The state’s Department of Minerals Resources says production may already have dropped below 1M bbl/day and could take at least a year to recover if the level is breached.
But in a positive sign for the industry, the state says the breakeven price for oil production at its existing wells has slipped to $26/bbl, showing that existing production remains profitable for companies that have aggressively cut costs.
lol…so guess I meant bearer of good news. No, you wouldn’t want me to share the news bare either, Barbara…wouldn’t want to scare anyone! The man from Echo called again yesterday and seemed interested in any of our mineral rights in 2n4w. His name was Tom Dawson and if you are interested in talking to him I will give you his phone number if you will private message me. I told him about you seeming interested but I believe I gave him your name as Betty Gilbert instead of Barbara (my bad memory you know) but I told him he could look into this website (not solicit here but read the post) and find out who might be interested or not.
I’ll not sell, but I’m glad to see that someone is showing some serious interest, and that the land apparently has some value. Maybe my kids will see something of it someday.
Hello everyone on the Stephens County forum; it has been a couple of years since I have communicated on the forum; I want to thank everyone that has helped me learn about gas and oil drilling and royalty payments. I have a question; in 2014 I was notified by a gas and oil company that they were going to drill within one the sections that is included in Velma Sims Sand Unit and the Humphreys sand unit that I have an interest in. The location is 19 1S 4W and they leased the whole section. When I reached out to get paid for production they told me that I did not have an interest in the well. I am held by production with another gas company and they haven’t paid me for this either and it doesn’t seem right. Can someone tell me what the practices are for paying royalties when an oil company leases a whole section with in a unitization that you have an interest in and you are held by production by a different gas and oil company? I have a few of these like this and I don’t understand who or how or if it should be paying.
Thank you for getting back to me; I know Chevron; they are the operators that I am held by production by in the Simms; Humphreys, and Tussy. However, according my documents on the unitizations there is suppose to be a unit operating committee that is suppose to supervise the operator and forward to information to the Lessee, each Lessee is suppose to have chosen which person on committee to be their contact. I The attachment below is a screenshot of the information from my Humphreys Sand Unitization agreement. Does anyone know anything about this? I’ve never been contacted by the committee if there is one. I was just wondering if it is a standard practice?
Sorry I got my units mixed up it should state the Velma Tussy Unit and the Velma Sims Sand Unit in my first post. Not Velma Sims Sand Unit and Humphreys Sand Unit. The Humphreys Sand Unit only has 11 1S 5W; 13 1S 5W; 14 1S 5W; 23 1S 5W; and 24 1S 5W in its unitization plan.
Hello again, also maybe someone could help me with who they are and contact information for the operating committees for the Velma Sims Sand Unit; the Unconformity-Humphreys Unit; and the Velma Tussy Unit. Thank you in advance for the information. Hopefully someone will see these post soon; it looks like no one has been on for a week or so.
What type of ownership do you have in the units? Do you own minerals that have been leased or did you somehow end up with a small working interest?
If you have a royalty interest you would probably never be involved with the operating committee since you are the lessor not the leasee. Also, operating committees often do not do much after a unit has been developed unless there is a major change in circumstances or the leasees are dissatisfied with the operator.
Unless there is some reason you do not own rights below the unit formations it seems that you should be receiving revenue from Marathon for the HK Doom well. Did Marathon why they believe you don’t own an interest in the well? If not, I would ask them.
I think you received notice of a pooling back in March, 2014. I recommend you call the Marathon office in OKC that was listed on the application. They should be able to tell you why they think you do not own an interest in the HK Doom.
Here is the contact info:
Randy Wilson (A good chance someone else handles the area now)
I thought that I had ownership of minerals that have been leased; because my Grandmother is on the original leases; their are 2 of them; one for 40 acres of land and another for 50 acres of land. It would seem to me that if my Grandmother is on the original leases I would have ownership of the minerals in the lower formations. Your thoughts on this. How would I clarify this?
Oh man, I made the mistake of reading a seeking alpha article this morning on Continental Resources. Summary, Continental is not doing as well as its Chairman tries to lead us to believe. The most distressing item for us Okies, (proud to be an Okie) is that Continental will devote most of its efforts in the near future to the Bakkan. Here is the quote
"Continental currently has approximately 215 gross operated DUCs in inventory, of which approximately 165 are in the Bakken. The Company expects the total to grow to approximately 240 gross operated DUCs at year-end 2016, with approximately 190 in the Bakken.
That means all new development will be in the Bakken, which already hashigher tax rates. One way or the other, the Oklahoma party ended last year, but the hangover is just beginning."
Somebody help me please by telling me “no Wade, there is a rainbow behind that cloud”. When the author says the “hangover is just beginning” , I hope that he is referring to the company, not the SCOOP.
Has anyone noticed on the dockets that Harold Ham is listed as “the company” seeking applications/etc… for new wells? Not Continental Resources? I just thought this was interesting. I had never noticed this before. Seems like I’ve only seen these for the last month or so. Wonder what the deal is. Has he created a separate company? Maybe it was always out there, just never noticed it.
DUC stands for drilled uncompleted well. If you look at the number in the article it means that CLR will increase its gross drilled uncompleted wells by 25 and that the gain will be all Bakken. The passage you cited has nothing to do with the number of wells they will put on production in each state. CLR’ latest presentation shows at least 15 active rigs in Oklahoma.
