can anyone tell me the reason(s) why someone should NOT accept an offer of $16K per acre to buy family minerals in section 23 of blaine?
There are 26 section 23's in Blaine County. Do you have a township and range?
yes 23 17n 12w
An offer of $16k per acre is just that, an offer. That’s a high price for your area. I sold some of my minerals in 17N-10W for $11k/acre. Make sure the company you’re dealing with is legit.
what could happen after they drill if family chose to sell at $16K per acre that would make us regret that decision is my question? already been paid $3K per acre for the lease and there is a spacing hearing this month...
family owns minerals in another part of the county with 1/5 royalty free of costs on well completed in march '16 that supposedly produced 1123 BOPD according to completion report but only being pd for a fraction like 300 BOPD and getting smaller..math doesnt add up vs $16K per acre right now...so we are trying to weigh our options and our only experience is with the 1 producing well. Why would a guy want to hold onto the minerals I mean how much greater are the possibilities?
You are not dealing with the possibility of just one well. Certain parts of Blaine are getting 12-30 wells per section. That would certainly change your mind if you were thinking along those lines. Friend me with the blue icon and I can walk you through a logical way to approach it.
would be very interested in knowing what sections in blaine county are getting 30 wells. That is an AMAZING amount!
I saw that number this week in a news blurb about Blaine. However, take it with a grain of salt. There are five potential producing zones in the sweeter part of Blaine (mid eastern side of the county). Possible 4-8 wells per zone with the better zones getting more wells. It will take years to drill all those wells. Look up the most recent investor presentations for Continental, Marathon, Newfield, Cimarex and Devon to get a feel for the area. Each company is approaching it it their own way. SeekingAlpha investment comments also report on the area.
Stable oil and gas prices will help. With that many potential wells, they can pick and choose the best to drill for years. Slow down when prices are low, speed up when prices are higher. There are potentially thousands of wells in the inventories of the companies.
This is the article with the "30".
Martha did you get my emails this morning?
thanks for info Martha. I cannot understand why they would drill so many wells with oil around $50. Is that the new 70?
I think this is something surface owners need to be very aware of also. Especially if they are signing wellsite damage contracts that have additional wellsite language in them.
I agree. I suspect they will use a series of pads and drill multiple wells from each pad. Usually the pattern looks like a bunch of cigars lying parallel. I don't think they will be drilling them immediately, but slowly as prices dictate. Some of the five zones are better than others, so they will go for those first. Also, the investor presentations do tend to be "optimistic".
Cousins of mine and I have interests in 10-17N-10W. Can you friend me? I'd like to know who you got $11k/ma from. Thanks.
TA: You can contact me as I know several folks paying quite a bit for minerals in that area, depending on section & your royalty percent.
Todd M. Baker
With your acreage near Hitchcock, do you know the McLarty family from Hitchcock? I'm from Watonga, but my sister married one of the McLarty boys (Kevin). Most of their land was west of Hitchcock. Shoot me a note at . I've been in the business for 35 years.
Todd M. Baker