Looking for an estimated value for a 3.75% ORRI for the following: All of Section 6, Township 21 South, Range 30 East, N.M.P.M., Eddy County, NM, containing 1016.27 acres more or less, bearing NM Serial No. 06793
Moved this to Eddy County, NM
There’s no current production on this land. My feeling unless it’s in the Delaware basin, not worth much.
Brandy, sent you a private message. Assuming I know how private messages work. Which might be a bad assumption.
I’ve worked numerous deals in Eddy Co, NM. The Fed Lease covers three or so sections with only a few HBP wells from the 1960’s. There is no horizontal activity in the area and it’s quite far from the Texas border. I’d guess maybe $500-$1000 if you’re lucky, depending on production numbers, if any.
I trust this helps!
A polite but contrary opinion. Which could be wrong.
XOM paid around $7M for BOPCO’s interests in three big Federal units in Eddy County. $23k/acre. This is in one of them. There are no wells here because it’s under potash, and BOPCO is a bunch of slow-rollers.
It will take time to develop from drill islands, but there is no chance that XTO/XOM isn’t currently working on a plan to develop Big Eddy Unit. Similarly no chance that this Fed lease will be allowed to expire. If you are willing to hold it forever, you’ll get a bunch of wells on this acreage. Forever is a long time. Makes reasonable sense to sell it now when prices are high as I’m sure somebody will pay you for a portion of the birds in the bush. I won’t pretend to know the exact answer, but I’m extremely confident that you would get a multi-million dollar offer (for your 305 nra) if you shop it a little bit.
Are there any Eddy Co sections that are in the Delaware Basin?
A large portion of Eddy County is in the Delaware Basin. Here is very cartoony version
My mineral rights are in the city of Carlsbad, which by what I’ve read was granted to Santo petroleum to explore and hopefully Drill and find oil. Does anyone know of any progress going on in the city?