We havenust started looking to lease our section in East Dunn county and see from the maps that almost all of the current activity is in the Western sections. Are we looking at below “grade” property potentials here and a lessor lease and percentage, or do current lease amounts pretty much hold across the area?
Could you possibly supply additional information as what area in Dunn County your minerals are located? Your township/range/section(s) would be helpful in attempts to answer your question.
Our property is located at 141-92-section 9. Also, since it has hwy 8 on its eastern edge, does this increase its desireability? Thank you for your help.
Looking at the map of the area where your minerals are located, it appears there are several old wells with only one producing well to the NW and a permitted well to the SW of your mineral area. I can see no benefit to you in regards to your minerals beng located next to Hwy 8. The size of your minerals holding (net mineral acres), is an important factor in negotiating a lease. You might want to think about playing the waiting game and let someone come to you as the drilling progresses in this area. A good well near your minerals will most likely increase your bonus amount and negotiating platform. If you lease your minerals at the present time, say for a 3 year period, and during that time several good wells are drilled in the vicinity of your minerals, bonus rates could skyrocket and you will have second thoughts about your hasty move to lease early. This is up to you but I am speaking from my own experience. In the meantime, just do your homework on leasing and make sure you get the most for your minerals.
TALLMAC said:
Our property is located at 141-92-section 9. Also, since it has hwy 8 on its eastern edge, does this increase its desireability? Thank you for your help.