Seismic Test Payment

General Mineral Rights Discussion
1

Has anyone have any information on what this is for or how it is used? We have been offered $100 an acre to allow this to be done on leased mineral right land. Just have not heard of this. Please respond.

2

Dear Mr. McLaughlin,

Seismic testing is an exploration technique used in evaluating a geologic area prior to drilling wells. In involves the setting of energy points (vibration trucks, thumpers, dynamite) and geophones (receivers) to listen to the reflected wave movement. That data is transmitted to a central carrier and logged for further processing of the raw data.

I can tell you right now that the rate seems very high to me. Fact is, I have never heard of a rate as high as that. Most run in the $15-25 per acre range.

If you can scan and post your offer after redacting sensitive data, we can comment for fully.

Best

Buddy Cotten
3

Thank you Mr Cotton for the information. Also you are correct on the amount per acre, we received $10 not $100. I have also read that this is done for disposal wells also, my question is can an oil company just use your land for a disposal well and not drill for oil or gas?

Thanks again.

4

New rules for siting injection wells are coming from the TxRRC soon. More documentation of underground rock types and the possibility of injected wastes leaking via faults and permeable strata. It would seem that mapping shale layers which provide seals that retard or prevent fluid flows will be more important now. Seismic studies are good at showing these types of differences in the rock layers. Injection wells are using porosity and permeability under a given piece of land. I believe that rights to porosity generally go with the surface owner and not the mineral owner, if the rights have been separated. What a oil company can do on your land is spelled out in the lease, tho it might not be real clear, to us laymen. Due to complex language or "fine print". If there is a local landman who has been around a long time you might discuss it with him.

5

Thanks for the information, we are the land owner as well so I'm just looking out for our best interest to try to protect our land the best we can if drilling does happen.

Thanks Again!

6

Dear Robert,

The protection of the land comes before anybody has access to the property. From the seismic survey through drilling and production, each step should be covered by an all encompassing contract.

Best

Buddy Cotten

Robert McLaughlin said:

Thanks for the information, we are the land owner as well so I'm just looking out for our best interest to try to protect our land the best we can if drilling does happen.

Thanks Again!