Ky/Tenn Report

Volume 19, Number 1 January 2012

OIL & GAS BOARD TO MEET JANUARY 18TH & 19th - The Tennessee Oil & Gas Board will hold a hearing, beginning at 9:00 a.m. on January 18th and 19th in the 17th floor conference room of the L& C Tower, 401 Church Street, Nashville. Included on the agenda is an appeal by Young Oil Corporation of a Notice of Violation for failing to submit an annual report and time limit for plugging wells. There will also be an appeal of a contested change of operators from Forexco Inc. form PDC Resources for all wells in the Lick Branch field. An appeal will also be heard by PDC-Cambridge, Windsor Resources of a Notice of Violation for failure to bury gathering lines. There will also be an appeal by TN-K Energy over a Notice of Non-Compliance for operating a secondary recovery gas storage field in Overton County. TN-K Energy will also make a request to operate a secondary recovery and pressure maintenance unit in Overton County, Jarvis Drilling will appeal a Notice of Violation for a well and tank battery. Bedford Patterson, Tennessee Energy Corp, will appeal a Notice of Violation for not submitting an annual well report and failing to have a well bond in place.  Finally, the staff will present proposed regulations for new well fracturing and casing requirements.

NEW REGS OFFICIAL JANUARY 25TH, MORE REGS COMING - The new regulations recently passed by the Oil & Gas Board go into effect January 25th, unless the legislature steps in.  The new regulations include bond increases, temporary abandonment, well plugging and more. Also there are new regulations governing fracing, drafted by the staff of Water Pollution Control, are expected to be introduced the Oil & Gas Board at its January 18-19 meeting. If the new regulations are accepted, the WPC staff will schedule a series of public meeting, allowing the public to comment on the new regs. Once the comments are compiled, the staff will bring the proposed regs back to the Oil & Gas board for final approval. Once approved by the Board, it will take several months before the new regulations are finally adopted.

NASHVILLE’S LOWER BROAD HIGHJACKS PARTY- The TOGA Christmas party, held Saturday, December 3rd at the Hilton in downtown Nashville opened with an elegant cocktail party in a VIP section of the spacious Hilton lobby. That was followed by a short walk up the stairs to a buffet dinner.  After Vicki Griffith, party chairman and president elect, passed out Christmas gifts, there was to be dancing till dawn, featuring Will Goodwin as the DJ.  But the combination of $8 Hilton drinks and the lure of the nightlife on South Broadway, the party ended at 9:31 p.m. Most of the TOGA party crowd chose to buy $5 beer and $6 drinks at the honkey-tonks on lower Broadway in Nashville.  Next year the Christmas party will return to the Dancing Bear Lodge near Gatlinburg.

SPONSORS HELP APPRECIATED; SUPPORT THEM - Platinum sponsors were Appalachian Land & Development, Atlas, First Response, Griffith Services, Hornet and MRC. Gold sponsors include Aqua-Clear, Environmental Standards, Packers Plus, Planet Energy,  Superior/Nabors Well Services and Vinland Energy. Silver Sponsors include Bill Ray, Spoon Well Services, Bill Goodwin-TMD Energy, Universal Well Services and Jim Washburn, Geologist. Bronze sponsors include Gary & Tamira Bible, Doug Clark- Knox Energy, Civil & Environmental Consultants, St. Joseph Petroleum, Bob Nelson-AC Insurance and Well Fargo Insurance.  

MILLER OFFERS FREE WELLS - Miller Energy Resources is currently in the process of plugging hundreds of wells it drilled for operators who left the state years ago. Many of these wells have shale and other potential. Miller is offering these well to any operator who make a small donation and assign a 1/32 royalty to TOGA to fund its growing lobbying bill. For more information, contact David Wright, VP Land for Miller at 423-863-0437.

EXPERIENCED GAS OPERATOR SEEKING EMPLOYMENT - Randal L. Moran, who has experience managing and operating all aspects of natural gas wells, gathering systems, field compressors and more is looking for a position in Tennessee.  He can be reached at P.O. Box 863, Morgantown, KY 42261. Phone 270-597-7441 or email at Moran.Randy@Yahoo.com.

HORIZONTAL DRILLING SEMINAR ATTRACT TENNESSEANS - Six Tennessean oil men were among more than 300 oilmen from around the country participating in a two day seminar focused on horizontal drilling in the Mississippian lime formation. Dr. Gary Bible and David Wright, Miller Energy Resources, Scott Gilbert, Monteagle Oil & Gas and Bill Goodwin, TMD Energy, plus two from Tengasco, including president Doug Bailey, attended the Wichita, Kansas seminar, sponsored by the University of Kansas.

NASHVILLE SITE OF 2012 TOGA CONVENTION - TOGA will be returning to Nashville for the 2012 convention, to be held at the Sheraton Music City Hotel May 9-11, 2012. Exhibitor’s packets will be mailed in early 2012, followed by registration packets. Convention chairman Vicki Griffith is looking for sponsors, speakers and ideas on how to top the 2011 convention. It was a great convention but we have every intention of making the 2012 event even better. If you have any suggestions, call Vicki at 865-457-9300.

BIG OIL RETURNING TO US, SAYS WSJ - A recent article in the Wall Street Journal spelled out how the majors are shifting their focus away from the Middle East back to the west, including the U.S. and Canada, with “profound implication for the companies, global politics and consumers. The financial newspaper cites oil shales, shale gas, deep-water oil and shale oil as the primary reasons for the shift back to the west. Natural gas tapped by hydraulic fracturing in the shale formations account for 23% of the gas production in the U.S. and is expect to increase to 42% by 2020.

KENTUCKY OIL ACREAGE READY TO LEASE - JoAnn Griggs has 36 acres in Allen County and 129 in Barren County, near Scottsville, that she would really like to lease to someone who will drill for oil.  Call her at 615-776-3776.

TENNESSEE DECEMBER PERMITS: Fentress County: Plateau Well Service, Dwight Prescott #3, 2500’, Moodyville/ Overton County: Anderson Oil & Gas, Robert Wright #4, 1500, Alpine; TN-K Energy Inc, James H & Ralph E Robbins #3, 2500’, Alpine; Hornet Corporation, Donald & David Huffer Unit #2, 2500, Livingston; Ricky Melton #7, #5, 2500’, Livingston; Chris Farmer, Windle Family LLC #1, 2500, Livingston; Michael Melton #2, 2500’, Livingston; Keith Vaughn #1, 2500’, Livingston/ Pickett County: Duncan Drilling Co., Ray Huddleston #3, 2500’, Moodyville/  

SOUTHERN KENTUCKY DECEMBER  PERMITS:  Barren County:  Jth Capital Group, LLC, Chad Coomer, 1 Leipers Ls/ Clinton County:  E B Conner,  Jr, Steve Dickerson, 1 Knox Gp; Delmer Parrish, Lloyd Heirs c/o Mcwhorter Dorleen Mcwhorter, 1 Knox Gp; Shannon Portman, A V Conner, 1 Knox Gp; Steve Burchett Oil Co, Orville Freeman, Burchlew 85, Burchlew 88, Burchlew 89 Knox Gp; Bill Heirs Grider, Burchlew 125, Burchlew 126 Knox Gp; Roger Grider, Burchlew 124 Knox Gp; Jerry Mccutchen, 1022 Knox Gp; SWO Drilling, Roger Barber, 1 Knox Gp; Ronald Brown, 3 Sunnybrook; SWO/ISM, LLC, Ronald Brown, Brown 4 Knox Gp; Donald Peters, 3 Knox Gp; WM G Talbott, Nathan Groce, 30 Knox Gp/ Cumberland County:  Joe Todd Oil Project, Clifford Riddle, K12, K13, K15 Knox Gp; Joe Rich, Bobby King, K13 Knox Gp; SWO Drilling, Clint Carter Heirs c/o Glenda Carter, 21, 22 Stones River; Ethel Page, 4 Knox Gp; Larry Wisdom, 26 Stones River; SWO/ISM, LLC, David Teal, Teal 1, Teal 2 Knox Gp/ Harlan County:  Magnum Hunter Production Inc, Penn-Virginia Resources , Mf-3 Cleveland Mbr, Ohio Sh/ Leslie County:  EQT Production Company, Elmer Whitaker, 568405 Huron Mbr, Ohio Sh/ Monroe County:  Joe  Miller,(Jr), Rickie Hagan, 5, 6 Sunnybrook/ Wayne County:  J & J Exploration LLC, Gleason Foster, 1, 2 Fort Payne Fm/

KY/TENN REPORT
750 OLD HICKORY BLVD, #150-2
BRENTWOOD, TN 37027