Does anyone know why drilling companies can't get permits to drill under interstate highways in Ohio. I know drilling units near me are always drilled right to the edge of the interstate then abruptly stop near me. Also, I have land that's split in two by the interstate and there are wells on each end of my property on both sides of the interstate so I'm blocked in since no drilling can take place under I-70. I've been told this by multiple companies but I haven't been able to find out what government agency is blocking it. I talked to an inspector for the ODNR and he said it wasn't them. He said it might be the Ohio department of transportation or the federal government but he didn't know. I've been told that this could change soon but no one seems to know exactly what's going on with this?
When directional drilling was in its infancy, unscrupulous operators would purposely directionally drill across lease lines into prolific reservoirs to steal oil. This practice was outlawed long ago.
The Oil company that I started engineering for 37 years ago yesterday was Amoco Production Company. They held leases under the ground that is now Denver International Airport.The vertical wells were plugged and abandoned; new wells were later directionally drilled under the airport. Amoco (which became BP America Production Company 20 years ago), re-drilled the wells and hydraulically fractured them. The reservoir there was very low permeability, fine-grained sandstone. BP sold these leases many years ago.
If you own property adjacent to state lands, you might want to look at ORC 1509.022 before you talk to too many people about drilling under your neighbor park. You “might” end up with the rig and all that goes with it but no royalties. That law states that they can place a rig on your land for directional drilling and not include your parcel in the drilling unit. If you’re talking to your representative you might want to mention that issue in the conversation. That law was passed in the same budget as the Gas and Oil Leasing Commission.
Simple solution. Add to your addendum that if you are pegged with the well pad then all your acres shall be in the unit, and no foreign wells.
And if you already have a lease but then they just want use your lands for a pad and not put you in the unit, tell them we can do this the hard or easy way. I'd tell them you can easily get my signature for the surface use agreement provided all my acres are in the unit.
Part of the issue is an old legacy lease, that many of us in the area of Salt Fork have, that states that, in consideration of the original signing bonus, another well can be drilled for any purpose with no additional signing bonus. With the State Park on one side and an interstate highway on the other limiting how far they can drill in that direction, it looks very interesting for some of us. We need to be careful about what we wish for, or at least knowledgeable about that law and discuss it with the current,legislators.
From what I read, the federal Gubment is having meetings about leasing the Wayne National Forest in southern ohio for oil&gas development this summer. Whatever they decide,is suppose to be the model for Ohio's Oil&gas leasing of State mineral rights. State parks and under interstates. Whatever they decide, whether it's about the money,or politics, people's opinions will not be considered.
Wait; don't look now. Eclipse already got permission to driil under I-70 interstate in Guernsey co. Ohio. Had to "forcepool", but got it done. So, "never happen" has already?
They had to forcepool the State of Ohio. To drill under I-70. Maybe ODNR? It was part of a discuusion on here years ago.Who else would have the mineral rights under the interstate. Took them about 2 years to get it done. That's probably why others don't want to fool with it. Southeastern ohio is going to look like a spaghetti factory on the drill maps with open strips where the interstates and state parks are. They are ok for now just to go around them. Most well pads that are close are right beside them ,drilling laterals away from them. Or they set up a couple miles away and bottom out at the States property lines. I'm sure some of that gas&oil gets sucked out anyway.
Let’s add this to the discussion.