I have received OCC notice of hearings for this area Stephens Co. 15-1S-4W regarding both Continental Resources and Citation Oil and Gas. Can anyone explain in very simple layman terms what is going on and what to expect? Thank you in advance.
If you give the case numbers at the top of the hearings, then we can help explain them to you.
I also received a copy of the filing with the CCO case CD# 202102210, filed 10-13-21. Continental Resources Inc. is requesting approval for a new multiunit horizontal well in Sec.10-1S-4W and Sec.15-1S-4W in Stephens Co. I believe the surface well will be in Sec.15 and the bottom hole in Sec.10 The case was to be heard on 11-8-21 but I have no indication that it was held or possibly delayed. These cases are often delayed due to many factors but eventually decided. If the well is completed and producing it will likely be several months before any royalty owners will receive payouts. Also I believe the payouts will be split 50-50 between 10 &15 so your individual payments will not be as great as if the well was only in one section. Anyone else have thoughts or comments on this case or discussion?
On a multi-unit horizontal well that is approximately 50/50 in each section, the wells has twice the perforations as the length is twice as long. And because they have no easement between the two sections the perforations are often an extra 600’, so you actually probably get as much production or a bit more due to that extra 300’ on each side of the lease line. It is a good thing!