179-2013-07 - api.ning.comapi.ning.com/files/L67J4KB8XT3HJrxTbfga4GNgDSTEhWXRkkOW34... · 2215 West...

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JERRY L. CANFIELD, P.A. THOMAS A. DAILY, P.A. WYMAN R. WADE, JR., P.A. DOUGLAS M. CARSON, P.A. ROBERT R. BRIGGS, P.A. † C. MICHAEL DAILY, P.A. † ! COLBY T. ROE † Also Licensed in Oklahoma ! Also Licensed in Wyoming & North Dakota DAILY & WOODS A PROFESSIONAL LIMITED LIABILITY COMPANY ATTORNEYS AT LAW KMW BUILDING 58 SOUTH SIXTH STREET P.O. BOX 1446 FORT SMITH, AR 72902 TELEPHONE (479) 782-0361 FAX (479) 782-6160 WEBSITE dailywoods.com ______________ Writer’s Direct Dial No. (479) 242-3968 Writer’s e-mail: [email protected] JAMES E. WEST PHILLIP E. NORVELL † OF COUNSEL _______ HARRY P. DAILY (1886-1965) JOHN P. WOODS (1886-1976) JOHN S. DAILY (1912-1987) BEN CORE (1924-2007) July 2, 2013 Arkansas Oil and Gas Commission 2215 West Hillsboro El Dorado, Arkansas 71730 Re: ORDER REFERENCE NO. 179-2013-07 Application of SEPCO, Inc. for the Formation of an Exploratory Drilling Unit to be comprised of Section 7, Township 19 South, Range 21 West, Columbia County, Arkansas Commissioners: SEPCO, Inc., 2350 N. Sam Houston Pkwy. East, Houston, TX 77032, hereby applies to the Arkansas Oil and Gas Commission for the establishment of an exploratory drilling unit for its proposed drilling unit which is described above. 1. The proposed drilling unit is a governmental section containing 640 acres, more or less. The proposed drilling unit is not within the confines of any existing oil or gas field, nor is it an extension thereto. The proposed drilling unit is prospective of oil and/or gas, since the geological data available to applicant indicates that there is a reasonable possibility that an oil and gas well drilled therein would recover oil and/or gas in paying quantities. Persons who own at least an undivided 50% interest in the right to drill and produce oil and/or gas from the total proposed unit area have agreed to the formation of such exploratory unit. The applicant proposes to initially drill a vertical oil and gas well at a non-exceptional surface location in the Southwest Quarter of the Southeast Quarter of the proposed unit. The proposed well will be drilled to a sufficient depth to test the Lower Smackover (Brown Dense) Formation. The applicant will evaluate its proposed well with the option to convert it into a horizontal well. 2. Applicant owns 100% of the oil and gas leases covering the proposed unit and is therefore the sole interested party. 3. Applicant states that it is in the best interest of conservation and the protection of correlative rights of all interested parties that the proposed unit be developed for oil and gas production without undue delay.

Transcript of 179-2013-07 - api.ning.comapi.ning.com/files/L67J4KB8XT3HJrxTbfga4GNgDSTEhWXRkkOW34... · 2215 West...

Page 1: 179-2013-07 - api.ning.comapi.ning.com/files/L67J4KB8XT3HJrxTbfga4GNgDSTEhWXRkkOW34... · 2215 West Hillsboro El Dorado, Arkansas 71730 Re: ORDER REFERENCE NO. 179-2013-07 Application

JERRY L. CANFIELD, P.A.THOMAS A. DAILY, P.A.WYMAN R. WADE, JR., P.A.DOUGLAS M. CARSON, P.A.ROBERT R. BRIGGS, P.A. †C. MICHAEL DAILY, P.A. † !COLBY T. ROE

† Also Licensed in Oklahoma! Also Licensed in Wyoming & North Dakota

DAILY &WOODSA PROFESSIONAL LIMITED LIABILITY COMPANY

ATTORNEYS AT LAW

KMW BUILDING58 SOUTH SIXTH STREET

P.O. BOX 1446FORT SMITH, AR 72902

TELEPHONE (479) 782-0361FAX (479) 782-6160

WEBSITE dailywoods.com______________

Writer’s Direct Dial No. (479) 242-3968Writer’s e-mail: [email protected]

JAMES E. WESTPHILLIP E. NORVELL †

OF COUNSEL_______

HARRY P. DAILY (1886-1965)JOHN P. WOODS (1886-1976)JOHN S. DAILY (1912-1987)

BEN CORE (1924-2007)

July 2, 2013

Arkansas Oil and Gas Commission2215 West HillsboroEl Dorado, Arkansas 71730

Re: ORDER REFERENCE NO. 179-2013-07Application of SEPCO, Inc. for the Formation of an Exploratory Drilling Unit to becomprised of Section 7, Township 19 South, Range 21 West, Columbia County,Arkansas

Commissioners:

SEPCO, Inc., 2350 N. Sam Houston Pkwy. East, Houston, TX 77032, hereby applies to theArkansas Oil and Gas Commission for the establishment of an exploratory drilling unit for itsproposed drilling unit which is described above.

1. The proposed drilling unit is a governmental section containing 640 acres, more or less.The proposed drilling unit is not within the confines of any existing oil or gas field, nor is it anextension thereto. The proposed drilling unit is prospective of oil and/or gas, since thegeological data available to applicant indicates that there is a reasonable possibility that an oiland gas well drilled therein would recover oil and/or gas in paying quantities. Persons whoown at least an undivided 50% interest in the right to drill and produce oil and/or gas from thetotal proposed unit area have agreed to the formation of such exploratory unit. The applicantproposes to initially drill a vertical oil and gas well at a non-exceptional surface location in theSouthwest Quarter of the Southeast Quarter of the proposed unit. The proposed well will bedrilled to a sufficient depth to test the Lower Smackover (Brown Dense) Formation. Theapplicant will evaluate its proposed well with the option to convert it into a horizontal well.

2. Applicant owns 100% of the oil and gas leases covering the proposed unit and istherefore the sole interested party.

3. Applicant states that it is in the best interest of conservation and the protection ofcorrelative rights of all interested parties that the proposed unit be developed for oil and gasproduction without undue delay.

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4. Applicant requests that the Arkansas Oil and Gas Commission set this matter forpublic hearing, and after same, issue its order that Section 7, Township 19 South,Range 21 West, Columbia County, Arkansas, be established as an exploratory drillingunit.

5. The names and addresses of parties interested in this proceeding are set forth inExhibit "A" attached hereto and made a part hereof.

6. Please note the appearance of Thomas A. Daily of Daily & Woods, P.L.L.C.,P.O. Box 1446, Fort Smith, Arkansas, 72902, on behalf of applicant.

Very truly yours,

Thomas A. Dailyjmt

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LessorListfor

19S21W07

inColum

biaCounty,A

rkansas

ame

LessorAddress

LessorCityLessorSta

teLessorZ

ipLessorPhone

LessorSSNLesseeN

ame

LeaseDate

LeaseEffectiveDate

LeasePrim

aryTerm

LeasePrim

aryType

LeaseBonusTotal

LeaseBonusPerA

cre

RoyaltyLandow

ner

ExtensioTerm

McM

ahen,Mary

BelleTodd

10160Highw

ay19

SouthMagnolia

AR

7175306

6549988Triad

LandServices,LLC

4/19/2010

4/19/2010

4Years

$44,850.00$200.00

0.1875

ahena

92Stonew

allCircle

McKenzie

TN38201

00828

7385Triad

LandServices,LLC

3/17/2010

3/17/2010

4Years

$44,000.00$200.00

0.1875

lmand

holm9331

ChattanoogaDrive

SanAntonio

TX782402887

(210)6965288

43004

2496Triad

LandServices,LLC

3/3

/20103/3

/20105Years

$5,000.00$125.00

0.1875

holmand

.Chisholm3908

Smiling

Hill

CourtEdm

ondOK

73013(405)348

3387430

042370

TriadLand

Services,LLC3/3

/20103/3

/20105Years

$5,000.00$125.00

0.1875

5666Forsythia

Avenue

BatonRouge

LA70808

(225)7662215

41742

3864Triad

LandServices,LLC

3/11/2010

3/11/2010

4Years

$48,000.00$200.00

0.1875

yHudson

ieHudson

P.O.Box

61Magnolia

AR

71754

ewis,LTD

P.O.Box

366Magnolia

AR

71754

Heirs

&425

E.Union

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AR

71753

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AR

Page1

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LessorListfor

19S21W07

inColum

biaCounty,A

rkansas

TractNum

berGross

Acres

Net

Acres

Leased

McM

ahen,Mary

BelleTodd

3192107.0040140.0000

140.0000ahen

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200.0000200.0000

lmand

holm3192107.0020

80.000040.0000

holmand

.Chisholm3192107.0020

40.00003192107.0010

220.0000220.0000

640.0000640.0000

yHudson

ieHudson

1/64NPRI

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Page2

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1

12

13 1718

56

7 8

1

12

13 1718

56

7 8

00401-

05301-

00301-

05201-

0201-

00201-

- 10150

- 10150

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LITTLE QUINTIN COWALKER 1

-10,282

WESSELY ENERGY CORPClairborne Wood 1

-9,590

LYONS PETROLEUM CO1

CITIES SERVICEWE Hardy 2

MCNEILL EDWARD ETALJC Walker 1

ARKANSAS FUEL OIL COHardy 1ARKANSAS FUEL OIL CO

Hardy 2

SERVICES INCGrant RF 1

ENSTAR PETROLEUM INCMcMahen RG 18-1

ENSTAR PETROLEUM INCTalley Heirs 18-7

FEET

0 2,000

PETRA 6/13/2013 12:51:09 PM

IMPORTANT: The information set forth herein represents the applicant’s current, tentative development plans for the sections indicated. Such plans are subject to refinement, modification, change or cancellation at the applicant’s sole and absolute discretion for any reason including, without limitation, changes in market, regulatory and other circumstances, surface use, topographical and title difficulties, and advances in drilling, completion and production operations.

EXHIBIT “K”Exploratory Drilling Unit Application

Section 7 Township 19 South, Range 21 WestMcMahen 19-21#1-7

Columbia County, Arkansas

SHL: SE/4 of Sec. 7-19S-21W

Southwestern Energy Production Company

Smackover Structure Map

Map Scale:1”=2000’

Date:6/13/13

777SEPCOMcMahen 19-21#1-7

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1

12

13 1718

56

7 8

1

12

13 1718

56

7 8

550

055

525

525

575

575

LITTLE QUINTIN COWALKER 1

-10,282

WESSELY ENERGY CORPClairborne Wood 1

-9,590

LYONS PETROLEUM CO1

CITIES SERVICEWE Hardy 2

MCNEILL EDWARD ETALJC Walker 1

ARKANSAS FUEL OIL COHardy 1ARKANSAS FUEL OIL CO

Hardy 2

SERVICES INCGrant RF 1

ENSTAR PETROLEUM INCMcMahen RG 18-1

ENSTAR PETROLEUM INCTalley Heirs 18-7

FEET

0 2,000

PETRA 6/13/2013 12:50:24 PM

IMPORTANT: The information set forth herein represents the applicant’s current, tentative development plans for the sections indicated. Such plans are subject to refinement, modification, change or cancellation at the applicant’s sole and absolute discretion for any reason including, without limitation, changes in market, regulatory and other circumstances, surface use, topographical and title difficulties, and advances in drilling, completion and production operations.

EXHIBIT “J”Exploratory Drilling Unit Application

Section 7 Township 19 South, Range 21 WestMcMahen 19-21#1-7

Columbia County, Arkansas

SHL: SE/4 of Sec. 7-19S-21W

Southwestern Energy Production Company

Brown Dense Isopach Map

Map Scale:1”=2000’

Date:6/13/13

777SEPCO

McMahen 19-21#1-7

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1

12

13 1718

56

7 8

1

12

13 1718

56

7 8

LITTLE QUINTIN COWALKER 1

-10,282

WESSELY ENERGY CORPClairborne Wood 1

-9,590

LYONS PETROLEUM CO1

CITIES SERVICEWE Hardy 2

MCNEILL EDWARD ETALJC Walker 1

ARKANSAS FUEL OIL COHardy 1ARKANSAS FUEL OIL CO

Hardy 2

SERVICES INCGrant RF 1

ENSTAR PETROLEUM INCMcMahen RG 18-1

ENSTAR PETROLEUM INCTalley Heirs 18-7

FEET

0 2,000

PETRA 6/13/2013 2:10:04 PM

Southwestern Energy Production Company

Topographic Map

Map Scale:1”=2000’

Date:6/13/13

IMPORTANT: The information set forth herein represents the applicant’s current, tentative development plans for the sections indicated. Such plans are subject to refinement, modification, change or cancellation at the applicant’s sole and absolute discretion for any reason including, without limitation, changes in market, regulatory and other circumstances, surface use, topographical and title difficulties, and advances in drilling, completion and production operations.

EXHIBIT “J”Exploratory Drilling Unit Application

Section 7 Township 19 South, Range 21 WestMcMahen 19-21#1-7

Columbia County, Arkansas

SHL: SE/4 of Sec. 7-19S-21W

SEPCOMcMahen 19-21#1-7

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