Robert, what is “scfd”? I’m familiar with mcfd, which is 1000 cubic feet per day.
Donald,
I’m not Robert, but
SCFD is Standard cubic feet/day
MCFD is 1,000 cubic feet, determined by using a ratio of 6 mcf of natural gas to 1 Bbl of crude oil.
Mcf is thousand cubic feet of natural gas.
Bcf is billlion cubic feet of natural gas.
Kaye,
Most of the old leases were producer 88 leases and people didn’t realize what they were signing or what could happen. I have lots of old leases and my family marked at least 1/8 of things out and always had a page added to the back. In the 1930 to 1950, people only knew what was happening in the area they lived in, but today with computers/DSL, information get around a lot better and faster. But, even in todays market, people are still sign leases that needs lots of work and getting nothin for bonus. It goes back to how much work a person does to research their business. I look at oil/gas leases as part of my business and assets. Plus we have to remember oil/gas leases was a new thing back in the 30rd, just like wind leases are today. I hate to think what is going to happen to people in 30 years who signed today wind leases. It will be worst than a 30 year old O & G lease.
Kaye
The core differance in leaseing today and in the 30s or later is that at that time people were broke coming out of the depression.Aside from Osage county oil drilling was here and there across the state.Most people would jump for joy just to have a company drill on there lease.If they were to ask for a crazy lease amount the company would just go to their neighbor who may not even want a bonus,they were just glad to have a chance to get a oil well and steady income.
Lee
That is 613M scfd. sorry.
Robert,
Do you mean that the addikisson well is 613 scfd and 563 bopd? That is a good well, hope it continues at that rate.
Addikisson was flowing 613 scfd of gas also.
Lee and Robert.
Thank you for the scf explanation. I’ve been involved with production reporting and revenue auditing for over 30 years and this is the first time I’ve seen that unit of measure. Traditionally, m=1000 (its latin for thousand), and mm (1000 1000’s) is a million. Glad to know its pumper meaning. Robert, I think you meant “BOED” (Barrels of Oil Equivalent) instead of MCFD. 6 mcf of natural gas has roughly the energy content of 1 Barrel of Crude. Which is interesting when you compare the price of the two commodities $2.30 per m vs. $85 per b. Clearly, either natural gas is a great bargain on an energy content basis today, or oil is over-priced. Probably a bit of each. Although there are market factors that distort the comparison (like primarilly U.S. and Canada for natural gas, and international for oil).
It is also good to hear about initial production of these wells. I have a small leased mineral interest in Section 1 17N 2W. PennVirginia just extended their leases, so perhaps they’ll be drilling there soon.
Update N. Logan Co. Devon well the Winnie just came on at over 700bbls per day. The Adkisson just dewatered, and came in at 563 bbls per day.
Donald
Gas is measured ,bought and sold in in a unit of 1000 cubic feet.The term MCF has confused pumpers for years. A well will sell say 15o cubic feet of gas in a day and the report will be given as 150mcf.The right amount is 150 thousand cubic feet or SCF.Mcf is 1 million cubic feet which is a very good well.Hope we see these welss do that much and more.
Lee
Donald,
When you think about all the things that are made from our oil, it’s a really good deal. In fact, oil should sell for about $100 bbl (42 us gals) to be equal to today’s prices compared to everything else. One of the reason that Nat. gas isn’t worth as much is because we mostly use it for heating. I feel once we get more cars/trucks/ buses using it, it will go back up. Also, a cool winter will raise the price again. I know that prices at the pump are hurting a lot of people, but it’s not from the price of oil, it’s from the high salary of the oil company CEO’s.
John,
I wish I could tell you for sure, but I live in TX, but we do go to the farm a lot in Oklahoma. Next time we go up, I will check and see what I can find out. We just got back the end of May and I didn’t see any rigs running, did see a couple wells being put on line.
Regarding your minerals, if you get a 640 Acre spacing unit which is what most of the H wells are, it means whatever percentage you leased for would be divided between 640 acres and you would get the 1.3334 of that.
Example: You lease for 3/16. You can take the total production of the well times 3, then divide by 16. This total is then divided by the 640 acres in the spacing unit , then you would take your 1.334 times that for your total. Their are other ways to do it, but this is the simplest for me to explain.
I have heard that most leases in the area are going from a low 500 to high $800, some with 3/16 and others with 20%. I would watch the 20% part as I think they may be added some charges to these people without them knowing it.
Wish I could help you more. Maybe some one who lives in the area can help out.
Virginia Pflum,
I am interested in finding out if there is any activity in or around 08-15N-3W. I have what is apparently a very small mineral interest of 1.3334 net mineral acres under 80 gross acres. I’m not even sure what that exactly means. I would appreciate any guidance.
Thank You Virginia, I have not leased yet. A year and a half ago I received an offer from “Universal Land Services, LLC” . The offer was for a 3 year term, 3/16 royalty and $75 per net mineral acre. I did not accept the offer as I never responded. Should I be shopping around to see if any companies are interested in leasing now or is this usually a lessor driven process?
The adkisson was dewatering all the water put in for the frac, and just started producing oil. The well is flowing via a downhole pump, and so the rate may be determined by the pump speed, and may not be indicative of the actual potential flow rate at max, as I dont know if they set the pump at 100% for dewatering. The bbls per day rate was 650 the day before and 653 on the second day of oil production. The gas rate was 613 thousand standard cu. Ft/ day.
Kaye, I appreciate the help, great information and I am now corresponding with Greg.
Thanks!
Virginia,
I tried the e-address for Kaye but came back undeliverable. Do you have another contact point for her?
Virginia, No problem, your help as well as Greg’s is greatly appreciated. I’ll try the address.
John,
If you think you want to lease, you may call a few companies that are in the area one is Devon and they are a good company. Also, Kaye got $800 with 20% going through Greg. I can’t remember his last name, but you can email her and she can tell you (fractualresearch@yahoo.com. I’m sure their are plenty of landmen in the area looking for leases. Greg had ask me if I had any minerals left to lease, but I didn’t so I sent his name to Kaye and she worked with him. He maybe on this forum and will contact you. Good luck.
Do you know any of the neighbors where you minerals are? If so, call them and ask who they leased to and if anything is happening in the area. They may not tell you what price they got, but may be able to give you other information.
John,
I’m sorry, looks like I can’t type or spell anymore. Had a “r” in the wrong place.
I hope this is right.
Virginia