Drilling Information Questions Answered
Views: 1737
Replies to This Discussion
-
Permalink Reply by craig on -
I guess us folks in Beaver County can 'thank our lucky stars' that we have major transmission lines crossing our county. Our first pad is less than 1000 feet from a 30" line and CHK has already welded an 'elbow' onto it and just dug a trench for the line from the pad to the transmission line. The guy doing the welding was very informative btw. It seems that everyone doing actual work at the site have been friendly and somewhat informative. I'm sure they are only allowed to tell us so much though....I can't blame the drillers for that. Now we need to get the first well finished!
-
Permalink Reply by William Miller on
-
Homer, we're in Overton TWP, Bradford Cty, a couple miles up Minersville RD. An indepdendent surveyor explained to us decades ago that there is a strong likelihood of natural gas and oil reserves on our 7+ acres due to "unusual and extreme" shale formations and high ridges abutting state game lands on our property there. Of course, decades ago, that was somehthing to smile and nod about. With the current climate of exploration in Bradford Cty we are of course more curious than ever. Especially, since in retirement we are considering selling and relocating to the SW US. We are leased to Chief, with a 5 yr renewable coming up next summer. Have had several offers to buy out that lease at higher royalty but slightly lower bonus over the past few months (causing more curiosity). More confused than ever as PA politics seem to be causing everything in the exploration and development phase to be falling apart at the seams. Thinking bout selling out but retaining o&g rights (greatly devaluing real property).... can't find anything encouraging on DEP O&G well and pipeline permit site.... any input??????
-
Permalink Reply by 0jw0dsu4txfuv on
-
William,
I understand your situation. I also understand moving to some place warmer. There are several personal questions that you must answer. Do you want to hold on o the property or do you want to take the money? Personally I wouldn't take what someone told me years ago very serious. With the sesmic and downhole data nowadays it's remarkable.
-
Permalink Reply by Erin Carpenter on
-
Homer,
I have a couple questions for you. I live in Bradford County, PA. There is a well that has been drilled down the road from us. It has not been fracked yet but according to the courthouse our land is in the propsed unit. Our lease does not limit the O&G company to a certain depth. So my question is this....If we are collecting royalties on this producing well and the O&G company decides to start drilling into the Utica shale will they be able to do so under the existing lease without having to pay bonus money or sign a new lease with us? Just curious. Also, I'm not sure how familiar you are with the drilling in Bradford county but I noticed on the Bradford County website maps that there is one township in Bradford County that has NO permits and no wells drilled. It is South Creek Township. Are you aware of any particular reason why they aren't intersted in drilling in that township?
-
-
I really can't about tell you about the depth lease deal as I don't know. The Marcellus does not run over
all of PA as some people believe
-
Permalink Reply by FXEF on
-
Erin,
If your lease does not have a vertical Pugh clause, and you are receiving royalty from the Marcellus, then you are held by production. The O&G company can drill the Utica shale or any other formation under your current lease.
-
-
This is true and you would be intitled to additional royalties under your orginal lease.
-
Permalink Reply by Erin Carpenter on
-
Okay I get it. Now if my royalties end with the Marcellus I am no longer held by production right? I would then be able to negotiate a new lease for the Utica shale right?
-
Permalink Reply by Finnbear on
-
Erin,
A couple things.
1) If a well has been drilled and your land is included in the drilling unit, you, the lessor, are HBP until the lessee releases you from the lease. This would not normally happen until the well has played out and is no longer making the lessee enough profit to justify continued production. At this point, they would probably plug the well and abandon it. They also may try to sell (assign) it to some other producer who may be able to get some production out of the well that the original producer was not able to for whatever reason.
2) You would have to read and interpret your lease's specific language to see what your lease actually covers. This is the ONLY way to be positive what you are dealing with. You mentioned that "Our lease does not limit the O&G company to a certain depth" which most likely means they are allowed to drill for ANY oil & gas that might be under the surface of your land. If they did not specify a formation and a well is already drilled, then they probably have the rights to any/all formations via that lease. They would not be required to pay you any other bonus money if they rework the well to access a different formation but you would be entitled to royalties on any production just as you are now.
-
Permalink Reply by hunter777 on
-
Could you respond about compressor stations?
Do gas companies usually lease or buy the land where they put these stations? What might be the price ranges to be expected for either option?
-
-
hunter777,
This thread is for drilling questions. Don't have any knowledge on Compressor Stations or the deals made with them.
Sorry
Homer
Top Content
Latest Activity
© 2024 Created by Keith Mauck (Site Publisher).
Powered by
