For a horizontal well, if a No Perforation Zone is approved to be removed, and part of the zone covers an abstract not leased, what happens?
I assume the lessee must track down owners of the additional abstract and either negotiate a lease or give them money as prescribed by state law covering this type of situation.
1 Like
The no-perf zone will only be removed if the operator demonstrates the right to complete without violating RRC rules. You need to post more information to provide clarity as to your question. Are you an unleased mineral owners in one of several tracts crossed by the horizontal wellbore of a permitted well? Did you receive notice of a spacing or offset issue and did you file a protest at RRC? Notices to unleased or affected adjacent mineral owners, any protests and the resolution are posted in the various permit filings. Most frequently the withdrawal of protests occurs upon leasing. The operator does not need 100% of all minerals to be leased to drill and some mineral owners opt to remain unleased and come in at payout. I am not familiar with a Texas statute which requires cash payouts regarding no-perf zones. Can you provide a citation?