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If a large quantity of natural gas is found on one property, and in near-by properties gas is found, too, will the multiple drillings decrease the amount of natural gas found in the first property? (Like lots of straws being put into one soda?) Or are there natural occurrences underground that can divide the gas finds into their own separate "pools," unaffected by drilling elsewhere? (Like lots of glasses of soda).

2007-05-29 04:46:50 · 1 answers · asked by Allison S 1 in Science & Mathematics Engineering

1 answers

Most states have regulations concerning oil and gas extraction from private lands and the Federal government regulates production from public land mineral leases. In most locations, gas wells are to be on 160 acre spacing (half mile). This helps in coordinating surface and mineral ownership.

Generally one operator is selected to manage production from a large field, called a unit. All mineral owners in the unit share in the overall production based on the acreage contributed. The operator then attempts to maximize production, using a minimum number of wells, to the benefit of all members of the unit. The operator is responsible for recording production volume and disbursing royalty payments.

There is a strong incentive for nearby ownership to join the unit because the change in pressure during production may affect the ability of outlying areas to recover their gas.

2007-05-29 06:29:41 · answer #1 · answered by lare 7 · 0 0

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