We have received a purchase offer of $8,350 per acre for property with 1/5 lease in section 8 8N 5W in Grady County. Had received a previous offer of $6,489 per acre. We were hoping for offers closer to the $15,000 per acre amounts we’ve been seeing in the forum. Any thoughts on the highest current offer and what the future might hold, if we don’t sell now?
Offers are dependent upon multiple factors. The reservoir(s) and whether there are possible stacked ones or just a single one, performance of current and predicted future wells, purpose of the offer, royalty amount, price of oil and gas, etc.
You have one current well called the Teddy 1H-5X . They left room for more wells in the future. You can hang on and wait for more wells in the future. None are pending at this time. That is a Woodford well.
The higher sales amounts are in the areas that have both the Springer and the Woodford. You appear to be just on the edge or out of the main Springer shale play hence a lower offer than $15,000/ac.
Does being on the edge or out of the Springer play indicate that there is no possibility of stacked reservoirs in this area?
Also, have you heard of any activity by Encana since they purchased Newfield? The Encana website is vague on their plans in Grady County.
Thank you for your time.
There may be other possible reservoirs, but they are not in play right now. Only Encana knows what their plans are. I do have other areas in OK where “Newfield” is still filing cases and permits, so time will tell. This is a long term game…
I did a quick search and Newfield has filed 220 permits in the last 365 days-1 in Grady. Not sure the exact effective date of the Encana takeover-early 2019 I think. No permits under the Encana name yet.