I heard on the Channel 25 (Fox) news last night that the “Oil Companies are cheering” because they are putting the finishing touches on the bill to lift the ban on the exporting of oil by the U.S. Said it still had to pass the House and the Senate but talked like it was just a matter of time. I told my husband that Obama would probably veto it and he said “No, I think they make some concessions to please him.” He said that’s what he had heard anyway. Said it would make the price of oil rise but would keep the price of gasoline low. Said the oil refineries and the nature people were against it. Said the oil refineries liked being able to purchase the cheap oil. Hope it passes like they seem to think it will.
RE: OIL CONSTRUCTION ON SECTION 16 AND SECTION 21, TOWNSHIP 2N RANGE 5W - STEPHENS County
Cause CD #: 201502559-T (approved by OCC 8-2015) but to my knowledge, not yet permitted.
For anyone who may have cruised the north side of Section 16, 2N5W within the last 2 weeks: Have you noticed any construction activity such as trenching for a gas line installation or a drilling pad being built/set up in the NE corner of Section 16? This, I think, would be about 1 Mile North of Wright’s Corner. Wow, I remember having walked to that store in the 40’s with my Mother, back when I was a tadpole. Thanks to you all and this site, I am now much more attentive to detail.
I am one of 21 owners who, together, hold approximately 60 to 70 mineral acres in Section 21 which has been under lease since 2012, all of which included an Exhibit “A” for a bonus payment if the Lessee decided to extend the leases beyond the primary term of 3 years. These primary terms expired between 11-15 and 12-19-2015. To my knowledge, none of them have received a bonus check to extend the leases another 2 years. We’re all 1st through 3rd cousins who mostly live out of state.
This makes it difficult to keep up with even weekly construction details. I have been relying on a retired friend to keep me updated but he hasn’t been healthy enough to take field trips for the last couple of weeks. He has informed me that rumor is that Newfield and participants are trying to get a gas line to the Pad site (NE corner of Section 16) before year’s end, thereby causing us to be held by production. I volunteered to report to the rest of the group on Newfield’s progress. I see that 2 pooling affidavits have been recorded at Oklahoma County Records in the last month. Thanks for reading.
R. Shahan
R. Shahan,
To my knowledge, putting in a gas line is not generally considered HBP. The well has to be actually producing from the well drilled on the lease. That gas line could be carrying gas from other wells. That being said, read your lease. It may have a clause that outlines what “commencement of drilling” means and how long they have to do it. Some leases have a pad being constructed, some have supplies. I never allow that. I use the following clause:
“COMMENCEMENT OF WELL: Commencement of any well according to the term of this lease shall require that a drilling rig capable of drilling such well to the projected total depth for such well be on location and drilling on or before the expiration of the primary term or any other applicable time period hereunder and that the drilling of and other operations on such well be continued with due diligence in a reasonable, prudent manner until completion of such well in one or more formations. Construction of a well location or road or any other physical activity on the Leased Premises, or on any lands pooled, communitized or unitized therewith, without actual drilling operations being conducted with a drilling rig capable of drilling such well to the projected total depth of such well shall not be deemed commencement of a well under this lease.”
Those affadavits may be from previous poolings. Check the CD #. The current one will have its own affadavit once it is decided.
Linda, John, Martha…Thank you all for your responses.
Linda, no, that’s ok, I’m trying to get in touch with/friend in Duncan to eyeball the situation. Thank you for offering. I read about your back troubles; my wife suffers the same so I empathize with you. I thought someone may have heard something more than what I know here in NC.
Oh, forgot…If I’ve got my bearings straight, the proposed well site should be 1 mile north± from Hwy 29 on the same side street (don’t know name) that Wright’s corner is on, and on the west side of that road.
This map will help
Joseph…sorry I haven’t heard anything about that well. If I do I’ll post.
R…if we get a chance to go to Duncan for some Billie Sims Bar B Q we can check on that 16 2N 5W project or lack of…my back seldom ever hurts too much for Bar B Q…lol In talks with the Laser Spine Institute who think they might be able to do something about the back. If anyone knows anything about that (besides the fact that Medicare doesn’t pay for it) please write me on page Rick started for everything not dealing with the mineral rights. Would like to hear all the pros and cons.
R Shahan, I plan on stopping by there Christmas Day. It was reported in this forum a couple of months ago that drilling was not supposed to occur until spring. There was nothing indicating any activity at the last time I was in the area in November. It still has not been permitted.
R…our Section 16 2N4W is located just on the north side of highway 29. Does the road curve enough south to start one mile north of Wright’s Corner or is it the section Wright’s Corner sets on for 16 2N5W and you are talking about the NE corner being one mile north of that?
R…1 miles north of Wright’s corner and on which side of the road is Section 16 2N 5W? I’ll try to find out something for you in the next couple of days. Not too crazy about driving my car on those roads as bad as they have gotten but maybe I can talk hubby into taking his pickup.
Linda, HWY 29 is the section line between 16 2N 5W and 21 2N 5W, HWY 29 and Morrison Rd. intersection separates 18 2N 5W and 17 2N 5W on north side of 29 and 19 2N 5W and 20 2N 5W on the south side. PS Have you any scuttlebutt on the Martin 1H-6X. It’s 3 miles north of 29 on the west side of Morrison Rd.
Joseph, John; all good folks…sorry I got your name wrong, Joseph.
I am also anxious to hear about 16 2N 5W! Thanks to all for your eyes, ears, PDFs and keyboards!
I hope Mr. Hamm is right. Most of these commenters don’t seem to think so.
Wishing everyone a Merry Christmas and a safe and Happy New Year!
Robert, Were the east-west flags near the well surface area in the Northeast corner of Section 16, Township 2 North, Range 5 West? Yes, I feel you are in a good position. Likely they will have to open another pooling order. I was named in the original pooling and leased after the order was issued to an independent. Thanks for the update!
Dec. 11th on the lease road to the compressor station.
12/23/2015
Rick, thank you for offer, but no. Reason is because one of my nephews went out this AM and just finished his field inspection. He reported that Section 16 only has east/west staking flags but no gas line construction yet. He did report having seen construction crews about 2± miles away to the north and east and it looked like they were installing a gas line. I think we have a good chance of re-negotiating better leases now that all 21 of our leases’ 3-year primary terms have expired in Southwest/Southeast Quarters of Section 21. May have to resort to our attorney. Nephew started at plus of 13 mile road and Wright’s corner on 29, then north 1 mile on 13 mile road to Northeast corner of 16, saw the flags to the west, then he went back to and west on 29, then north on Morrison’s road, thence east on Goad(sp?) Road to near Northwest corner of Section 16 where he saw staking flags to east on 16. The others holding interests on this spacing unit may also need this info. Many thanks to you all… Merry Christmas…Robert
Rick:
Sorry for delay; been offline/on phone last 2 days with passel of cousins.
He was for sure at 1st NE corner, then later NW corner Section 16 and described all kinds of survey flags. He’s not familiar with PLSS, centerline of trench, etc. We kept losing comms—too many peaks and valleys. He will call either later tonight after 9 PM Central after he gets off work or tomorrow AM via landline. I will send him township map (thanks M.) in a little while that I marked up and should know for sure tomorrow sometime AM after our phone conversation.
R