millions wasted on bonus payments!

  I guess they drill either northwest or southeast now where I live, belmont county ohio, for some reason.. I used to hear of them drilling several wells in a star shaped pattern from the center. That idea seems to have changed now with the northwest southeast thing. I used to think that everyone inside the star would be included in the drilling unit.  With wells going northwest or southeast only a thin strip of land would likely be included. Seems like a persons odds of being included are pretty slim with this scenario. If that's true seems like they spent gobs of money on bonus payments for absolutely nothing? It also makes some of those offers to buy 1/2 of your royalty rights seem somewhat more attractive when you consider what your odds of being included in a drilling probably are.

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Permalink Reply by wyalusing jim on May 23, 2013 at 12:55pm

millions wasted on bonus payments?

seriously?

patience is a virtue, listen to fang.

wj

Permalink Reply by p umpjack on May 23, 2013 at 2:50pm

advice-wise

chuckle acceptable

tee hee and soy sauce not so much

Permalink Reply by Oliver Perry on May 23, 2013 at 2:53pm

They drill northwest & southeast because that takes advantage of the existing natural fractures in the shale. I attached a pdf that explains it well. The fractures in the Marcellus & the Utica are very similar.

The units will eventually be side by side by side like they are in Bradford County, Pa

Check out this map of Bradford County that shows all the units there. You will need Google Earth installed, it's a free program. It's quite an amazing map, thanks to Wayne Miller who created it.

https://dl.dropboxusercontent.com/u/31036030/Bradford%20Co%20units.kmz 

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Permalink Reply by John OBrien, landowner advocate on May 24, 2013 at 12:24am

Not only what OP said, but if you consider geometry, and the ability to frac only a certain distance to each side of the horizontal well bore, there would be much more "wasted ground" with a star pattern.

Permalink Reply by deutchen on May 24, 2013 at 12:47pm

I looked at the map. It is amazing to see that they seem to have hit about everything. I just wonder what that area looks like now when you drive thru. There must be well pads & access roads everywhere.

Permalink Reply by wyalusing jim on May 27, 2013 at 10:32am

 Reply by john mauersberger    

"I looked at the map. It is amazing to see that they seem to have hit about everything. I just wonder what that area looks like now when you drive thru. There must be well pads & access roads everywhere"

yes, there are wells and roads. I could take you to dozens of wellpads within a few miles of my farm, but if you drove through the area unguided, you wouldn't notice much. they blend in very well.

what you would notice is how nice the Chesapeake built roads are compared to the penndot roads. you might also notice some new tractors and pickups, a few new 4 wheelers, and some nice new houses scattered about.

things have improved dramatically around here. folks haven't noticed the great recession at all. there are loads of jobs, in fact not enough workers to fill them all.

wj

Permalink Reply by Thomas Lilli on May 27, 2013 at 10:59am
Where is that Jim?
Permalink Reply by TM on May 24, 2013 at 1:00pm

That Google earth map is something to see. That is a tremendous amount of wells. I wonder if there is one wasted piece of land at all. It will be interesting to see if this happens in the Utica or if it will be in just certain areas or counties.

Permalink Reply by Thomas Lilli on May 26, 2013 at 10:38pm
Does a map like that exist for Tioga County Pa?
Permalink Reply by Theresa Kolk on May 27, 2013 at 1:40am

hi, Thomas ...sent u a message with some info on rlstore, he has info on Tioga Co. thought u mite b interested in...

Permalink Reply by Thomas Lilli on May 27, 2013 at 1:45am
Yes,

I have the restore but, have not seen maps like this on it.

Tom
Permalink Reply by Oliver Perry on May 27, 2013 at 1:05pm

Reply by Thomas Lilli 14 hours ago
"Does a map like that exist for Tioga County Pa?"

I don't think a map like that exists for any other area. Wayne Miller spent a tremendous amount of time creating it and the folks of Bradford County are very fortunate to have it.

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