1). what is the difference between "wells released from tight hole status" and "wells approved for tight hole status"
2). Wells "plugged or producing". Which is it? Should be one or the other.....right?
Thanks,
KJK
- shut in is another option.
"Tight Hole status" means information on this well will be held confidential for six months.
"Approved" means it is beginning the six month period.
"Released" means it has finished its confidential period.
"Plugged or producing" simply means drilling has been completed and they don't want to state what their results were. Typically a few weeks, or months, later they will announce the actual results.
Thanks EMT the first three make sense. I am hoping that "Plugged or Producing" does not add an additional few weeks to a couple of months onto the confidential period and specifically a first royalty payment.
Mr. Howell, "2) shut in is another option" Are you really gonna leave me hanging with out your definition LOL?
Thanks for the replies,
KJ, when you think the well has been completed and should be producing, by watching to make sure that the well is no longer in DRL status, green circle on the NDIC GIS map, six weeks later you could check general statistics for how much oil was sold. Oil sales are public information. That will not tell how many days the well produced or how much was produced, because there is usually something left in the tank, but how much was sold. It does take some effort to pick out a well from general statistics because there are thousands of producing wells and more all the time, there is no index and wells are usually loosely grouped by field. It doesn't tell all but it could provide an important datum prior to the end of the confidential period.
Because one month sometimes doesn't mean that much, checking two months of sales would be preferable. Sometimes one month will tell you what you want to know. My friend Andrew Babcock asked me what 30,500 barrels means and I told him that was his cue to start smiling. I hope this helps.
K J, this is not a game for the impatient. Things can be delayed, or drag out, at almost any point;
1. They lease the minerals. Then during the next 3 to 5 years they...
2. File a drilling permit. Then in the next 12 months they...
3. Actually drill the well. Then in the next few weeks, to few months, they...
4. Frack the well for completion. Then they still need to...
5. Do a complete Title Opinion. This confirms precisely who owns an interest, and in what amount. If these were Great GrandDad's minerals from a homestead, you might get a letter saying ND probate needs to be done before they recognize your ownership. The Title Opinion may be done during drilling or be done dozens of months after the completion.
6. After your ownership is confirmed they'll mail you "Division Orders" specifying what they believe you own.
7. After you confirm if that is correct, then sign and return their Division Order you should see payment within a few weeks or a month.
Not trying to worry you, just trying to outline what folks should realistically expect on the timing of the process. Assuming they find oil, it is a rather slow process to see your first payment. Two important points: Don't spend it before you have it in the bank. Then don't forget that first check you receive is not indicative of what later ones will be (it is far larger as it represents multiple months of production rather than just one). Hope this helps. Just be patient and eventually everything will be in place.
KJ, I did a little more investigating and I can see that 218 barrels oil were sold in January 2013 and 4,072 barrels were sold in February 2013. Remember that many wells get a slow start and that they have to work up to their highest production before they really decline. At least plugged or producing should no longer be at issue for you.
r w kennedy said:
KJ, I did a little more investigating and I can see that 218 barrels oil were sold in January 2013 and 4,072 barrels were sold in February 2013. Remember that many wells get a slow start and that they have to work up to their highest production before they really decline. At least plugged or producing should no longer be at issue for you.
Good stuff RW, you definatley have an inside edge. don't know how but that is ok for now.
To everybody....obviously looking forward to help setting up my kids futures. But most importantly want to let my Dad (83) taste what he deserves and earned by working the land.
Went to the doc with my Dad today and both found out for the first time he is in stage 4 of prostrate cancer...WTF (been doctoring for this for 15 years?) Arrogant Pakistanie Dr., Ahrgh.....Oh well.
Bottom line is that myself and Hopefully my brother are gonna figure out a way to get Dad to Alaska this summer and get him a new pickup before year end.
Sorry for the sad story but it hit home tonight.
KJ, I am sorry to hear about your Dad's illness, you both will be in my prayers. I will try to remember to get you the march numbers when they come out, to save you the drudgery of searching for them.
Thanks for the info RW. I believe the well you are refering to is the Oukrop. We are involved in the Faiman right next door to the west in 141 97 33. No runs for Feb but it shows 257 BBL's for one day I hope that is not the IP.
I have to admit the mystery, following close wells, and speculation is enjoyable. We get reports from friends in the area that there is a lot of activity at the site. No less than three tankers a day coming and going. Went from 8 tanks on site to 12. Patience is supposed to be a virtue, we will see when the March production report comes out next month.
Thanks again everyone. IMO this site is more informative than most social media.
Sorry about the mix-up, I went to your home page and saw a reference to section 34 and I should have dug deeper.
257 bbls might not be a bad IP. Alot of wells don't hit their stride until 3 months or more in. The IP isnt always the best a well can do.