Is it possible to know the exact 40-acre lot location where a horizontal well will be drilled, within the 640-acre drilling unit?
I may not be wording this question correctly, so will state it another way: The drilling unit is 640 acres - I own rights on 120 acres of this unit. The vertical wellbore (?) for sidetrack #00 is producing. (On my acreage) The oil company has approval to drill a directional well (sidetrack #01). Again, the unit acreage is 640 acres… my question is:
If the #01 is drilled on a lot other than my 80 acres, but still within the 640-acre unit, will I realize production royalties from this?
My thoughts are that whatever oil is produced from any portion of the 640-acre drilling unit will benefit me royalties.
Thank you, Pam