Is Forced Pooling being used to get around old gas lease limitations?

http://oilandgas.ohiodnr.gov/portals/oilgas/pdf/unitization/2014/Gr...

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Permalink Reply by Joseph-Ohio on August 1, 2014 at 4:34pm

Maybe there were other details in Matt Kramer's lease offering that the landowner couldn't abide with.

For instance, perhaps deductions would cause the lease to be viewed by the landowner as too punitive ?

In the end I find it impossible to be too judgmental myself since I don't know all the facts especially without seeing how the lease reads.

Only the ODNR Oil and Gas Division Chief calls the shots on these things which is pretty darn scary when I think about it.

Has it been ruled on yet ?

What's the status ?

Permalink Reply by Dexter Green on August 1, 2014 at 4:42pm

They are in fact meeting the same end.  That's a very astute observation.  And you're right, we only have half the story here so judging the situation is all but impossible.

Permalink Reply by Philip Brutz on August 2, 2014 at 1:20am

http://oilandgas.ohiodnr.gov/industry/unitization#DATES

The hearing is scheduled for 9/11/14 at 9:30 a.m.

Permalink Reply by Joseph-Ohio on August 2, 2014 at 2:50am

There's quite a few scheduled on that ODNR page.

I wonder if any of the larger landowner groups will send representation ?

How about GMS representation ?

How about media representation maybe Bob Downing from the Akron Beacon Journal will be there ?  

Permalink Reply by Joseph-Ohio on August 2, 2014 at 3:40am
Sent Bob Downing an e-mail and link to this dialogue a few minutes ago.

I think it would be a good idea if other landowners did also.

Let's see if we can get some media to cover this and keep us all informed.

To me Forced Pooling / Forced Unitization is a huge over reach by the State.

If they do things like that they ought to compensate us for loss of valuable consideration similar to eminent domain claims.

All IMHO as always.
Permalink Reply by Joseph-Ohio on August 2, 2014 at 9:17am

Here's Mr. Downing's public e-mail address :

bdowning@thebeaconjournal.com

Drop him an e-mail note.

J-O

Permalink Reply by Philip Brutz on August 2, 2014 at 11:30am

http://oilandgas.ohiodnr.gov/portals/oilgas/pdf/unitization/2014/Ja...

Joseph, what about the landowners that are next to land owned by ODOT?  without forced pooling they would be denied their right to develop their minerals.

Permalink Reply by Joseph-Ohio on August 2, 2014 at 11:39am
Those folks are exceptions that need to be attended to.

But a Blanket Forced Pooling / Forced Unitization procedure leaving all calls up to a single individual to me seems extreme.

How would an acreage weighted landowner vote work I wonder ?

To me that would seem to be a much more democratic method.
Permalink Reply by Joseph-Ohio on August 2, 2014 at 11:55am
To me, the long horizontal bore technique is a new breed and it would seem to me to require new lease agreements.

To me, to HBP lands and employ old leases based on smaller conventional vertical well unit sizes for the new long horizontal bore technique seems inappropriate to begin with.

Only IMHO as always.
Permalink Reply by Philip Brutz on August 2, 2014 at 1:19pm

"Maybe a smaller unit size / shorter horizontals would work better (if a developer would want to do a shorter horizontal on a smaller unit size).

I don't really understand how ODOT owned land adjacent to privately owned lands disallows development of the privately owned lands.

Can you provide all of us more detail ?"

ODOT is not leasing their land and anyone within 500' cannot be drilled. Look at the map of the Jamar unit.  several small landowners are within the 500' circle. 

Permalink Reply by Philip Brutz on August 2, 2014 at 11:53am

http://oilandgas.ohiodnr.gov/portals/oilgas/pdf/unitization/2014/Go...

How would your "weighted landowner vote" work in this unit?

Permalink Reply by Joseph-Ohio on August 2, 2014 at 12:03pm
It would take a bit of acreage ratio math but that's a darn good reason to put math to task.

To me the acreage ratio math applied to a landowner vote to develop or not develop / to lease or not to lease beats abdicating the call to a single politically appointed individual.

A landowner quorum vote instead, similar to congress.

IMHO as always.

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