Oil company seeks leases 2.13

Written by David Green.

Monday afternoon wasn’t the first time Marion Mannschreck accepted payment for oil and gas drilling rights on his farmland east of Morenci. Other oil companies have sought the hidden treasure in the past.

But he was willing to sign the documents once again and gladly accept the $50 an acre payment. And better yet, if a productive well is established on his property, Mannschreck will receive the customary one-eighth value of oil produced.

Mannschreck’s land added a few more acres onto the total 33,000 acres leased  in southern Michigan by Continental Resources of Enid, Okla.

Richard Straeter, vice president of Continental’s Illinois Division, knows others have tried, but he also knows there are reasons why the new effort can succeed: improved technology, increased demand, rising prices.

Straeter also knows a lot of oil has been taken from the ground not so far away from this area, and he’s hoping additional pockets are waiting to be tapped here.

Since its discovery 50 years ago, the Albion-Scipio field—running through Hillsdale, Jackson and Calhoun counties—has produced about 140 million barrels of oil.

“This is our first venture into Michigan,” Straeter said. “We’re in the process of completing our third well.”

The company’s first successful well in Hillsdale County is producing 260 barrels of crude oil a day and a test rate of 310 barrels is planned this month.

A second well produced about 500 gallons an hour during an initial 10-hour flow period. A third well should begin withdrawing oil this month.

Continental is acquiring permits for an additional five wells...

 

  • Play Practice
    DRAMA—Fayette schools, in conjunction with the Opera House Theater program, will present two plays Friday night at the Fayette Opera House. From the left is Autumn Black, Wyatt Mitchell, Elizabeth Myers, Jonah Perdue, Sam Myers (in the back) and Lauren Dale. Other cast members are Brynn Balmer, Mason Maginn, Ashtyn Dominique, Stephanie Munguia and Sierra Munguia. Jason Stuckey serves as the technician and Trinity Leady is the backstage manager. The plays will be performed during the day Friday for students and for the public at 7 p.m. Friday.
  • Front.F.school
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    ON THE MOVE—Six goslings head out on manuevers with their parents in an area lake. Baby waterfowl are showing up in lakes and ponds throughout the area.
  • Accident
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  • Front.teacher Leading
    PRESCHOOL MUSIC—Fayette band director Jeffrey Dunford spends the last half hour of the day leading the full-day preschool class in musical activities. Additional photos are on page 7 of this week’s Observer.
  • Front.poles
    MOVING EAST—Utility workers continue their slow progress east along U.S. 20 south of Morenci. New electrical poles are put in place before wiring is moved into place.
  • Face Paint
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