a water well for you. Make sure you have everything in contracts and read, read, read and know what you are signing.