Basically thats legalese for pooling the mineral interests of all owners in the spacing such that everyone on the section where the well was drilled and oil discovered share in the royalties from the well proportionate to the mineral acres they own on the section. Assuming a 640 acre section 28, each mineral acre gets paid 1/640th of the royalties obtained from the well irrespective of where on that section the well is located relative to where the mineral acre is located. Mineral acres don't somehow get paid more if they are closer to the well so long as the well is on the same spacing unit--they all are paid the same.
On Sep 30, 11:36�am, retiredman <[EMAIL PROTECTED]> wrote: > David, being new to the oil business maybe either you or one of the > other experts can answer a question for me. �On the Hearing Docket for > October 22 there is Case #10551, a request from Marathon for > developing an oil and/or gas pool, etc. � What does that mean? > Thanks > > On Sep 30, 4:47�am, David <[EMAIL PROTECTED]> wrote: > > > > > Yesterday's 9/28/08 daily activity report was especially interesting > > because it includes initial production information (ip) for a large > > number of wells by many different drillers in the state including > > several EOG wells just off confidential. > > Linkhttps://www.dmr.nd.gov/oilgas/dailyindex.asp > > > Of the wells listed the first place goes to EOG drilled Austin 26 in > > SE Austin with an official ip of 3070 bopd. > > > The silver medallian goes to EOG's School 16 on the south side of > > Parshall TWP bringing in an official ip of 1721 bopd. > > > On the other end we now know for sure that, sadly, Behm's Edwards 1 > > was not a producer. > > > We have producing wells coming in as low as 17 and 30 bopd. I wonder > > how many of the wells coming in at 100 bopd or less will still be in > > production a year from now..It takes 3-4 bopd I think just to cover > > the costs of pump operation already in place. > > > Can anyone tell me exactly what is going on with 17058 Shell Creek > > State 1 01 drlled as a second well in 1 152 90 (Parshall TWP up by the > > primary already producing "Long" well in that section). I know it was > > scheduled to be a test well of some sort.The report says they drilled > > to 13,459 ft into the Winnepeg formation, but apparently has not been > > put into production. > > > For those of you with EOG holes drilled awaiting the pooling hearing > > for your section, a bunch of these are scheduled to take place on > > October 23rd in Bismarck. Check the Oct 23rd hearing dockets page on > > the dmr site, as this was just posted yesterday > > . > > Figure a minimum of 2-3 months from the hearing date to when a royalty > > check shows up in your mailbox. :-) > > > Those of you with a pooling hearing scheduled October 23rd should > > receive legal papers within a few days I would think telling you the > > official hearing has been scheduled and you can show up if in Bismarck > > you are unhappy with the pooling scheme (not that it would do any > > good, LOL).You can also listen in on the hearing live via the Web > > starting at 9 AM on the scheduled hearing day. Most of this is routine > > and if no owners are present to complain �about something, the hearing > > goes smoothly and very quickly. But occasionally someone wanders in to > > raise an interesting issue. > > After the hearing, the last step is for the title owners to do one > > final check on who owns the mineral interest in each section, to make > > absolutely certain there are no errors when the checks are cut. The > > companies take extraordinary steps to assure the accuracy when they > > get nearly to the check cutting stage, and that is why this seems to > > take a little longer than it otherwise might. By the time you get your > > first check,your well will likely have been producing for sale for > > nearly 6 months. > > The first check usually includes royalty payments for the first 2-3 > > months of production combined.- Hide quoted text - > > - Show quoted text - --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Bakken Shale Discussion" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/bakken-shale-discussion?hl=en -~----------~----~----~----~------~----~------~--~---
