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Permalink Reply by tacoma7583 yesterday

you didn't put what state your in.   If in Ohio as long as they have 65%? of the acreage signed in the unit it most likely would be force pooled.   if forced pooled they have predetermined schedules on what you would be paid.  it is something like 12.5% of the royalty until they recoup 200% of the well cost an then you would be paid 78.5% of the royalty after that or something like that.  

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Permalink Reply by Nancy Mosley yesterday

West Virginia has a higher % of net acreage, and several versions of how it could turn out depending on things. Sometimes this is better than the lease or modification (if there is already a lease). But in the end they can force the inclusion of your acreage.

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Permalink Reply by adam sorell 19 hours ago

But what about court is it just there way or the highway? Or court before forced pooling?

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Permalink Reply by tacoma7583 11 minutes ago

Just forced pooled as long as 65% of the acreage is lease or it under production from shallow wells and they have working interests with those companies.  They schedule a hearing date with the state if they are requesting a "chiefs order" for the unitization, if in a unit you will get a certified letter about 30 days before letting you know about this.  You can listen in but it is pretty canned asking questions that are in the application, between the professionals. They submit that they made reasonable effort to negotiate a lease and perform titles searches and contact heirs of properties. The show production of 0, if not unitized and then the show the estimated recovery if unitized  my unit was 27.5 BCFe over 38 years. 

here's text from a chiefs order

Each unleased mineral owner shall receive a monthly cash payment equal to a one eighth share of the gross proceeds from production. Allocation of the one-eighth share shall be based on the unit participation of each unleased mineral owner’s tract. EAP shall make monthly cash payments to all unleased mineral owners at the same time the royalty interest owners are paid. d) In addition to the cash payment specified in paragraph 9(c) of this Order, each unleased mineral owner shall receive a monthly cash payment equal to a sevene ighths share of the net proceeds from production. Allocation of the seven-eighths share shall be based on the unit participation of each unleased mineral owner’s tract. After EAP recovers 200% of the cost of drilling, testing, and completing the initial well, EAP shall begin making the monthly payments to the unleased mineral owners for that well. For each additional well drilled in the unit area, EAP shall begin making monthly payments equal to seven-eighths share of net proceeds from production to each unleased mineral owner once the working interest owners have recovered 150% of the cost of drilling, testing, and completing each additional well. Once a specific cost is charged to the initial well, that same cost cannot be charged to subsequent wells in the unit area.

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Permalink Reply by adam sorell 19 hours ago

IM IN ohio. But would it go to court first? What im asking for is just what my expired lease was with them. I feel im reasonable since before it was a wild cat play and now the utica Belmont Co is proven

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Permalink Reply by Nancy Mosley 5 hours ago

I am not knowledgeable about the Ohio laws. I hope somebody here can help.

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