Montana oil and mining journal. [volume] (Great Falls, Mont.) 1931-1953, 1942-06-06
UNIT PLAN FOR
DEVELOPMENT
OF BOWDOIN
CONTINUED from Page Onel


division win likewise be divided among
all of the operators participating In
the plan based upon their acreage In
each subdivision. Each operator will
be credited with the number Of ap-
proved wells drilled prior to Jan. /.
1910, at the rate Of $500 each for
Bowdoin sand wells and $4,000 each
for Phillips sand wells, and for those
wells drilled after Jan /, 1910, at
the actual cost thereof. The average
development credit of each operator
will be obtained by dividing his total
well credit by the number Of acres
owned by him, and If his average de-
velopment credit per acre is higher
than the average for the entire sub
division then the other operators In
the unit viii contribute a portion of
their returns for gas sold until the
average development cost for the en-
tire Unit has been equalized
Montana-Dakota Utilities Co. has
been working with the United States
Geological Survey on the development
of this Unit Operating Plan since 1887.
It's development subsidiary, Fidelity
Gas Co., has been designated as oper-
ator under the plan and development
In accordance with the plan has been
carried on since early in 1910, at which
time a connecting gas transmission
line was constructed from near Fort
Peck to a point near Glendive, Mont.
This line connected the existing sys-
tenn producing and marketing gas
from the Bowdoin field with the sys-
tenn producing and marketing gas from
the Baker field and has permitted the
carrying on of additional development
and the marketing of greater gas pro-
duction from the Bowdoin field.
The approval of the Unit Plan will
permit easier compliance with the re-
Of Conservation Order M-68
in that the Unit Plan effectively con-
Solidated all Of the leases which are
subject thereto, and will permit the
orderly development Of the field as is i
contemplated by that order. The ap-
proval Of the Unit Plan will likewise
permit all of the landowners in this
area, who become parties to the plan.
10 participate in production on being
taken from the field, even though ex-
sting drilling restrictions would pre-
vent the actual drilling of wells lpon
'A4~A AoAANAcs II bAlC ODETaJlOn
under the Unit Plan will automatically
make sure that each landowner Sc
cures his proper share Of the produce
lion from the field and of the market
available.
The approval of the Unit Plan, by
he secretary of the interior, auto
natically extends the term of govern
nent leases, made subject thereto for
he life of the Unit 1t further elm
mates all questions of compensatory
oyalty often raised in connection with
he operation Of government leases.
Additional development is being car
led on in the field in compliance with
Order M-68 and as rap
dly as material can be secured for
UGH development. In 1910 is wells were
and in 1941 80 wells were
Wells are drilled by set
ing 81-inch surface casing through
he gravel with letting rig. The wells
re then completed with portable ro-
airy equipment Light 5a-inch casing
S used for the production string. A
liner is installed through
he production zone and the well is
with 13-inch tubing. About
0 days average time is required for
he completion of well.