Old Clinton wells just keep going

It seems like the old Clinton  wells just keep producing, while we are waiting for the Utica to be  drilled.  Have heard it said that where the Clinton is good the Utica will be as well.  Some think the gas in the Clinton migrated from the Utica over time.  What is the facts on this if known?

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Permalink Reply by Robert Bond on August 21, 2014 at 1:25am

Are there no opinions or thoughts on this.

Permalink Reply by Dexter Green on August 21, 2014 at 3:13am

What thoughts were you looking for, exactly?  Yes, the Clinton has been prolific and has driven Ohio oil and gas production for decades.  Yes, there is some consensus that the Utica is the source rock for the Clinton.  Is there something deeper you'd like to discuss?  I'd be happy to join any conversation you have in mind.

Permalink Reply by Kathi Albertson on August 21, 2014 at 4:40am
I'll chime in with a question here. I own property in Guernsey county that has an active Clinton well that produced over 47,000 mcfs of gas and 154 barrels of oil the first year 30 years ago and continues to produce today, although barely. While the previous owner has a life estate in that well, I own the remaining mineral rights. What do you think the chances are that I will be hearing from Enervest who now owns the lease and knows that I am the current land owner?
Permalink Reply by BICS on August 21, 2014 at 6:34am

I am also interested in the same scenario where the new land owner received the mineral rights but they did not get the existing oil and gas lease. The royalties go to the lease owner.

I have been doing some lite research regarding this. I want to understand what right the mineral owner has regarding any new development. From what I have read and seen, a lease with no written restrictions (like most of the older leases) allow the lessee/oil producer to explore and drill new wells and the new royalties go to the lease owner - the mineral owner has no rights or ownership. What I am not sure about is, what happens if the oil producer needs to pool the lease to drill a new well. The oil co normally has to get approval to do pooling. Who has the rights to sign, the lease owner or mineral owner. I did find one example where pooling was done to drill a new well and the approval was signed by the lease owner not the mineral owner.

Kathi, unless there is something I am not aware of (which is very likely) I believe you will not hear from Enervest. You best move would be to try and get the lease canceled. I have read a few stories that indicated folks were able to end a lease by proving the well was no longer profitable.

Permalink Reply by Kathi Albertson on August 21, 2014 at 6:55am
Bics,

When I bought that parcel, about 15 years ago, it was specified that I would have all rights, excepting the royalties from the existing well and when the folks that I bought the land from passed, even that would go to my estate. After all off this shale development came to light, I made sure to send a copy of the agreement to Enervest letting them know that I was the current land owner should there be any further development. They acknowledged my letter, for whatever that was worth. So I remain interested in the Clinton formation, even though I am afraid that my issue is further complicated by the fact that the land is adjacent to Salt Fork State Park where G & O development is off limits for now. No matter, the land is beautiful and we enjoy it as is.
Permalink Reply by william r rinehart on August 21, 2014 at 7:09am

All,

after paying for a title search our land was found to be HBP from an old clinton well.

We do own the maineral righs though. Any further development, outside that well, we would be entitled to 12 1/2 per the old lease, from what we where told.

Permalink Reply by James Vanderink on August 21, 2014 at 7:15am
William, anything going on at D Brills vacant pad?
Permalink Reply by Paul Martinelli on August 21, 2014 at 9:56am

If the mineral rights were not separated from the surface parcel.....then Enervest knows to contact you. Someone would have to prove otherwise to Enervest for them to not deal with you.

Permalink Reply by william r rinehart on August 22, 2014 at 5:14am

James,

nothing new, just waiting, the best news would be if they come up with a way to extract enough minerals in the oil rich areas, then our area would become a priority.There are companies working this now, so down the road, yeah never know.

Bill

 

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