Gas

Gas exploration is very similar to Oil exploration with a few considerations. The main difference between the two are that if you strike Oil, you can have a truck pick up the product, but with gas, you have to have access to a commercial pipeline.

US Land and Minerals

Anytime that you start a drilling prospect there is a chance that you may find high pressures consistent with Gas. Typically, a shallow vertical well prospect location would be looking for Oil and may or may not add a blowout preventer stack, to the drilling budget. The size of the rig required to drill a well to less than 1000' may be the same size required, to drill a local water well. The deeper the hole, the bigger the rig, the more pressure risk and thus, the bigger blowout preventer required and they all cost more money.

Please keep in mind that to have a prospect location qualify for promotion, the Oil & Gas reserves that the Geologist has identified, has to hold more potential product value than, the development, drilling, lifting and operating costs combined, along with investor returns.

The larger gas plays today involve 6,000' - 15,000' deep horizontal well bores, that penetrate a shale layer and follow it for several hundred yards. These projects are very expensive and require a high pressure hydraulic fracturing procedure that frees gas from the productive formation. There are many environmental concerns regarding this practice, specifically around the chemicals that are used and the risk of possible ground water contamination. You, as the Mineral Owner, need to understand the entire exploration through completion process and their potential repercussions, before making any contractual commitments.

The US L&M, LLC network allows you to talk to your neighbor about these practices, compare offers, size up companies and make the best business decision, regarding your Mineral Ownership.