Hello all, first time to post here. My family owns minerals in McClain County in Section 32-08N-04W. I’ve tried to research this but may not understand correctly. Should we be receiving a royalty for the Wherrell well in 29-08N-04W if we have minerals here? I wonder if our interest is “suspended”, but we are confused by the Spacing documents and cannot tell whether Section 29 is tied to Section 21-09N-04W or our land. Can anyone shed some light on this? It feels like a rabbit hole tying numerous wells to section 29, and then 21, and then 32. Does the X in the name mean something I need to know? Help a newbie, what does all of this mean!?
Welcome to the forum! You will find lots of useful information here.
The Wherrell well has a surface location in section 32 and goes north into Section 29. You can find the well information at the OCC Well Records site. Type in 2908N04W in the location box. Form 1000 is the permit and has a map of the well path. The X in the name means an eXtended length horizontal well since it goes into two sections. Form 1002A is the completion report. If you have minerals, you ought to be paid on that well. Contact Newfield. (Might be a title issue and holding you in suspense until they clear it up. Newfield just got bought by Encana, so that might complicate things. ) Newfield just issued another permit for the Foster 8-4-29-20-1H which goes from 32 into 29 and then into 20. Might be slowed down due to the Encana purchase.
Thank you so much for your response, that is very interesting and helpful! I will try and research this more and contact newfield. Does this permit for the Foster mean that we would receive royalties for that well also? Is it better for mineral owners to be part of these wells that cross over so many sections, or does it mean less money for everyone due to the well spacing being in 3 section? Thank you again M Barnes
Yes, you will receive royalties from the Foster well if drilled. Various folks will have different opinions, but I think the the multiple section wells are a good thing. Drilling one well that goes across two sections is much cheaper than two- one section wells. They don’t have to spend the money drilling that second vertical section of the second well. Also, because there is a no-drain easement at the section lines, you lose 330’ or more at the boundaries. By having a two section well, they are allowed to perforate that extra 660’ , so that means more production. That was the good side. The other side is if you are in a section with a fault or something mechanical happens and you get the short piece of a well instead of the almost 50% of the well, you might not get as much in royalties. Just a factor of geology or mechanical issues. In your case, section 29 makes out better than section 32. So you are happy, but the guys in 32 not so much.