Hi,
I own 37 acres in Bedias, Tx in Grimes County, in which a Company named CGG wants to conduct a 3-D Seismic survey and therefore want to compensate me with $15 an acre. So my question is, if $15 per acre is a reasonable amount or how much should I ask for? By the way I do not own mineral rights, and in a couple of months another company will be running a pipeline
Dear Mr. Orpzco
Expanding on what Mike had to say, you might want to limit their surface access to layout of receiver lines only -- no shot holes. There are some other things to consider, such as buffer distances from water wells (residential) water wells (agricultural) and structures.
I am about to sign a permit for a 3-D seismic survey in Grimes County. However, I was surprised to receive a letter and offer this week from another company for a seismic survey. Is there any advantage/disadvantage to granting a second permit to the other company after the first survey is completed?
Dear 6GT
If you are not under lease or your oil and gas lease retains the rights to grant seismic rights to others ;), then there is no problem granting multiple permits. HOWEVER, each permit should be a single use, non-exclusive data license in nature.
The advantage in using a Data License rather than a permit, is that you have a claim to a share of the revenues if the data is released or sold to a data broker and you sign off on the sale. My major client just received over $60K in fees for just that reason. It worked out to about $200 per acre using this technique.
You might also want to consider a damage amount if your property is not evaluated. That has been successfully negotiated in the past.
Buddy Cotten
I appreciate your response. Is it best for the first company to complete their survey before granting a permit or license to the second company?
One of my concerns is the number of trees that will have to be cut to run the seismic lines. Company A says they can cut a 10 ft. wide path with a gator machine and go around trees. It is hard for me to visualize that happening.
Put a provision in that no trees in excess of a diameter or circumference at XX inches at dead breast height not be removed.
The drill buggy can be located in an open, easy to get to point and stack shots.
It is ok to license two at the same time. Don't worry. They will not shoot at the same time. They will work it out.
Buddy
Thanks! The seismic company will not be making any shot holes. The permit requires using the vibrator truck only. We do have a requirement for them to pay for trees they cut of a certain diameter at 48" high. There are plenty of open areas for them to operate. Do they put the geophones in the wooded areas to avoid cutting trees?
6GT
Buddy Cotten said:
Put a provision in that no trees in excess of a diameter or circumference at XX inches at dead breast height not be removed.
The drill buggy can be located in an open, easy to get to point and stack shots.
It is ok to license two at the same time. Don't worry. They will not shoot at the same time. They will work it out.
Buddy