Greetings. I have a 3 yr. lease with EOG on 10 acres of property located in Naylor Jones Unit 40 which is compised of 615 acres. I know there is a lot of activity very close by and drilling started in this unit a couple of weeks ago. The land man told me the unit could support 5-6 wells. I've been trying to find out what to expect next in the way of basic information. Timelines, whether the first well is productive, etc. But I'm not getting any information. I'm very new at this and would appreciate any info.Most of what I've learned over the past year has been from reading discussions on Mineral Rights forum. Thanks
Hello Mark. I'm one of 16 heirs to properties originally owned by my grandfather, most of which are in Naylor Jones, located in both McMullen and Lasalle counties. We hold a lease with EOG also, as well as one other company, Carrizo, for another small parcel in Lasalle Conty. Yes, EOG is supposed to be drilling soon on Naylor Jones, if not already (March 8 was the date we got for the first well). So we are riding in the same boat, it seems. We may even have the same land man. We have begun receiving royalties from Carrizo and it went this way -- in January we each got checks for September, October, and November production combined into one payment. I am not sure when they started drilling. Then a check in Feb for December, and one earlier this month for January production.
I know the Texas Railroad Commission has information on their website, but I'm not sure how to access it. Hopefully someone will enlighten us on the ins and outs. Be prepared to become friends with your Notary Public.
Thanks Robin for sharing some information with me. I do know from the land man that well 1H was drilled and a fracking crew is on site. From this forum I have learned how to use the TRC sight fairly well but it is confusing. Good luck with your properties and if I get mor info. I will update if you like.
Robin Brown said:
Hello Mark. I'm one of 16 heirs to properties originally owned by my grandfather, most of which are in Naylor Jones, located in both McMullen and Lasalle counties. We hold a lease with EOG also, as well as one other company, Carrizo, for another small parcel in Lasalle Conty. Yes, EOG is supposed to be drilling soon on Naylor Jones, if not already (March 8 was the date we got for the first well). So we are riding in the same boat, it seems. We may even have the same land man. We have begun receiving royalties from Carrizo and it went this way -- in January we each got checks for September, October, and November production combined into one payment. I am not sure when they started drilling. Then a check in Feb for December, and one earlier this month for January production.
I know the Texas Railroad Commission has information on their website, but I'm not sure how to access it. Hopefully someone will enlighten us on the ins and outs. Be prepared to become friends with your Notary Public.
Great news, Mark. Yes, please post updates or contact me offlist. I'll do the same, post updates on the progress. This might help other newbies like us understand the process.
Hi Robin. I got an email from the land mail saying that the first well on our pooled unit (600 acres) was being cased. Then apparently the fracking crew starts. Word is 4-6 wells will eventually be drilled if the geology is favorable. Keeping my fingers crossed.
Robin Brown said:
Great news, Mark. Yes, please post updates or contact me offlist. I'll do the same, post updates on the progress. This might help other newbies like us understand the process.
My family also is in the 632 pooling for Naylor Jones well Unit 50. The landman that I correspond with said the Unit 50 was to be fracked on August 29th. It should take about 8 days to complete the well and bring it to production. He said that EOG would drill an additional 5-6 more wells in the same Unit before it's all over. He didn't have a guess as to when that would occur. He told me to check back with him about Sept. 10th and he could give me some production figures.
Thanks Sandra. Sounds like we're neighbors. We were told production on the first well in Unit 40 will start in a week or 2. As I get further info. I'll post it. This is my first experience with oil wells and the folks in the forum have been incredibly helpful.
Sandra Jordan said:
My family also is in the 632 pooling for Naylor Jones well Unit 50. The landman that I correspond with said the Unit 50 was to be fracked on August 29th. It should take about 8 days to complete the well and bring it to production. He said that EOG would drill an additional 5-6 more wells in the same Unit before it's all over. He didn't have a guess as to when that would occur. He told me to check back with him about Sept. 10th and he could give me some production figures.
Where is Unit 40? Is it within the 632 pooling acres where Unit 50 is?
I heard back from our Crew Chief regarding Unit 50, Well 1-H. He said production had begun and they pull about 1,460 barrels a day from that well. I'm not sure how much they pull out each day though. He said we should get our Division Orders in the mail within 30-45 days after first production. I don't know then how long it takes to get royalty money after the Division Orders have been mailed back. Does anyone know?
It sounds like I am on track to be about 30 days behind you with progress on Unit 40 well 1-H. The landman, who has done a great job keeping me updated told us basically the same thing but was not specific other than to say the checks would come on a monthly basis after the Division Orders were returned to EOG.
Sandra Jordan said:
I heard back from our Crew Chief regarding Unit 50, Well 1-H. He said production had begun and they pull about 1,460 barrels a day from that well. I'm not sure how much they pull out each day though. He said we should get our Division Orders in the mail within 30-45 days after first production. I don't know then how long it takes to get royalty money after the Division Orders have been mailed back. Does anyone know?
Mark and Sandra,
My family's interest is in Unit 40 -- don't know the well # -- landman told my aunt (the point person) we would be getting division orders from EOG around Nov. 1. Now that the price of oil has dropped dramatically, I am downsizing my expectations about the size of the monthly check. Nice fantasy while it lasted! Just wanted to add that last year we had a well start producing in LaSalle County with Carrizo. They sent the division order AFTER we received the first royalty check that covered 3 months of production.
Mark Booth said:
It sounds like I am on track to be about 30 days behind you with progress on Unit 40 well 1-H. The landman, who has done a great job keeping me updated told us basically the same thing but was not specific other than to say the checks would come on a monthly basis after the Division Orders were returned to EOG.
Sandra Jordan said:I heard back from our Crew Chief regarding Unit 50, Well 1-H. He said production had begun and they pull about 1,460 barrels a day from that well. I'm not sure how much they pull out each day though. He said we should get our Division Orders in the mail within 30-45 days after first production. I don't know then how long it takes to get royalty money after the Division Orders have been mailed back. Does anyone know?
The best I can tell from the TRRC site is that Unit 50 is just to the south and west of unit 40. I think the units share a border. The 1-H well on Unit 50 is about 3 miles from the 1-H well on unit 40. Again, I'm new to this so I could be off base.
Sandra Jordan said:
Where is Unit 40? Is it within the 632 pooling acres where Unit 50 is?
Each unit is separate and has its own number. The same acres wouldn't be pooled with more than one unit. It might be that a tract of say 10 acres straddles unit borders, so part of the tract would be pooled with one unit and the other part of the tract with another unit. Sandra may have been thinking of 'section' numbers when she asked. Sections comprise multiple tracts too, but units comprise sections, or portions of them. You can see how things are arranged in this map that shows Unit 50 and Unit 40, along with my family's Unit 58. The unit #s are highlighted in blue and have the bold red/black borders. The section #s are in bold black w/o highlight and their borders are the bold pure black lines. The small rectangles with numbers and thin black border lines are the tracts.
_
Also, I don't want to mislead and disappoint anyone if this wouldn't apply to your units for any reasons, but the following graphic & info was posted on another forum, and shows that EOG has been decreasing the space between their wells. A unit of the max 640 acre size that used to support up to 10 wells can now support up to 16. Could be your landmen said 5-6 based on the seismographic surveys of your particular units, but you might want to ask to be sure. http://eaglefordforum.com/profiles/blogs/eog-maximizing-recovery-of...
--Cyndy
Thanks Cindy. That is the best comprehensive map of the area that I have seen. The information regarding spacing is also helpful. I followed your link to the blog, which explains it very well. The last I heard from our landman was that unit 40 well 1-H should have started production last week but no word yet.
CClayton said:
Each unit is separate and has its own number. The same acres wouldn't be pooled with more than one unit. It might be that a tract of say 10 acres straddles unit borders, so part of the tract would be pooled with one unit and the other part of the tract with another unit. Sandra may have been thinking of 'section' numbers when she asked. Sections comprise multiple tracts too, but units comprise sections, or portions of them. You can see how things are arranged in this map that shows Unit 50 and Unit 40, along with my family's Unit 58. The unit #s are highlighted in blue and have the bold red/black borders. The section #s are in bold black w/o highlight and their borders are the bold pure black lines. The small rectangles with numbers and thin black border lines are the tracts._
Also, I don't want to mislead and disappoint anyone if this wouldn't apply to your units for any reasons, but the following graphic & info was posted on another forum, and shows that EOG has been decreasing the space between their wells. A unit of the max 640 acre size that used to support up to 10 wells can now support up to 16. Could be your landmen said 5-6 based on the seismographic surveys of your particular units, but you might want to ask to be sure. http://eaglefordforum.com/profiles/blogs/eog-maximizing-recovery-of...
--Cyndy
Mark Booth said:
Thanks Cindy. That is the best comprehensive map of the area that I have seen. The information regarding spacing is also helpful. I followed your link to the blog, which explains it very well. The last I heard from our landman was that unit 40 well 1-H should have started production last week but no word yet.
CClayton said:
Each unit is separate and has its own number. The same acres wouldn't be pooled with more than one unit. It might be that a tract of say 10 acres straddles unit borders, so part of the tract would be pooled with one unit and the other part of the tract with another unit. Sandra may have been thinking of 'section' numbers when she asked. Sections comprise multiple tracts too, but units comprise sections, or portions of them. You can see how things are arranged in this map that shows Unit 50 and Unit 40, along with my family's Unit 58. The unit #s are highlighted in blue and have the bold red/black borders. The section #s are in bold black w/o highlight and their borders are the bold pure black lines. The small rectangles with numbers and thin black border lines are the tracts._
Also, I don't want to mislead and disappoint anyone if this wouldn't apply to your units for any reasons, but the following graphic & info was posted on another forum, and shows that EOG has been decreasing the space between their wells. A unit of the max 640 acre size that used to support up to 10 wells can now support up to 16. Could be your landmen said 5-6 based on the seismographic surveys of your particular units, but you might want to ask to be sure. http://eaglefordforum.com/profiles/blogs/eog-maximizing-recovery-of...
--Cyndy
You're welcome, Mark. Also not to worry about production cut backs by EOG with the price of oil declining, or that they aren't going to continue to profit. They are making up for the price decline with increased production, and can profit with the price of oil above a low of $51 per barrel (some people on this forum or another were guessing $80/b was break even).