Yep I see it now, depth to turn (towards 360 degrees) is 5,300 feet, and it takes 1,000 feet to actually make the turn into Horizontal. The TRU
E vertical depth is an even 6,000 feet. It ends 200 feet from the North quarter section line and 2300 feet from the West quarter section line. So, although we have been sayin they are going down over 10,000 feet, this is actually not the case, as the true depth is only 6,000 feet, which is at the Woodford Formation.
Wonderful–wonderful, each day something new and more exciting. How about it db, you got anything to report on the progress?
I just love the latest offer to buy my minerals. It said. " Estate planning simplification, sell now. Also said, pay Capital gains tax V producing property tax each year. Now I know how to solve all my problems. If I sold, I would give these people the problems. What a joke. At least I know that they are getting ready to drill.
Virginia, how much did they offer you to solve all of your problems?? lol
Take note of 3619N3W. Devon has permits to drill seven wells issued last week. Four are horizontal under section 36 and three are going South under 118N3W. I think the permits have a statement: “Increased Density”. Can’t wait to see production data. The wells are going deeper than most others I have seen. Down past the Woodford.
Also, though the permit did not so state, the actual well location would be about 2100 feet from the East most section limit, which means day are going horizontally the entire height of the section and right smack dab in the middle.
Yep, I am sure you are right, Harley, I have since found that the turn will begin towards 360 degrees (north) and will take up 1,000 feet from the bottom of the vertical drilling until it actually begins the horizontal drilling shich continues to within feet or even inches of the northern limits of the section. Figuring this thing out is more difficult to understand than our involvement with the Majahadeen, which is still more important to us, but nobody knows it. LOL
Harley,
Hope Osage Expl. get you a good well in Logan Co. Then if you live in TX, you can pay taxes to OK. They take your gross income to figure what taxes rate you are in, not what you just make in OK. So, if you are in the 28% or 31%, you pay max to OK. Now don’t worry about having a dribble to pay the rent. I hear Uncle Sam needs more money as he is going to have to get a new airplane. He has taken to many trips, so forgot about having anything extra.
I finally have not set a depth, only a sand/shade on my leases. We were within a few hundred feet one time for a good well, but couldn’t finish it till we got a new lease. Don’t do that anymore.
If mother nature were capable and did spread the hydrocarbons evenly, there probably wouldn’t be any concentrations worth going after and we would not be here discussing it.
Virginia, I see what you are saying. I am sure some mineral owners would ask an arm and a leg, I think that most of those would be the ones who read the first lease offer, where the lessee tried for the entire store. I can’t blame the mineral owner in that case, after reading some of these leases.
I signed a lease once for $100 per acre and 18% royalty. This was ND where they can’t force you to lease, but good manners and good business practices are universal. They never paid me, although they recorded the lease. When I brought it to the companies attention, their first statement was that the lease was valid whether they paid me or not. I went around and around with them for a month, even spoke to the CEO. I told them I was going to sue. They offered me $3,000 and 20% per acre. They finally released my lease after I told them that my attorney had informed me that he had a block of time to start the lawsuit and it was now or a year from now when he next had an open block of time. They did it to themselves. I was reasonable to begin with.
They should have paid me. Ok, they didn’t, water under the bridge, lets fix it was my opinion. They could have said sorry for the oversight and offered me the going rate at that time, more like $2,000 and 20% and I would have accepted and told my brother to take the deal also. They couldn’t do that right off, no. They had a good swindle and they weren’t giving up on it. They had to lie to me repeatedly and say the lease was still valid. My research into O&G was in it’s infancy but I knew better than that. I told them I was going to sue and consulted my lawyer. Evidently they consulted their lawyer too, and he told them you don’t want to show up in court with this. Then they started throwing money at me trying to make it go away, more money than I would have asked. Unfortunately for them, there was now principle involved. I didn’t tell them that I wanted an apology and I would have accepted the going rate and I suspect that it never occoured to them that that was what I was waiting for. I know, the nerve of someone you (the lessee) tried to screw over[please pardon language] expecting you to do the right thing and because you won’t, you have made them unreasonable! In their position I would have apologized immediately and asked how I could make it right, I know right ? With my rough and ready manners? Yes I would have.
Money wise, it has worked out great. Mine and my brothers cost on the well and the risk penalty from being force pooled should be paid off in another 5 months or so and we should be working interests in a well that still produces over 300 bbl a day, the second well in that spacing had a pinched liner and it was a year before it was fixed but it looks to be the equal of the first well just a year behind. There were another few acres in a spacing with 4 more wells with both good Bakken and Three Forks production. Both spacing are due for more wells. My point here is that not doing the right thing, can cost an operator considerable money. I did not start out the angry sounding, unreasonable mineral owner. I’m more disgusted now than angry anymore and the default position of my face has always been a smile. I recently caught the lessee operator not doing the right thing again, I suggested that they waive the 50% of the cost of drilling and completing risk penalty on the affected well and they thought that was a good idea too. They wouldn’t have done that if I weren’t right, and certain beyond a shadow of a doubt that my lawyer was on speed dial.
Frankly, you can’t trust lessees/operators, have to watch them like a hawk because they have no concept of mineral owners as people, you are just something in their way, between them and what they want.
Harley,
Do we know what sand/etc Devon is planning on going to in these permit. Was this permit to drill or just spacing?
Virginia,
All seven list Mississippian, Woodford and Miesener=Hunton. Two of the seven go further to the Sylvan. All of the permits are between Devon and Commissioner of the Land Office. These are permits to Drill.
Reading and understanding these PERMIT TO DRILL and SPACING documents is something of a challange in itself. I have been comparing the well that interests myself with other PERMIT TO DRILLS, AT 20-17N-3W Logan, Ruffed rouse well no 1-20H, and the permit, is only listing
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Mississippian at 5700 depth
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Woodford at 6000 depth. And the permit says this permit valid for Listed Formations only. However, total depth is 10,900, and I thought the Woodford did not go down that deep???
It also said Surface Water used? Yes. And no water well drilled.
While some of Devons PERMITS in Logan County list both Mississippian and Woodford, then
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Misener-Hunton at 5610 depth
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Sylvan at 6552 depth.
Virginia,
Are they required to Drill or simply Spud?
Do they need to go back to court if they do not drill within the six months?
Harley,
I am pretty sure they have to drill within the 6 months time. I think it used to be 1 year, but the last time I looked it was only 6 months.
Ronald,
Are you sure it wasn’t allowed. Most of your Horizontal wells are drilled on exception spacing so they can get closer to the road or fence line in order to make the kick off curve. Otherwise, they would be in the middle of the section before they got into the producing sand. They usually get a spacing order, then go back before the 6 months is up and ask for an exception spacing. Lots of other things go into all this before the well is drilled .
I suspect that if Mother Nature had distributed all of this stuff precisely and evenly, we would not be having these discussions. Even Sarah Palin might have the skill to run the one and only Oil Company in the world.
I recall several instances during consulting days in different E and P organizations. For sure, the keys to the rooms with Seismic Data were few and far between. Might bet is on the accuracy of the Oil Companies.
We have a lease in the Eagle Ford Shale in which the attorney spelled out in great detail the depths that would be allowed. My leases in Logan County pretty much give carte blanche to the oil guys. Looks like Osage Expl is going to get to something before ZaZA energy in Texas. Hope Osage finds and shares a small dribble for my rent at the “home”.
I am pretty certain the depth is the total vertical and horizontal.
Does anyone know why the OCC Court Docket has only a few cases next week? Do the Judges get a Spring Break?
Harley,
Thanks for the information. I wasn’t aware that the Sylvan was a good producer in this area. Will be interesting.
Ronald,
If you read OCC permit, I think it says, Total depth is 10,900. So the kick off point will be a few hundred feet above the 5700 for the Miss. and then the rest of the 10,900 feet will be Horizon. So lets say, it is Vertical 5400 feet to the kick off point, then the rest is Horizon. I’m sure the kick off point is higher than this, but I am only using this as an example. One more thing about the spacing permits, they are usually only good for 6 months. That is one reason I don’t understand why all the companies are doing so much spacing unless it’s to keep other companies from spacing closer. Maybe one of these great oil people can tell us.
“I suspect that if Mother Nature had distributed all of this stuff precisely and evenly, we would not be having these discussions. Even Sarah Palin might have the skill to run the one and only Oil Company in the world.”
I would have never expected to visit here and laugh so hard. This paragraph had me in stitches!! Thanks for the laugh.