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October 28, 2012

Out-of-state drillers turning up heat in Kansas

WICHITA, Kan. — An influx of out-of-state horizontal oil drillers into Kansas is driving up land-lease prices so much that some traditional drillers say hundreds of the state’s vertical wells could be idled within two years.

Oklahoma City-based Sandridge Energy moved its horizontal drilling operations into a few southern Kansas counties two years ago after buying up more than 2 million acres of mineral leases in Oklahoma and Kansas.

The Wichita Eagle reported the company also has filed intent-to-drill notices for more than 60 horizontal wells in Ford, Finney, Gray, Ness, Hodgeman and Gove counties in western Kansas.

— AP

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