Looks the same as EOG's approach in Smith/Anderson County before the drop in crude killed everything.
I've got the Tonkawa location pinned down and plan to get by there next weekend. I thought they were diverting horizontally from the original well bore but the amendment EOG filed to the Pallas permit indicates the same pad but PP moved a few feet.
They appear to be filing their P-5's under Tri-C Resources.
I am a landman and am familiar with Tri-C and this project folks. I just wanted to clarify a few things. Tri-C has paid each lessor promptly, and when Steinhauser calls Tri-C to tell them a lease has been signed, the check itself, NOT a draft, gets delivered within a day or two. Tri-C does currently operate wells in Texas, Louisiana, and Oklahoma under the name Tri-C Resources. If you have hesitations about leasing to Tri-C, I would recommend contacting Mike Steinhauser to get his thoughts on working with them, or you should call Tri-C directly. Thanks all.
Well done and thanks for the first hand insight. I have been posting and watching Mineral Rights posts for going on 8 years and to my recollection, this is the first time I have ever seen a post from a company or a landman spelling out this information as clearly and precise as you have done here.
Thanks again and looking forward to your success!
Peyton I do not think nor does anyone on this thread think Tri-C is paying with drafts. I guess what we do have an issue with is Tri-C refusal to deliver anything other then 20% on a lease. Landowners in this county have been getting at minimum 22.5% even when oil crashed. Second issue is Lease form and some issues Tri-C will not budge on. We all get it, Tri-C has drilled some wells but when they want to get every lease at 20% it smells too much like a drill and flip or possibly just a flip Deal and all the higher ups at Tri-C sell out and enjoy a 5% ORRI at the landowners expense and move on. Since the difference of 100% minus a lease bonus of 20% leaves Tri-C with a Net Revenue Interest of 80%
Once Tri-C sells they will deliver to the buyer a 75 NRI like all deals are marketed at. A bit greedy if you ask me. 22.5% on a lease is fair and I bet some of the landowners would take less money for better royalty since this is a proven chalk EF area. (Or at least it is on trend to be proven). Again, Tri-C will not budge on the royalty which leads me to believe they are doing a Land grab, flipping it and keeping a 5% royalty all at the landowners expense. If Tri-C wants immediate success offer at least a fair royalty. It’s apparent the money isn’t an issue for Tri-C since they are more then likely backed by private equity money as it is. Believe me I don’t mind spending other people’s money either. Peyton, be careful on how you try to convince landowners on this sight. We’ve been around the block 
Eric:
Thanks for filling in the blanks.
Eric, what your saying as far as your ROI numbers may well be correct. But when you say "landowners in this county have been getting at minimum 22.5% even when oil crashed"... uhhhh. At the height of the boom 6 years ago, deals above 22.5% were far and few between in Fayette. Tell us exactly who's out there in southern Fayette signing deals. I think it's just one. Right now, whether we like it or not, they have the bargaining advantage. Doesn't mean anybody has to sign, personal choice, what makes it great!
22.5 % is beyond fair. You would be surprised how many people signed leases st 25% royalty that you do not know about in Fayette and Lavaca County. These landowners signed confidentiality agreements. You’d never know unless you saw their lease since companies are only filing memorandums now that do not disclose the royalty in a lease. No I get it they are making a relatively fair offer but 2.5% will not make or break Tri-C I can promise you that. Also I honestly believe in southern Fayette the landowner has the advantage at this point. If you have seen the production on a map, (which I have and looked at what is actually available for lease) I.E. Sanchez Units, Old Cypress Units, And PV units which extend into Lavaca County then Tri-C has to be very effective in their leasing strategy to put together drillable blocks, or they are simply throwing away money. So for all that to come together Is going to be tough for Tri-C which is why at this point I think John Q landowner has the advantage, unless of course they have more money then Trump and buy all the operators leases and Production they yes at that point they would have the production.
They would have the advantage*.
Point well taken. Unfortunately, the people who sign for 25% with a confidentiality agreement are doing the right thing, but in the long run probably hurt others who aren't privy to the shared information. All we really have to go on is the FSNN and this blog.
I checked DrillingInfo.com under "leases" and found a few 25% royalty leases that have been filed over the past 24 months. Also everything down to 18.75% too. And a whole list of leases with no royalty interest noted in DI summary.
Attached is PDF showing the 103 filings from the past 24 months that had royalty info. There were a total of over 4600 filings for that same time period.
List is ordered by royalty.
3535-FayetteCoLeaseswithRoyaltyinfopast24months.pdf (18.3 KB)Rock Man
EOG Tonkawa horizontal is drilling. Helmerich & Payne Rig 632
Like they did with their stealth wells in East Texas a guard station is at the gate and nothing visable from that point. The picture is from around on a side road.
Doubt this area will be mentioned in EOG's next earnings call but maybe a frac spread or tank battery will show in the next couple of months
Dusty, thanks for the report from the field. Agree that the only way to have an idea of what is going on here is eyes on the ground.
Checked DrillingInfo.com under "well events" for this operation (EOG Tonkowa). Looks like they have been out there again since mid January.
7.625" casing set at 14,363'. Looking to see if any directional surveys filed with Tx RRC yet.
Only survey filed with Tx RRC is for the vertical well (TD 15,400'). Let's EOG know exactly where wellbore is as they set up for lateral drilling.
Betting they took a lot of core plus ran some pretty hi tech log suites here.
EOG%20Tonkawa%20Directional%20survey%20_%20Vertical%20hole.pdf
Where is this st?
Here are directions to rig as per DrillingInfo.com
==========================================
Operator (ph):
EOG RESOURCES, INC.
Well Number:
1H
Location:
FROM INTERSECTION OF I59 & 109, GO W ON 159 FOR 4.8 MI, T/L ON POST OAK POINT RD., 2 MIL, T/R ON WILDE ROAD, 1/2 MI, T/L ON STOKES RD FOR 1 MI, LOCATION ON YOUR RIGHT.
Drilling Contractor:
H & P
Rig Number:
481
Wel I guess I’m asking like where at in the county is it?
The extreme northern corner of Colorado County. See PDF map below.
=============================================
Any updates or rumors on the EOG Tonkawa well?
