Hello,
In the process of trying to figure out my expected royalty payment, I was stumped by barrels produced monthly. The well is Goodman 1-36H drilled by Continental Resources in the Bakken (Williams County ND). Sections 25 and 36, spacing unit of 1271.2 (If that matters). While plugging in numbers on a royalty payment calculator I realized that this is the only one I was missing. Does anyone know anything about Continental's Goodman 1-36H well and what its monthly production is/was? If you are not able to report on that well, is there any way to find monthly production rates of wells?
Also, I found that its spud date was in June of 2010 however my Division Order has an "Effective Date" of 10/1/2010. Could someone explain what the significance of that date is?
Thank You Very Much,
Joe
Joe:
It appears via the NDIC website that this well had 53 bopd; 0 bwpd as reported on the Daily Report dated 12/17/10. To get the monthly information about wells, go to the North Dakota Industrial Commission website, click on FAQ on the left side of page and scroll down to "Where do I find Monthly Production on Wells", you will have to subscribe for this service. Hope this helps!
Thanks a lot Charles, your knowledge is much appreciated. Is just multiplying 53 * 30 a "good/close enough" way to come close to what the barrels per month is or could that be very innacurate. Also, do you have any idea why there is a postage date, followed by an "Effective Date" on the top of the division order? Do you know what this "Effective Date" indicates? Maybe just when the division order was legally "Effective"? Also, The well was completed on 10/8. Does that mean that's when production started even though the spud date was 6/17? Finally, do you know what the status date is? Thank you very much. As you can see I am a bit of a layman, but very curious and THRILLED to have this great place as a resource.
Thanks much,
Joe
I have found the $50 per year subscription to the NDIC to be well worth it. (no pun intended). If your output stays at 53 bbl per day your monthly revenue may fluctuate quite a bit as they may hold more in the tanks and sell more at 1 time. There may be days of no production for many reasons. They may also rework your well to increase the production.The well may have been spud on 6/17, drilled in 30 days or less waited some time on a frac crew and completed 10/8 of 2010. That’s a very good time frame. I hope my wells that are drilling now, complete that fast. I really recommend the NDIC subscription. You will have acess to more confusing information, but it’s better to know than not know and it will make sense after awhile.
Haha, great, I will subscribe tomorrow. Thanks for the reply. So the completion of the well means the beginning of production right? Meaning, production would have started in October correct?? Or during drilling in June??? Thank you! One more thing if you don't mind. Why do you say monthly royalties may fluctuate if the well continues at 53 bbl/day? Is there something about 53 bbl/day that suggests fluctuations?
Thanks again!
Joe
They probably have 3 big tanks on site. I’m thinking they will not have made it a priority to connect that well to a pipeline. If they are trucking the oil, they may let it build up in the tanks a bit before sending it to market. I have seen 10% of production of one of my wells not be sold in a month and it would easily have filled a few trucks. Why it wasn’t sold? I haven’t a clue! I think, payment is for barrels sold and not just produced. There is also downtime. They may not have your well on pump yet. If that’s so you may see a drop in production and an increase later because of the pump installation. Some people call it a pump bump. I am also thinking that 53 bbl a day isn’t what they were looking for. They may be able to rework your well to increase production. Many, many variables to ponder. As soon as I think I have a good grasp of the situation something new pops up. I think wells eventually settle down where you can predict fairly reliably what they will produce month to month, but I think it’s difficult to do for a young well. Add to that the price of oil changes, drastically sometimes. Good luck calculating a number.