Joe I have half of section 22 and we leased and its producing from whiting, and some in 18, 19 , 20, 21 did you get your seismic letter? I know what there doing with the 960 spacing. I think the well in 15 came in good and it was a 960 . I think you right on the 1/12th interest now.
Hello everyone. I am so thankful that I had your forum to research and learn about leasing minerals. Here is an update. I have posted before about my family and the grief I went through to try to convince them to let me negotiate the leases. To no avail, and to my dismay. Well, Noble Oil applied for a drilling permit. I was not leased. I was willing to take forced pooling. I did my research. When the notice came out, I applied for a dispute. I did my research, got my paperwork in on the deadline and I got a Commissioner to review it and he accepted my arguments. All this time my family thought I did not sign, which was correct. They signed 3 years ago against my advice. So I got a chance to present my case in front of a Commissionor of the Colorado Oil and Gas commission, 2 lawyers attendence representing Noble Oil and me. I took off work to get this handled. Remember I was not afraid of forced pooling. Look it up and understand what that is. The Commissioner was very fair, the attorneys tried their best to intimate me, in the end we were given 30 days to arrive at a mutually acceptable agreement. All this time the application was held up until my claim was resolved. All I can say, is if you get a notice that application for drilling has been submitted and you get a copy, read it, go online to the state info and do the research as to your rights. So both the attorneys for Nobel Oil and myself resolved my issues. I got what I wanted and my relatives lost thousands. Remember, there is no such thing as a “final offer” and always be the last one to sign. But do your research. With the online information you can find out anything. So I sent the lease in to Noble and I am waiting for my bonus check. I can assure you if that is not forth coming, the Commissioner that held our meeting will be notified and we will see if Noble can survive that.
My contention was how the bonus was handled for payment and the percentage was not what we agreed to.
I don’t know if my family and I can move forward, but I felt that my expertise was dismissed out of hand and those that “handled” the leases did injure some in my family that could have used the money. Most of us did not need the money and therefore jumping at it did not make sense to me.
Remember, if it doesn’t feel right, don’t do it for whatever reason. Do not be impressed with zeros behind digits. This took me almost 3 years to arrive at this point.
Peace Hopefully a gusher comes in. But I am not counting the dollars yet.
Hello. My husband and I recently bought land in Weld County - surface only and water rights. The former owners retained mineral rights. What could we expect if the former owners decide to develop those mineral rights?
Tom,
I have a current lease that is about ready to expire in T6N 61W section 7 and have several companies interested in Top leases and have offered $750 bonus but only 3/16 Royalty. I really am looking for 20% Royalty like my other leases which are also in same Township and Range. 2 years ago I received 4 year term for $1000/acre with 20% royalty but it was a larger net acreage. There are many variables in the price you can receive so larger holdings should have better terms. How many net acres do you hold and what section are you in?
Michelle you can also sell them water depending on you judication
Just surface compensation if they do something on surface of your property, like a well head, pipeline, road etc. One time small payment, not ongoing.
I have a small interest in the south half of Section 18, 11N, 57W. Whiting has recently made a drilling unit of 960 acres including all of Section 18 and the south half of section 7. My question is: Can more than one horizontal be drilled in a 960 acre unit? If so, how many can it accommodate?
Thanks for the info. A couple of ajoining properties already have well-heads. Could I say no to a well head on my property and have them draw from a neighboring lot already in production?
Joe I have minerals in 22, 29, 30 of 11N57W I am leased to Whiting and Carizzo Down sizing is happening right now and It looks like 80 spacings are being approved. So yes multiple wells can be drilled and will be
Oil wells are Geology Driven, a surface owner cannot prevent mineral exploration and extraction. You can slow it down if your prepared to pay for a huge legal battle that you will NOT win. It’s best to make a good agreement and play nice
You are entitled to certain procedures and notifications even if you are just a surface owner. The COGCC has a fairly useful brochure on the basics at: http://cogcc.state.co.us/General/Surface%20Owners%20Brochure.pdf. The information is for general information purposes only. This should not be substituted for legal advice and should not be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or reading does not constitute, an attorney-client relationship. You are encouraged to contact an attorney for legal advice concerning the information provided.
I figured that would be the case. Thanks for the info.
Has EOG put its drilling program on hold in Weld County? I know they have a lot of permits on acreage but it seems they aren’t drilling much. Anyone hear or know different??
Does anyone know the average life of a horizontal well?
Joe, I have seen estimates as high as 35 years although horizontal drilling in the area hasn’t really been going on long enough to have any concrete data.
Lost the thread, but someone asked about the life of a horizontal well. Someone responded that it could be 35 years. The real question is, at what production rate? A lot of wells have a 20+ lifespan. Some horizontals pay out big in the first few months, then taper off dramatically. Some keep paying. That is the bet.
I take the long view as I believe the operator does and believe the measure of a well is how much wealth it generates before it is plugged.
Some people are only interested if a well makes them instantly rich and the oil and gas industry preys upon and profits from those with a mayfly attitude.
RW, don’t know if your comment is in response to mine, but I’m just saying – I’m on the rights owners side & I’ve seen a couple big wells go slow after a few months. Just putting that info out there. We’d like to believe that the horizontal initial rush continues for decades. And it can. But not always. As the country songs go, paraphrasing, “That may not be the way life goes.” But, I’m with you. Up front make the operator make the bet & the commitment. But from a technical perspective, could go a couple years or 30.
Mr. Elliott, I wasn’t addressing you directly, more generally the speculation on the longevity of horizontal wells and just because the well may not be producing as it did in the beginning, it’s a marathon and not a sprint in my opinion.
How long could one expect a directional well to last?