# Pooling and royalty question

**URL:** https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783
**Category:** Weld County, CO
**Created:** [July 26, 2014, 12:01am UTC](https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783 "2014-07-26T00:01:17Z")
**Posts on this page:** 5
**Page:** 1

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### Author: ![Barry\_Songer](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/b/bbe5ce/32.png) [@Barry\_Songer](https://www.mineralrightsforum.com/u/Barry_Songer)
#### Post date: [July 26, 2014, 12:01am UTC](https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783/1 "2014-07-26T00:01:17Z")

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If a 1280 acre pooling order is established and a well is drilled on 360 acres of it, say the NW 1/4 of one Section to the NW 1/4 of the next Section, does everyone in the two Sections get paid or just the owners of the area where the well is drilled?

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### Author: ![Gary\_L\_Hutchinson](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/gary_l_hutchinson/32/4582_2.png) [@Gary\_L\_Hutchinson](https://www.mineralrightsforum.com/u/Gary_L_Hutchinson)
#### Post date: [July 26, 2014, 12:41am UTC](https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783/2 "2014-07-26T00:41:37Z")

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You may mean 320 acres but no matter, everyone gets paid in accordance with the rules of the approved pooling order. Usually it is on a net acreage basis for royalty but not always. Sometimes it is an estimate of physical measurements of formation thickness etc. In horizontal drilling development of multiple zones (the Niobrara has 4 in some areas) the pie is decided up no matter what zone is drilled and completed and regardless of the mineral ownership of each well.

Pooling is a fair way to even out all of the inefficiencies of production and the non-homogeneous nature of oil deposits.

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### Author: ![Barry\_Songer](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/b/bbe5ce/32.png) [@Barry\_Songer](https://www.mineralrightsforum.com/u/Barry_Songer)
#### Post date: [July 26, 2014, 3:20pm UTC](https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783/3 "2014-07-26T15:20:13Z")

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Seemed odd to me also but the permit application is for 360 acres. The directional shows it starting in the NW corner of the NW 1/4 which we own and goes north through the SW 1/4 of the next Section into the NW 1/4. So if we have 50% interest in the N 1/2 (320 acres) of the one Section where the well will be we will get paid on 160 not 80 net acres. Is this correct?

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### Author: ![Gary\_L\_Hutchinson](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/gary_l_hutchinson/32/4582_2.png) [@Gary\_L\_Hutchinson](https://www.mineralrightsforum.com/u/Gary_L_Hutchinson)
#### Post date: [July 26, 2014, 4:44pm UTC](https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783/4 "2014-07-26T16:44:54Z")

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Barry,

If you send me a personal message with the API number or other legal reference to the APD, I will check it out. Could be you are in a highly corrected Township or the Applicant is forced to gerrymander a nonstandard unit due to regulations.

Barry Songer said:

> Seemed odd to me also but the permit application is for 360 acres. The directional shows it starting in the NW corner of the NW 1/4 which we own and goes north through the SW 1/4 of the next section into the NW 1/4. So if we have 50% interest in the N 1/2 (320 acres) of the one section where the well will be we will get paid on 160 not 80 net acres. Is this correct?

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### Author: ![system](https://www.mineralrightsforum.com/uploads/db5755/original/3X/6/c/6c7c56608c843272ad6e3662ce9562a5956f173e.png) [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [August 15, 2018, 12:27am UTC](https://www.mineralrightsforum.com/t/pooling-and-royalty-question/9783/5 "2018-08-15T00:27:31Z")

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