Yet Another Producible Formation in West Virginia

6169611171_c9d38cbcb6_oCunningham Energy has announced in a report that it has gotten good oil production from some wells to the Big Injun formation in Clay County, WV.  Reported numbers are 26,000 barrels of oil (total) over eleven months for the Cochran #5H and 26,000 barrels of oil (total) over eight months for the Cochran #6Ha.  Those are pretty decent numbers, and the fact that the second well has produced better than the first means that Cunningham has improved their techniques to recover more oil from the same formation.

Readers of this blog will know that there are multiple formations down there, and that when you sign a standard lease you give up rights to all of them for as long as the lease is paid for (the primary term) or producing.  It’s extremely important to draft around that issue, or you’ll sign a lease that could last for decades without giving you the chance to ever change it in any way.