Drilling activity planned from CGS leasing?

Courthousedirect.com has shown lots of new leases negotiated by CGS over the past year. Does anyone know of any planned drilling activity associated with those leases?

Use this link to find drilling permits in Texas. I think CGS recently permitted two wells in Gaines county. It has been mentioned on this forum that CGS may be a unit of EOG Resources.

Thank you for up your reply. I am specifically interested in Dawson Co but will look at the Gaines Co permits.

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CGS has been tough to figure out. I highly doubt they are going to operate anything themselves if you look more closely at them. Their President is a lawyer in Tyler. The person who filed the two drilling permits for them is a bookkeeper in Tyler. Their address is to the law firm in Tyler. Yet, they have taken hundreds of leases. My thoughts echo AJ’s in that it’s likely they are an agent for a larger company that wants to stay anonymous while they build up a position. Once it’s known who that company is, I think it opens the doors to more competition, more drilling, and hopefully more value to mineral owners.

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I questioned this suspecting a buy and flip situation. What I was told is that they were supposed to be spuddinig the site in the first quarter of this year. That’s why I’m trying to figure out how to use the Texas RR Com site to see what has happened.

Ronnie, do you know the legal description of the drilling site to which you refer?

CGS Operating LLC has permitted two wells recently in Dawson County: Santorini Unit #1H and #2H. These are both 11,600’ horizontal wells targeting the Spraberry formation. The wells will spud in at Section 44, Block 36T5N, T & P RR Co/Boroughs, JM Survey, Abstract 508. The bottom hole will be to the north in Section 32, Abstract 439.

I have approx. 900+ acres in mineral rights in this area but I’ve not been approached by anyone for leasing. Should I contact someone or wait for them to contact me? Here are my legal descriptions: Sec. 30, Blk 33, T-5-N. West 138.9 acres; Sec. 30, Blk 33, T-5-N. East 593.9 acres; Sec. 31, Blk 33, T-5-N. South 15.3 acres; Sec. 42, Blk 33, T-5-N. North 183.1 acres.

Can someone advise me as to what I need to do? I’ve been waiting until I saw something moving that direction & looks like it might be happening now. Thanks.

I am surprised that you haven’t been contacted. You are very close to the newly permitted CGS Operating wells. Usually, if a company is interested, they will find you. I am to the west of you in Glasscock CSL, League 276 and have been contacted by a land company wanting to buyout our minerals.

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If you live in the area (I don’t), be on the lookout for a drilling rig in Section 44.

I don’t live in the area either, however, it is between our winter home & our summer home, so we travel through frequently. I would really like to lease, not sell. Trouble is, I’m not sure how to go about procedure. We do have an oil & gas attorney that could advise us but I try to be pro-active before heading to his office.

I, too, have mineral rights in this area but haven’t been contacted by anyone to lease as yet. Would you recommend that I call CGS & negotiate a lease or sit tight & wait until they come to me? Would it be better to go to EOG (I believe that I read somewhere that they are in Decater). I am interested in leasing, not selling. In fact, one comment on this thread says a permit has been issued & approved in one of my tracts of minerals. If a well were to be done & producing, what are my rights as a mineral owner. Wouldn’t the pocket be underneath my tract, too? I’m so confused on how all this plays out.

For Donna If you are talking about Dawson County, then you should not be concerning yourself with future leases so much as you should concern yourself with CURRENT leases. I don’t know if you have looked at the Texas RRC Public GIS Viewer map, but it looks like there are two wells on the North half of Section 42. and one well that might well be on the 15 acres you have on Section31. On Section 42 is Well called API#115-33129… It is on Lease #10722 under the lease name Fulkerson. It has produced since January 1, 1993 some 44,984 barrels of oil and 24,794 MGF of Gas. The operator is operator #383312 known as HGN Operating from P.O. Box 3293 in Abilene,TX 79604 phone (325)437-9747. If your 15 acres has the well in Section 31 then you have well…API #115-32776 under Lease#67205 Lease name Ancell. It has produced since Jan 1, 1993 some 159,382 barrels of oil and 80,074 MGF of gas. The operator is AVRA Oil Co. out of 4925 Greenville Ave. Ste 450 in Sugar Land TX 77478 phone (832)500-4341
You need to read the deed and see just where this 15 acres is, if it is in the Southwest quarter of the Section 31, then you are due. Don’t let them tell you that under Texas Law that they only owe you for 4 years back. This “statute of Limitations” Texas law is in violation of U.S.Constitution Article One, Section 10, paragraph one that forbids states from passing laws that “impair the obligations of contracts” Everyone in Texas needs to know this, Federal Law over rules state law, the Texas 4 year limit law is an illegal law, that the oil companies are using to rip off vast quantities of money from mineral rights owners.

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Wow, Gary!! Thanks for giving me this information. I will be looking into this.

The Texas Railroad Commission has several new “Data Visualization” tools, including one called “Wells Spudded Data Visualization”. The latest Dawson County well it shows spudding in was in February 2020. The well is the Carr #3 operated by Halvey Energy. The well is located in Section 31, Abstract 173.

CGS spudded the North Wind Unit in gaines county on 3/05/2020 and the moved the rig on the Santorini unit in dawson county and spudded on 4/05/2020- they are drilling

Santorini unit= legal description is section 44- Block 36-T-5-N

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