Council earns city funds through oil & gas lease

The city council netted $7,938 for Levelland on Friday by approving a three-year oil and gas lease at the airport.

That action was taken after Hockley County commissioners approved the same lease Monday.

City attorney Richard Husen explained that the lease gives Cimarex Energy Co. the right to drill on a 62.5-acre tract of land in the northwest portion of Levelland Airport.

But all surface drilling activity – plus pump jacks and tank batteries – would be located east of the airport.

The company will drill a horizontal well in searching for oil and gas.

No fresh water will be extracted from the site.

The lease agreement is for $500 an acre plus a signing bonus of $500.

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