Has anyone been approached by Devon to extend their lease? Our expires in June 2015. We are waiting for paperwork but wanted to know what others are hearing from locals.
That is many months away. Why do they need to extend and when will they commit to drilling? How long was the original term and how much are they willing to pay now? How much of the tract do you own?
Not sure why this is in your best interest as i would assume it is your goal for them to drill sooner rather than later.
I know a lot of members are sensitive in disclosing what they own, what they got paid in bonus and what their royalty is but all that is key to knowing how to respond now.
Also what does your lease say? Is it the oil company’s “standard lease” where it omits the Pugh Clause, has you warranting title and has you paying “your share” of post production costs?
It does not sound to me that you need to be rushed so you might want to use time to your advantage.
Does anyone know the current bonus/royalty being paid for leases in the Komensky area? My lease was with GeoSouthern (now owned by Devon I assume) and expires in February 2015. I was just approached by another company to top-lease. The landman told me that Devon was not going to renew the leases in this area. I'm not sure if this is true or not, but it wouldn't hurt to know the current offers out there.
R.Henneke---I am sure the top lease was with Penn. Penn has most of the leases around you since they bought out Cypress( FM 1295/FM 532 area). there is still some Sabine to the north of you...and not sure what they are going to do...but Devon's acreage around there is few and far between. Better to get Penn...but I would think that now, with current crude prices, that leasing has ceased for the next few years, unless you are going to be in a unit within the next year or so....I would get back with them ASAP...
Where are you located?