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Corbett OKs bill strengthening gas driller rights

July 11, 2013

HARRISBURG — Republican Gov....

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(27)

wwhickok

Jul-12-13 6:14 AM

Furthermore, the government is lining their pockets with the money from the Gas Industry. That's the ONLY REASON Corbett would be stupid enough to pass this law. Maybe he's angry that he won't be reelected. You're naive if you think the Gas Industries are not corrupt. Personally I'd like to see them all get shut down.

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wwhickok

Jul-12-13 6:09 AM

These "Business Men" trying to buy land for the Gas Industries are corrupt and they ARE looking to rob someone of what they rightfully deserve. People in this area, what are the real chances many of them know the true value of what is beneath their land? Do you REALLY think the Gas Industry is going to tell them?

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ruxpin

Jul-11-13 11:15 PM

eriklatranyi,

Thanks for taking the time to explain that. It was quite educational (no sarcasm).

oh, and LOL! at the people "disagreeing" with my asking a question.

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CTMopar

Jul-11-13 8:27 PM

They know!!!

Sometimes the driller and MWD operator work in teams, so they are not separate companies).

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CTMopar

Jul-11-13 8:19 PM

Looking for data that says East, West, North or South...It doesn't exist!!!

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CTMopar

Jul-11-13 8:14 PM

Drill plans are just that a plan...So if Land owner A is surrounded by Land owner B,C,D,E and Land owner C was part of the plan but B,D and E were not...Getting complicated...Land owner C is worth some bucks but B,D and E can pack sand...Hang on for that ride...LOL!!!

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eriklatranyi

Jul-11-13 4:35 PM

The leaseholder receives data realtime.

The company hired to manage the well receives data realtime.

The drilling company hired to drill the well receives data realtime.

The MWD operator company receives the data realtime (sometimes the driller and MWD operator work in teams, so they are not separate companies).

This makes multiple sets of data that must match.

If a complaint is filed, all that data is subject to inspection by the Commonwealth (and the courts if it goes that far).

I cannot recall an instance of this happening. Everything is so accurate today and the penalties so severe, that it would be a MAJOR blunder.

I would think the companies involved would try to settle with the aggrieved property owner.

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eriklatranyi

Jul-11-13 4:30 PM

(con't)

AS the well is being drilled, the operator just runs the rig. An MWD (Measure While Drilling) expert is on-site helping steer and keep the bit in compliance with the well plan.

Any deviations must be noted and reported.

Additionally, most rigs send telemetry back to their HQ in realtime where computers are also watching the compliance with the well plan.

Once complete, the data is submitted to the Commonwealth.

If a company drills into a property for which it does not hold a lease, the penalties can be astronomical.....not just from the Commonwealth, but from the leaseholder to the driller to the MWD operator, etc.

One company does not do the whole job. This prevents cover-ups.

There are regulations for how close they can come to your property as well.

As you can imagine, I could drilll a horizontal along the edge of your property (still on the leased side). That is still a violation.

There are setbacks and minimum distances for everything that mus

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eriklatranyi

Jul-11-13 4:25 PM

ruxpin asked:

"If--again if--a gas company were to horizontally drill into a neighboring property that did not have a lease, how would anyone know?"

Before a well is drilled, there must be a well plan filed with the Commonwealth, showing exactly where the wellbore is going to go. It must also show topographical maps of the surface area and any extra efforts that will be taken to protect nearby streams or bodies of water. It must also show any buildings.

There must be aerial photos of the area in that plan.

All seismic data must accompany a well plan. Seismic data today is like the ultrasound used with a pregnant woman. It can show underground details to a very high degree.

Any faultlines (there are millions) formations and rock types must be clearly illustrated.

Here, the planned wellbore shown.

Once approved, then the wellpad is constructed. It is a containment system itself with a liner underneath to prevent anything spilled on the pad from seeping into the

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Brew4U

Jul-11-13 3:02 PM

Simply unbelievable, the gas industry has more rights and corruption than anyone with the exception of every government official in every office in this once great nation the USA. Thanks Bimbo Barack, Toxic Tommy, I got my wells Eugene, and Clown boy Campana. Marxist Czars making the money grab.

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ruxpin

Jul-11-13 2:02 PM

eriklatranyi,

One more quick question, more on a philosophical/theoretical level (borne of basic mistrust, warranted or otherwise):

If--again if--a gas company were to horizontally drill into a neighboring property that did not have a lease, how would anyone know?

Sorry, I really should do my own research, huh?

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ruxpin

Jul-11-13 2:00 PM

eriklatranyi,

Thank you.

I am typically quick to oppose the gas industry every step of the way, but with the way you describe it, this *seems* like a non-issue. It seems to me that the guy with the rig on his property and the associated disruption SHOULD be paid more than the guy who's just getting gas sucked out underneath and wouldn't actually have any awareness of it.

Thanks again for the explanation.

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eriklatranyi

Jul-11-13 1:55 PM

ruxpin:

No, you cannot drill across property lines without a signed lease from all properties involved.

The property with the vertical borehole will get more due to the surface disruption that takes place.

In this case, these are landowners who sold their oil & gas rights many years before the Marcellus Shale find.

These people no longer own the rights to the oil & gas under their property.

This law allows a drilling company that acquires the rights to a neighboring property to cross-over and extract what they legally purchased many years ago.

Some landowners are upset because they are not allowed to renegotiate the value of the oil & gas under their feet.

If a farmer sells next year's crop of corn for $x per bushel and signs a contract for that price, why should they be allowed to renegotiate at a higher price because a drought in the midwest raised the price of corn?

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ruxpin

Jul-11-13 1:49 PM

I am confused by this, so perhaps someone can help me. It is my understanding from the article that gas companies can now horizontally drill for gas "even if it crosses property lines." Does this mean that Joe Smith sold his gas rights and now the gas company can horizontally go into Bob Brown's (his neighbor) underground (who, for example purposes, did NOT sell/lease his rights) and get the gas? Does the gas company now not have to worry about paying Bob Brown anything?

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CTMopar

Jul-11-13 11:42 AM

Take care of your people and they will take of you...Pipelines are vulnerable and in remote areas...As for the horizontal leg when drilled the only folks that know where it is going are the ones that control the bit...When the lock box is opened in twenty years what will we find???

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pinecr

Jul-11-13 10:48 AM

Yep, screw the landowners...Corbett you are an ******* and need to go

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DavidBross

Jul-11-13 9:49 AM

"The law is designed to advance the Marcellus Shale industry's ability to vacuum up natural gas through the recent advent of underground, horizontally drilled bores that can extend out thousands of feet from the vertical well bore, sometimes even crossing property lines." Recent advent? I don't think so. Horizontal drilling has been part of this for at least 5 years.

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DavidBross

Jul-11-13 9:34 AM

This is forced pooling. If you support this law, you don't have much credence when you object to forcing people to have health insurance, nor do you have much credence when you object to state and federal governments inserting themselves in the lives of private citizens and how they dispose of their personal property.

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wwhickok

Jul-11-13 8:36 AM

The bottom line is, homeowners were duped from the getgo and the government knows it but didn't protect home owners because their pockets were being lined in silver as well.

This is what it all comes down to. Corrupt money making.

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eriklatranyi

Jul-11-13 7:56 AM

Xeo920:

Leases benefit the landowner where the vertical borehole resides at a higher rate due to the activity needed on that land.

Current leases where the horizontal crosses property lines, the owner without the vertical borehole still gets less than the everyone else.

That only makes sense.

The issue here is that people sold their rights to the oil & gas under their feet.

Ownership changed hands.

The "property" in question is the natural gas, not the land.

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Xeo920

Jul-11-13 7:08 AM

eriklatranyi..they may have signed a lease but not to be pooled with other lease holders. Older leases did not include pooling. Pooling reduces the amount of royalty the people would receive than they would on an individual basis.

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Xeo920

Jul-11-13 7:02 AM

It is disappointing that our representatives continue to give OUR state to the gas companies and drillers and take away from those that live here. You would think, or like to think, that the residents would have more rights than the corporations. This is another example of the corporate control and influence on our government.

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eriklatranyi

Jul-11-13 7:00 AM

You people forget that the landowner already signed over their oil & gas at a certain price.

In fact, many have a price for NG tha is higher than current market rates, as the agreements were made when prices were much higher.

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GysgtUSMC

Jul-11-13 6:49 AM

Corruption in government at all levels... what a surprise.

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1approver1

Jul-11-13 6:30 AM

I agree with the previous comments. I would like to know how this does not "compromize anybody's rights". The closing statement on no hearings being held, and the apparent fact that "many lawmakers did not understand the provision" really scares me.

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