# Why would a company cap a new well?
**URL:** https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501
**Category:** Oil & Gas Field Operations
**Created:** [May 4, 2019, 7:26pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501 "2019-05-04T19:26:25Z")
**Posts on this page:** 11
**Page:** 1
### Author:  [@Allison\_Aldridge-Saur](https://www.mineralrightsforum.com/u/Allison_Aldridge-Saur)
#### Post date: [May 4, 2019, 7:26pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/1 "2019-05-04T19:26:25Z")
We leased rights on a section in Stephens County on a new horizontal well. The well was completed back in February or March and then they capped it. I have heard speculation that they are waiting for the barrel price to go up. I also heard there is gas there, too. Any ideas why they would cap a new well? I think by now they have missed a quarter of production.
---
### Author:  [@TODD\_M\_Baker](https://www.mineralrightsforum.com/u/TODD_M_Baker)
#### Post date: [May 4, 2019, 7:40pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/2 "2019-05-04T19:40:00Z")
Allison: What is the Section/Township/Range of the well in question? Wells aren’t “capped.” They are shut in or plugged.
---
### Author:  [@Allison\_Aldridge-Saur](https://www.mineralrightsforum.com/u/Allison_Aldridge-Saur)
#### Post date: [May 4, 2019, 7:52pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/3 "2019-05-04T19:52:40Z")
Sorry, Todd, I guess it is plugged. It is Section 17, Township 1S, Range 4W.
---
### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [May 6, 2019, 1:00am UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/4 "2019-05-06T01:00:21Z")
SKEET 17-20 LW1H was spud on Oct 16, 2018. It usually takes about four-five months to drill and complete a well. It was probably just finished. It takes another four to five months to get a completion report. Usually a Division order shows up in about five months if there is production. Most likely, it is still in this process. You should hear something by August or so. I just checked the Gross Production tax site [Gross Production](https://otcportal.tax.ok.gov/gpx/gp_displayPublicPUNListSearchDownload.php) and the well is not listed as active yet. If there is a problem with the well, they may shut it in to fix it. If they plug the well which is a permanent solution, that will be posted on the OCC Well Records site.[Test](http://imaging.occeweb.com/imaging/OGWellRecords.aspx)
If you have production, you will get paid for it. Money in the ground is still money to be realized. Patience is often the name of the game.
---
### Author:  [@Allison\_Aldridge-Saur](https://www.mineralrightsforum.com/u/Allison_Aldridge-Saur)
#### Post date: [May 6, 2019, 4:03pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/5 "2019-05-06T16:03:09Z")
Thank you Ms. Barnes. My information was coming from older relatives who apparently do not know how things work (these days).
Appreciate your informative response!
---
### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [May 6, 2019, 5:21pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/6 "2019-05-06T17:21:44Z")
They may have heard something, but you won’t know for a couple of months.
---
### Author:  [@Allison\_Aldridge-Saur](https://www.mineralrightsforum.com/u/Allison_Aldridge-Saur)
#### Post date: [May 6, 2019, 10:04pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/7 "2019-05-06T22:04:42Z")
Seems like the process takes longer than it used to. Not sure if that is true? If so, is it due to newer regs around pooling or the well types?
---
### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [May 6, 2019, 10:30pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/8 "2019-05-06T22:30:13Z")
It is because with the newer two section wells and both 640 acres, you have hundreds and hundreds of owners instead of just a few owners for an 80 ac well.
---
### Author:  [@Allison\_Aldridge-Saur](https://www.mineralrightsforum.com/u/Allison_Aldridge-Saur)
#### Post date: [May 8, 2019, 6:44pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/9 "2019-05-08T18:44:04Z")
Thank you so much for the insight!
---
### Author:  [@Andy1213](https://www.mineralrightsforum.com/u/Andy1213)
#### Post date: [May 16, 2019, 7:17pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/10 "2019-05-16T19:17:39Z")
It’s not capped. It’s “shut in.” There is a pipeline capacity problem moving oil to market. A new pipeline is in the works. I’m in the same boat owning over 3000 active wells. Payments are slow. If you like you can call me at 405-641-1453 for more details. Have a great day Andy 405-641-1453
---
### Author:  [@MRFAdmin\_SV](https://www.mineralrightsforum.com/u/MRFAdmin_SV)
#### Post date: [January 11, 2025, 7:11pm UTC](https://www.mineralrightsforum.com/t/why-would-a-company-cap-a-new-well/45501/11 "2025-01-11T19:11:46Z")