2906N01W McClain County


#1

Found permit to drill for 2906N01W on permit it has a LOCATION EXCEPTION 678279 with 3106N01W listed which is my location for my leased minerals. What does LOCATION EXCEPTION mean?


#2

To see the order, insert the Order number (678279) in the “Order #” field at: http://imaging.occeweb.com/imaging/OAP.aspx

In a general sense, it means the well can be closer to the unit boundaries than what is allowed under normal rules. Since a multi unit well crosses the common boundary and starts/ends very close to unit boundaries, you see Location Exception Orders for the units.


#3

Nothing to worry about. In general, the companies will file an exception letter to move the well closer to the east or west line of a section in order to leave room for more possible wells in the future. The OCC still keeps a reasonable safe margin of about 330 on the east and west sides (and another 330 feet on the other lease line) so that the wells don’t drain the other section. The north or south borders of 330 feet for the proposed well bore contiguous sections are waived for a two section multi-unit well in order to drain the whole 660 feet between the two sections. Drains the reservoir better and gives more royalties.


#4

I have leased mineral rights in 2906N01W. I was wondering how you knew they were drilling there??


#5

I have a bunch of acres in Section 8 6N 1W. Who did the leasing? Was it that Red Sky outfit? Also curious about what the offer was?


#6

BP has a permit for the Rockwood 6N 1W 31 1HX. Looks like the surface location is in 29. You will not get any royalties from 29, but having the pad there is good for future drilling in 29 going north. BP is the operator in the area. No pending wells at the moment.


#7

Red Sky is in the area, but Cochran did most of the leasing for 8. $150-200 3/16ths is probably in the ballpark.


#8

They offered. But they did not want to allow the depth clause. They wanted to modify it in a way that would make it useless. I declined.