Hey, Jerry- I think the spacing units mandate by NDIC is to make all this more manageable for the state, and NDIC. It leaves the "splitting" and parcing-out of royalites pretty-much up to us owners, and the NDIC doesn't have to deal so much on a micro-level. That's my thought.
I haven't heard too much about drillers wanting to do 320s - tell me more about that. I think that the very nature of horizontal drilling has made it cheaper for drillers, and gives more of us owners, a chance to get some money out of the ground. I'm sure technically, there are times in a spacing unit well's life that oil and gas is really only coming out of a 320 area. But to then continue horizontally to the length of the full 1280 (two miles across, from their two mile deep vertical bore hole), is a LOT cheaper that moving- in a surface rig, and doing it all over again on the next 320 up-top. For example, for the sake of making it simple for me, let's say you own your 320, and three other, seperate entities own the remaining 320s of the 1280. That's four owners in the 1280. Let's say your 320 is on the southwest corner of the 1280, and they drill on the far northeast 320. You split with the other three whatever comes out of the ground in that spacing unit, as part of the spacing unit. Just think, if they drilled as I mentioned, and things "downturned" like they have in the last three months, without being a part of that spacing unit, you might wait years before they get to your 320. The way it is now, you benefit now. Hope I got your drift okay. Let me know if I'm off the mark on your question. Tom Sweet, But Crude Dallas On Oct 20, 6:32 pm, go-devil <[EMAIL PROTECTED]> wrote: > Sweet, > Have a couple permits, one drilling. > Waiting to hear from landman on some found/unleased minerals for > permit that is drilling. Fun, Fun!! > Waiting for some 1280 spacing hearings this week for the others. > Trying to figure out why the NDIC grants 1280 spacing when particular > companies want to or will drill 320's eventually? > I hope to bend your ear soon. > > On Oct 20, 3:48 pm, "Sweet, But Crude" <[EMAIL PROTECTED]> wrote: > > > > > Mine's coming of tight hole in 18 days. I'm expecting my first check > > in about the same time. I am happy to share anything. I just really > > have been absorbing information here. > > > ---Driller/producer: tight-lipped under confidential > > ---NDIC: very helpful > > ---You guys on the discussion group: priceless. > > > Tom > > > On Oct 20, 4:47 pm, go-devil <[EMAIL PROTECTED]> wrote: > > > > Some of you must have a well by now. > > > Out of the almost 400 members, I've only seen about 100+ members > > > posting. > > > You would think more people would share their experiences about the > > > whole process they went thru > > > from leasing to getting the first royality check. > > > Anyone?- Hide quoted text - > > > - Show quoted text -- 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 -~----------~----~----~----~------~----~------~--~---
