My 175 acre lease expired this month. Lonestar Resources, which acquired my lease, is drilling across the road on 2 units. They told me they were not going to drill on my acreage and were trying to get Chespeake to inlucde me in one of their units. CHK is drilling on ranches adjacent to mine, therefore, I thought they would pick up my lease. The Lonestar spokesman said CHK was "short on cash and not easy to deal with, but things are ever changing there and I should wait this out". So Lonestar did not renew and CHK is not interested. Don't know what would be best course of action. Wait it out or be pro active in finding another operator/land man. There is a lot of acitivity all around me which is 6 miles west of Asherton.
It won't hurt to reach out to all the local operators. If you can't get interests from CHK, you might be able to get it from someone who already has joint operations in leases close to you.
You can check it out on CHK's website, but I think you may be in the area of their EagleFord interests which they are selling.
Thanks Patrick and Reagan. I know Newfield is also operating in the area. Will see if they have any interest.
Patrick said:
You can check it out on CHK's website, but I think you may be in the area of their EagleFord interests which they are selling.
Ed,
I'm literally in the same boat as you. I own an override on the Ed Martinez lease, which I believe is your land as well. Do you think the acquisition of Lonestar by Amadeus will change anything going forward? I wondered looking at the RRC website why they plan 8 wells across the street and none on your land. It seems like they could have designed one cutting diagonally across yours, and increase their production quite a bit.
Ed, I mis-typed, I checked, and it is an override on your lease. It seems like the CHK well could easily be extended south into your land.
Greg,
Thanks for your reply. i'm a bit confused. Are you saying you own minerals on my acreage? I thought the only other party was Mark Dixon who sold the ranch to me in 2004. You first typed Ed Martinez but there is a David Martinez who owns about 500 acres to my south.
You are right about the 8 wells Lonestar is drilling the other side of Brown Rd on 4 ranches of 175 acres each. The Lonestar Rep said they may in the near future buy some of CHK's assests and extend the bores themselves. If they drill diagonally as you suggest they would have to go under Brown Rd and i don;t know if that means involving the county since they maintain it. i wish they would do that. Per the Lonestar guy CHK says their laterals are not long enough to extend to my land. Per the RRC website they go through Brown's ranch and terminate about 200 yards from my fence line. I think they plan to put the well on McCain ranch which is just north of Brown's. CHK has a pooling agreement on file with RRC for both of them. Ed
Greg Sorter said:
Ed, I mis-typed, I checked, and it is an override on your lease. It seems like the CHK well could easily be extended south into your land.
Ed,
I own an override, which was sold off by Wexco. I double checked and it is your land. Basically, it about 1 percent of the lease. Companies sell off pieces of their leases to raise money or to pay off geologists, engineers, etc. I do hope someone approaches you, it seems like you have very valuable minerals. With all the permitted wells nearby, it seems odd they would leave such a big piece untouched.
Ed Cuellar said:
Greg,
Thanks for your reply. i'm a bit confused. Are you saying you own minerals on my acreage? I thought the only other party was Mark Dixon who sold the ranch to me in 2004. You first typed Ed Martinez but there is a David Martinez who owns about 500 acres to my south.
You are right about the 8 wells Lonestar is drilling the other side of Brown Rd on 4 ranches of 175 acres each. The Lonestar Rep said they may in the near future buy some of CHK's assests and extend the bores themselves. If they drill diagonally as you suggest they would have to go under Brown Rd and i don;t know if that means involving the county since they maintain it. i wish they would do that. Per the Lonestar guy CHK says their laterals are not long enough to extend to my land. Per the RRC website they go through Brown's ranch and terminate about 200 yards from my fence line. I think they plan to put the well on McCain ranch which is just north of Brown's. CHK has a pooling agreement on file with RRC for both of them. Ed
Greg Sorter said:Ed, I mis-typed, I checked, and it is an override on your lease. It seems like the CHK well could easily be extended south into your land.
Greg,
Thanks for clearing that up. I guess it makes sense that they would find investors to off set their cost. I do believe someone will come forward with an offer to drill in the neat future. I did not know about the purchase of Lonestar by Amadeus and how that will play out. Thanks, Ed
Greg Sorter said:
Ed,
I own an override, which was sold off by Wexco. I double checked and it is your land. Basically, it about 1 percent of the lease. Companies sell off pieces of their leases to raise money or to pay off geologists, engineers, etc. I do hope someone approaches you, it seems like you have very valuable minerals. With all the permitted wells nearby, it seems odd they would leave such a big piece untouched.
Ed Cuellar said:Greg,
Thanks for your reply. i'm a bit confused. Are you saying you own minerals on my acreage? I thought the only other party was Mark Dixon who sold the ranch to me in 2004. You first typed Ed Martinez but there is a David Martinez who owns about 500 acres to my south.
You are right about the 8 wells Lonestar is drilling the other side of Brown Rd on 4 ranches of 175 acres each. The Lonestar Rep said they may in the near future buy some of CHK's assests and extend the bores themselves. If they drill diagonally as you suggest they would have to go under Brown Rd and i don;t know if that means involving the county since they maintain it. i wish they would do that. Per the Lonestar guy CHK says their laterals are not long enough to extend to my land. Per the RRC website they go through Brown's ranch and terminate about 200 yards from my fence line. I think they plan to put the well on McCain ranch which is just north of Brown's. CHK has a pooling agreement on file with RRC for both of them. Ed
Greg Sorter said:Ed, I mis-typed, I checked, and it is an override on your lease. It seems like the CHK well could easily be extended south into your land.
Can either of you give me the land description.
One of my Clients is looking for drillable land right now. If it ever had production that is.
They are a well capitalized group of Doctors/Lawyer from Az who drill about 4 wells a year.
John,
They drill horizontals into the Eagleford? I wish I had those kind of clients!. EURS estimated at 350-500 MBOE/well, as on page 100
http://www.google.com/url?sa=t&rct=j&q=&esrc=s&frm=...
Regards,
Greg
Thanks Greg, Ed,
I couldn't find page 100, in the link document.
I will look at it and pass it on. Mineral owner will deal with the operator directly, which is unique....no B.S. that way.
Takes about seven days to get back to me, then I will put you guys together. They pay me for that, everyone wins.
John,
Page 100 as per adobe, not on the page number. It shows up as "21 of 55"
John Morgan said:
Thanks Greg, Ed,
I couldn't find page 100, in the link document.
I will look at it and pass it on. Mineral owner will deal with the operator directly, which is unique....no B.S. that way.
Takes about seven days to get back to me, then I will put you guys together. They pay me for that, everyone wins.
Greg,
My guys passed on the land. Thanks for you time and best of luck.
Might be able to find another interested party. But I need to know the Legal, so I can verify it is in the area they are wanting acres.
Ken,
Survey 47, A726, Dimmit county consisting of 175.3 acres, completely surrounded by Chesapeake and Newfield permits. Make sure they realize this is Eagleford shale property, so not for small drilling budgets, although you would have to put in a fairly short lateral. Based on the shape, I think you could get a 1/2 mile lateral in
Legal is Hidden Valley, Blk 47, Lot 16, Acres 175.3. I guess you have the web site for Dimmit County Appraisal. Thanks, Ed
Greg Sorter said:
Ken,
Survey 47, A726, Dimmit county consisting of 175.3 acres, completely surrounded by Chesapeake and Newfield permits. Make sure they realize this is Eagleford shale property, so not for small drilling budgets, although you would have to put in a fairly short lateral. Based on the shape, I think you could get a 1/2 mile lateral in
Greg - Do you have the survey name and abstract number to my place? I'm thinking its survey 47, A726 but i'm not sure. I have a company showing interest and they need it. Ed
Ed,
It is Survey 47, A726. If you want to contact me, Greg_Sorter@yahoo.com I'll do anything I can to help you. It sounds like drilling activity in that area has slowed, and quite a few leases are being dropped. Has Lonestar started drilling accross the street yet?
Make sure you "unlease yourself" at the court house. No one else will touch you if you are tied to a company leasing you. You need to get a release. I am sure this has been monthioned here but I did not see the posting so better safe than sorry.