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Oil/Gas/pooling unit


I am in a 520 acre pooled unit. McIntyre HD and HF in tyler county WV. I am being paid on these wells. Received letter last year that they were looking to put in 4 more wells that we might have  interest in. McIntyre 2,3,8 and 9.
They permited 2 and 3 but when I look at permit map these legs go in different direction. Only land that pad is on is listed in new wells.
My question is Can they expand our pooled unit after division orders have been sent out? The 96 acres where pad is, is listed on both maps. So I m confused.The company is Jay-Bee.
Any info would be great.
Thank you, Bonnie

Bonnie, the best place to start is with Jay-Bee, and talk to the in-house landman assigned to Tyler County, WV wells.  Landmen understand how important it is to maintain good business relationships with landowners, so I have never known one who turned away a landowner asking questions about their leased land.  Try calling Jay-Bee's main number and asking for the landman who handles Tyler County, WV.  Ask him or her just what part of your mineral rights will be included in the 2 & 3 wells, since it looks like only the drilling pad is inside the 520-acre unit.

The reasons I'm hesitant to try and answer your question myself is that (1) I would need to see several documents, including plats, to visualize your problem, and (2) drilling schedules and well placements changed internally in oil companies right up to the day the truck hauls the spud rig or drilling rig onto the property.  If I'm understanding you correctly about the planned location of the wellbore horizontal lateral, it's possible they may be planning to form a new pooled unit that will sit right up against the edge of your 520-acre unit.  The 2 & 3 wells could then be drilled from inside the 520-acre unit, but as long as the first "take point" (perforation in the wellbore) is located inside the new unit and not your 520-acre unit, no mineral rights in the 520-acre unit would share in production from the 2 & 3 wells.  But don't rely on my guess here, you need to talk directly to the landman at Jay-Bee to find out if a new unit is what is being planned.  It could be that you have other lands outside the 520-acre unit that might be included in a new unit if it is formed?


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Marsha Breazeale, M.Ed., CDOA, CPLTA


All questions regarding division orders; ownership decimal calculations; title ownership and payer record changes (testate/intestate inheritance; deed; assignment; court order); oil and gas lease analysis for record-keeping and purposes of payment by operator or payer; pooling, horizontal wells, horizontal well allocation units; unclaimed property reporting; royalty owner relations questions. All questions concerning administration of surface land contracts and payment questions, such as for Surface Right-of-Way, Sub-Surface Right-of-Way, Easement, Surface Use Agreement. All questions regarding industry-standard and company-specific policies that affect land owners.


Sr. Staff Division Order Analyst. Certified Division Order Analyst (CDOA, National Association of Division Order Analysts) and Certified Lease Analyst (CPLTA, National Association of Professional Lease and Title Analysts) with 35 years of experience as a combination division order analyst and lease analyst in exploration and production in the oil and gas industry.

National Assoc. of Division Order Analysts (NADOA), National Association of Division Order Analysts (NALTA), American Association of Professional Landmen (AAPL), American Society of Trainers and Developers (ASTD)

"How an Oil & Gas Exploration & Production Company Operates" and "Principles of Oil & Gas Lease Analysis: Standard Clauses", Oil Patch Press; Articles in NADOA Magazine; LandFocus EDU Professional Training Manuals

Education/Credentials Management from Our Lady of the Lake University in San Antonio; M.Ed. in Instructional Design from WGU Texas.

Past/Present Clients
Past 15 years: GeoSouthern Energy Corporation; Contango Oil Co./Crimson Exploration & Operating Inc.; Apache Corporation; BP America; Marathon Oil; Newfield Exploration

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