26 & 35 7n-13e Pittsburg county, operators vying for control

The OCC in order 719912 permitted two two mile horizontal wells to Merit Energy. I recently received from a lawyer notification that Sanguine Gas Exploration now seeks to be designated the operator for those two new proposed wells–which have not yet been drilled. We have minerals in section 35. British Petroleum drilled a two mile well in those same sections a couple years ago. Merit Energy bought out BP and has been a good operator so far as payment of royalties. We are satisfied with Merit Energy’s performance. Question: should we care if Sanguine or Merit Energy operates the two new wells, given that Merit Energy already operates a very similar well in the same sections? The OCC has scheduled a hearing 17 May.

The OCC will make the determination as to who will be operator. The mineral owners just sit back and wait to see what happens. We might prefer one operator over another, but we usually do not get any say in the matter.

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