I have mineral rights in two parallel 2-mile-long wells about a year old. Suddenly they went from producing like gangbusters to one operating only two days in November and the other one zero days. I am curious why this happens. Did they just dry up? Did the pumping mechanisms break down? Are they saving the oil with plans to sell later for $150 a barrel? Or is this just routine well maintenance?
It can be really any of those things and more (in 2022 it is most likely not due to âdrying upâ unless the well is being P&Aâd). Sometimes it can be shut in due to frac-hit, offset drilling, if itâs somewhere cold it can be due to operating costs in the winter, etc. Most of the time it only occurs for a few months at most. If you have the well info it can help to check and see what might be going on in the filings.
Lea County, New Mexico wells 30-025-46976 and 7
Alright so quick look; those wells are the Black Marlin Fed 204H and 214H (Orange and highlighted).
Offset of those wells there are a number of DUCs (drilled uncompleted) wells. I.e wells that have been drilled but not completed. The wells were drilled in August of last year and it looks like your wells lowered production in October of last year. I can try and find if the frac crews were on site but I would assume your wells lowered production to complete these DUCs at first pass. Could be really good news if you are in those units as well as it would mean new D.O and royalty checks. Hopefully that helps with a quick look.
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Wow thanks so much for the good news! Really good news! That map shows EIGHT new wells on my mineral rights! I was aware of the 4 permitted in Section 18, but my research showed no activity whatsoever on those sites. I have rights on Section 7 directly above and that is the other two or three. I had suspected close by fracking but could not verify any of that. Needless to say your research is more than enough reasons to do my happy dance. THANKS A LOT!! While studying that map, look at Section 12. Is that really wells crossing each other?
Section 12 well crossing could just be a bad bottom hole to be honest. I took a look and it looks like the Dogwood well to the East has a frac crew on it right now. Needless to say, lots of activity in the area which is exciting. Congrats!
PhillD, what software did you get that map from?
Drying up is a perspective. A rule of thumb one can say a wellâs life may average 10 years. Although some wells can produce for many decades like the discovery well by Standard Oil circa 1925 Hobbs NM. It was just plugged about 15 years ago. However, a well with lucky owners may do well for the first 2 years, then step down to the next plateau making half of that for 2-3 years, then another step down half of that and so on. An Operator decides to fracture or re-complete a well and production can shoot up again starting the decline cycle again. Over the years, from what I have seen, âweâ in this country are recently going for the throat to get oil. We have wells literally draining oil on top of one another. Conserving itâwhich regulating departments are supposed to be doingâis going out the window. The oil remains in the rock, getting it out is the trick. At the rate we are consuming it, it wonât take long before these horizontals start plateauing on their decline as well. When someone says we should make all the oil we can and supply all our allies with energy is talking pie in the sky bs. We need to conserve to some extent what we have. Our strategic reserves is really in case our military needs itânot to alter the price at the pump. If anyone has any minerals they are interested in selling, I would love to talk about it. These mediocre to big independents have sold many USA minerals to the Chinese companies right out of West Texas. People should be concerned where their mineral ownership is going when selling to these big companies.
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Thanks, see my responses in the topic âHow Long Does Fracking Takeâ for more information.
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