Forced Pooling and why we should all be against it.

I think most of us are also against forced pooling, but I choose to speak for myself here. We need to get on this and also oppose it because it DOES AFFECT ALL OF US. This also does not just involve the Utica Shale in PA. Trying to find out how many Marcellus wells are also permitted as Conservation Wells and will provide that later, but here's the skinny. Read the actual law below and tell me if you agree. The law states that they just have to penetrate the Onandaga Layer. A driller buddy of mine, who asked not to be named, tells me that the companies are chomping at the bit at this. He tells me all they have to do is go down and "penetrate" the Onandaga and the plan is to then back the drill off, plug that depth and drill the Marcellus and other layer they so choose. That means those of us who are pro-drilling are also screwed. Those who haven't leased yet and are haggling (for lack of a better word) for better bonus are screwed. (yes. that also is true for us in the Marcellus). All the driller has to do is say; "We tried. It's not our fault they won't accept $100/acre, so please give us their land, your honor". And your land will be theirs. It also hurts those of us that are looking at renewing lease. Same scenario. All they have to do is prove they offered us soemthing and the land is theirs.

Any well as deep as 3800 feet, they can now get from you for almost nothing.

Q. What is the difference between a “conservation” well and a “deep” well?

A “conservation” well is defined as any well penetrating the top of the Onondaga Limestone (or equivalent formation when the Onondaga is absent) and is at least 3,800 feet deep. This term is defined by the Oil and Gas Conservation Law. The Pennsylvania Geological Survey considers a “deep” well to be any well that penetrates the Middle Devonian Tully Limestone.

Additional Resource(s):


http://files.dep.state.pa.us/OilGas/BOGM/BOGMPortalFiles/LawsRegsGu...
OFOG 07-01.0

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2z248p19vqnh9Permalink Reply by 2z248p19vqnh9 on March 24, 2014 at 8:21am

Billy - with you on that...that is just HOW America is supposed to work, BUT from what I am reading & seeing - it just ISN'T 'working' the way that it once DID & should (past tense...).

It's not like we're discussing the price that we one paid for a candy bar (although Hershey's getting about $12/pound - so IF you like chocolate - get the good stuff, especially at THESE prices...might as well enjoy $15-$20.lb. GOOD chocolate). Back to the GAS, man...from what I am seeing - it IS inundating & truly defeating to a fierce spirit, BUT I don't like the stupid thought of 'beating your head against a wall' either.

There IS more than one way to skin a cat - just have to study that cat out a bit...you'll figure it out - you'll, we'll, they will 'figure it out'...

...for NOW what THEY have 'figured out' is that they can do Gosh darn WELL what they please - and shame the devil. WELL - every devil has his due... Don't like this - what I see happening in 'this industry'.

SEE...this ain't like havin' an idea, creating a product, then building a plant (contained area doing what you do the WAY that YOU want it done...), producing your product...and working with things - come what may as it happens...

,,,the G/O industry is quite UNIQUE in the fact that there is a MYRIAD of 'partners' - all across the board & the 'plant structure/building' is always changing - as are the various players on the field...never quite thought of it as succinctly as that before - but have comer to this...and it is frustrating all the way around.

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First of all - YOU, the LANDOWNER are the first 'partner' on American soil's ground floor...IF you don't sign with anyone - you don't worry about things like that...that contract CAN 'tie you up every which way but Sunday in a myriad of ways...lawyer or no lawyer...EVEN IF you do your due diligence - someone else said THIS somewhere...'It's only a piece of paper' & THAT is so...the 'company store' has everything lined up THEIR way...down to the penny & nickels...

...bottom line - once you've signed, you've 'sold your soul/LAND' to 'the company store'...

Second - it may NOT even be the G/O Co. that you signed with & you may not even GET drilled OR be 'in a drilling unit', BE be 'tied up' for YEARS...and God knows WHO  will be comin' on your land - there are MANY different COMPANIES/BUSINESSES that are involved in the drilling process - down to a 'food trailer' to provide food for 'the boys'...and there's a WHOLE lot more to this...

...and THEN there's the 'legal tie-up' end of things...on & on & on...

...everybody looks at things pretty cut & dry - BUT when it comes to this beast of an industry...like I said - they are like TYRANNOSAUR REX's!

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Billy, I too, would like to think that things ARE 'cut & dry', but they unfortunately are NOT. I know that YOU know that, but there are many who are still under the delusion that it's all 'handleable/manageable' - and it is a good thought. I don't want to take that away from anyone's mindset, but one MUST look a bear in the eyes before turning & running downhill (bears run faster/better UPhill...). Addressing matters IS important, I'll never attempt to take THAT thought away - from ANYONE. We must stand true to ourselves...but it's getting more interesting every day...asonelightlightsanothernorgrowslesssonoblenessenkindlesnobleness.

Permalink Reply by Ragnars Repo on March 24, 2014 at 8:33am
"The foolish and the dead never change their opinion."
Permalink Reply by Trapper on March 24, 2014 at 5:30am
My name is Glenn and I am a GAStivist......has a nice ring to it.....:-)

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