I too have received an offer to buy my rights. We are currently leasing with 2+ years remaining on the lease. I received an offer of $7000 per acre to buy outright, provided the combined acreage is at least 9 acres. Anyone out there receiving the same offers?
Phyliss - I see that you're in T2N. That is incredibly low for that area.
Phyliss - I also see that there is a horizontal well permitted on your property by SM Energy. That makes $7,000 per acre obscenely low!
If Phyliss is in Section 25, Block 32, Township 2 North, I don't see any wells permitted and I wouldn't say $7k is incredibly, obscenely low? I'm not saying I would be running to the bank to cash the check, but $7k is probably a decent starting place with a little room to improve. Section 25 is just east of most current activity.
@texas tea...if you look at the RRC then you are correct they don't have permitted wells there. If you look at Drilling Info "classic" you see this (Not sure who is right and who is wrong). 3 permitted wells from SM going right through Section 25. Phyliss do you own in ALL of 25 or a certain part of the section?
There are two Fezzik A horizontals permitted that include the west half of Section 25 and there is one Fezzik B horizontal permitted that includes the east half of 25. The RRC GIS may not show these but the drilling permit query shows them like DrillingInfo above. With that being the case, $7,000 per acre is much too low.
Y'all are right. I didn't check DI before I commented. Although, I still can't find much info on DI either besides the name. Looks like they were just submitted on 8/16/2017.
They were filed just this week and haven't been approved yet. I admit that "obscenely low" may be a bit strong but if SM's most recent investor report on the Viper well a few miles east holds up in RRC production filings, that well should have made approximately 35,000 barrels in its first 30 days. It'll be a while before we know about decline rates, productive benches, and well spacing for this area but it has promise.
So don't! I am in 27, blk 32 T2n and I was offered 20k per acre. Figured that I would be giving away the bonus profit which would be shared but prob. giving away close to 40k and I was close to accepting 50K for 1/4. Best to just wait it out, it is a great area. Feel free to correct me is I am wrong anyone.
I appreciate everyone's responses and advice. It helps me to better evaluate my options. Thanks to everyone.