November Decisions of Mississippi Oil and Gas Board
The November Final Docket Decisions of the Mississippi Oil and Gas Board had several items of interest that fall under three categories. Note that Sections listed may be entirely or only partially included in the applications. Also, note that I have not named counties, but all ranges west applications are in Wilkinson County, Range 1 East is in Wilkinson County; ranges 2-6 are in Amite County and range 7+ is in Pike County.
First, there were several unit applications that were withdrawn or “Dismissed without Prejudice,” as follows:
Encana Black Stone 14H unit in T2N, R2E, Sections 2, 3, 13, 14, 17 and 18. This was the application competing with the Sanchez Beaver No 1H, which was not approved, but was continued.
Encana Hines 9H, T1N, R6E, Sections 4, 9, and 16. I am assuming this unit application was withdrawn since the Section 16 lease is not taken and conflicting laws would apply regarding Section 16 being included in an unleased unit. Please note this is conjecture on my part.
Sanchez Ferguson, T1N, R3W, Sections 11, 24, 25, 26, 32, 33, 38, 39, and 43.
Sanchez Dunbar, T1N, R3W, Sections 22, 23, 24, 26, 27, 31, 32, 38, and 40.
Sanchez Stockfarm, T1N, R3W, Sections 24, 26, 32, 38, 39 and 40.
Goodrich CMR 8H, T1N, R3E, Sections 8, 13, 14 and 15 and in T2N, R3E, Sections 34 and 39. This unit was mostly replaced by an approved application from Encana for the Harvey 14H, which starts one section farther south.
Sanchez Cottonwood, T2N, R2W, Sections 1, 12 and 13.
Sanchez Hudson, T2N, R1W, Sections 21, 28 and 33.
Sanchez Sandy, T2N, R2W, Sections 5, 8 and 17.
Sanchez Beaver Creek, T2N, R2W, Sections 6, 7 and 18.
Sanchez Cherryfield, T1N, R2W, Sections 27 and 38.
There were 16 "Approved Affidavit" units noted. 14 of these were from Encana, though, if memory serves, at least 3 of these were renewals from previously approved units and 1 is a modification in the unit size. The other 2 approvals were for Halcon units, but with Halcon’s announced decision to temporarily suspend drilling in the TMS the significance of the approval is in question.
There were, by my count, 27 "Continued" applications. Noteworthy continued applications include the two by VirTex in Pike County as well as the two competing Sanchez applications for these same defined units. Also, the Sanchez Bloomer was continued, though it was anticipated it would be the next well drilled by Sanchez. Finally, the Encana McIntosh 15H and Reese 16H units were approved with the notation “Continued as to Wailes Co. LLC.” I have no idea what this means.
So, that’s a summary report on the November decisions of the Mississippi Oil and Gas Board.
The December preliminary docket was released today. I’ll make a report on this later this afternoon.