Replies to This Discussion

Permalink Reply by craig on February 21, 2013 at 3:16pm

The permits are supposedly good for one year with the storm water permits being the first ones they seem to file for. There doesn't seem to be any real timetable for drilling etc. I've seen wells drilled and not fraced for months. I've seen wells fraced and not producing for over a year...usually because of no infrastructure to sell through. Typically they will drill when they have to so as to hold by production the leases that would otherwise be running out of time. The biggest factor in Beaver County is that a lot of  leases are ready to run out and they need to drill to avoid re-leasing and spending more money to hold the leases. 

One good indicator of drilling soon is the construction of the well pad. Once it is ready they tend to drill fairly soon. Do you have an area in particular you are looking at?

Just remember there are no stupid questions.

Permalink Reply by Dia Kestrel on February 21, 2013 at 3:54pm

my land is in South Beaver Township. I don't live in the area so I won't know if there is any construction going on unless I read it on here or its in a news article.

Permalink Reply by Jason on February 21, 2013 at 3:43pm

Dia,
I'm in southern Beaver County. As Craig mentioned, Chesapeake usually comes close to running out the clock on a 5 year lease and within the last 6 months earth is moved, roads are resurfaced and pads are put in place.
In Hookstown on Hill Road - CHK out in a brand new road down to the base I've the summer. They drilled the well in early November. They completed drilling around November 12 2012. Companies have been waiting 90 days to frack the well. (If you'd like a good video explanation visit range resources site). The Hill Road pad was drilled 11,000 feet to the Utica. The Marcellus is around 5500 feet down. They drilled one lateral to Hold By Production. As Craig said - the companies no longer have to release it. This area is waiting pipelines to move the product to market.
Lots to learn - I've been following the Marcellus since 2009 when I drove to Waynesburg, pa for a penn state extension meeting.
Ask anything. That's the only way we all can help.

Permalink Reply by Dia Kestrel on February 21, 2013 at 3:58pm

Thanks for the great info on the video. The permits they've pulled for South Beaver all say Marcellus but I suppose they can change those at a future date?

I fall into the lease is going to expire in the next few years category. I guess they could drill and just sit on it for years to extend the lease?

Permalink Reply by Dia Kestrel on February 21, 2013 at 4:05pm

IF they are just going to drill or start to drill to extend everyones lease, if they don't drill directly on my land would my lease be extended or just the person who owns the land where they put the pad?

Permalink Reply by craig on February 22, 2013 at 4:02am

Dia, I'm in South Beaver. I don't know where you saw that the wells here are all to the Marcellus. The vast majority of them in our area have been to the Utica, with a few permits filed to the Marcellus on the same pads they drilled to the Utica. On the state's web site the wells going to the Marcellus will have a M after the well number, as in 2-H M. The ones that just state 2(or whatever #)-H are to the Utica or possibly other formations.

If a well is drilled and held by production, a unit will be declared at the County Courthouse which will include all leases that will be HBP.....it is way more than the land the well is actually drilled on.

Typically the unit runs NW or SSE from the drill site and includes around 800 acres and more.

If you don't mind, post where your property is and us locals can give you an idea of what is going on. If you don't want to post this info in the public's eye I'm requesting friending up.

Permalink Reply by Dia Kestrel on February 22, 2013 at 7:20am

Great info thanks! I guess I better look up the well info again :)