Would four wells on a single pad all be in the same unit?

We were told by our gas company that they were putting a single pad with four wells on it on our neighbor's property behind us in Susquehanna County.  Two were going South and two were going North.  They told us two were going directly beneath our property.  Yeah.  Would I be correct to assume that all four wells would make up one unit?  Or would the two going South be one unit, and the two going North be in a seperate unit?  I appreciate any input.

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Comment by patty on January 31, 2012 at 8:13pm

I also would like to know the answer to this question, we are in a n. unit and there are five well permits for the pad, I would like to know how this is going to work out.  Do north and south share royalties on all the wells or split the wells.

Comment by beth hamm on January 19, 2012 at 11:08pm

 

as in our case it could be in 2 - a north and a south.  sometimes they split the pad into more than one unit due to leases they aquired from other companies. if they are going under you directly you can be in both --- part of your land in one and the remainder in the other one.

Comment by Lori Weiss on January 16, 2012 at 7:28am

Despite the bad rap Cabot Oil gets in the news, they have been very forthcoming in their dealings with us and the other land owners.  They've had our water tested three times (on their dime) and have sent us the reports of the tests.  The landman came out to our property to inform us about the well behind us and even told us exactly where it was being placed.  He even answered some of our questions about the well a few miles away.  So far, all of our experiences have been good.

Comment by Tug Steward on January 15, 2012 at 4:06pm

It is very possible, and quite common, that two units be declared from a single pad.  Clearly, you would expect multiple drilled or permitted wells on the pad for this split unit declaration to be made. It has been routinely implemented where leases limited units to 640 acres (or some other number) and splitting the unit kept the company in compliance with the lease terms.  Northerly horizontal bores often comprised one unit while southerly bores another.

Comment by Billy Park Whyde on January 14, 2012 at 4:49pm

Congratulations! A good question I will be looking forward to the answer you get here on it. Buy the way nice PR for the company to tell you and I hope they have been good to work with.

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