Early this year I got a call from a nice fellow in one of the companies you folks might be talking about. I asked him, that with my small interest in one Section, why would he bother to make an offer. He said that his company would buy any part of our acreage, so that they could participate in the well. This made sense to me, since these wells are so big. Still, I would not sell. Is it true that these companies offering higher than the going rate, even for purchases, are representing investors who want to get involved in the well as an investment?
Overriding Royalty Interest. It is a piece of the royalty given to a âpersonâ for their services. Is taken out of the âOperatorâ royalty pool of royalties and not the mineral owners pool of royalties. Often given to the land guys, geologist, deal makers, etc. They donât have to put in Working Interest money, just sweat equity.
Yes Charlie. As a mineral owner you always have the option to participate in the well by paying your percent of the costs. However, if you lease you are giving that option to the ones you lease to. Sometimes instead of participating they will assign your lease to the operator and reserve an ORRI. Then they donât have the risk involved in participating.
ORRI ?
ChrisâŚwhen I said going back down hiway 19 youâd see the Poteet I meant hiway 29. Also you will need to go around the section on 19 road and go east around and come back to that hiway by 18 road to see the wells there. BUT, Chris, listening to the weather this morning Iâd say stay home with a big cup of hot chocolate! Itâs slick out there! They have closed First Baptist Church here and will probably close ours too so weâre probably changing our plans too! Stay Safe!!!
Chris, for future reference going west to Chickasha from Lindsay on hiway 19 has been very active too. Down through Grady Co. has been very active too but since our wells are down in Stephenâs Co. Iâm not as familiar with where everything is. The Faith wells (4) are over west of us a few miles but I donât know how to tell you to get to them. Be Blessed!
Iâm in Pauls Valley for a couple of days and would like to take my mom on a drive through the current hot patch. Can some (Linda?) suggest a good route where we can see some action? Weâve got a truck so it doesnât have to be paved but Iâd like to come back with my fillings in tact 
I think that would be a good move Chris. Hopefully itâll be better soon. They are saying after Wed. temps should be back up in the 50âs for a nice Thanksgiving (or if not âniceâ at least above freezing).
Chris, Donât know what you want to see for sure but come to Lindsay on hi.19, 28 miles west of PV. Go south on hiway 76 for about 15 miles until you get to highway 29. If you want to make a few side roads along the way I suggest going to the right (West) on one of the side roads (the one just before you get to the large red clay pit) Iâd say itâs about 8 or 9 after you turn south. There is the âSubletâ setting high on a hill just off the highway on that section road and then there was either a well or location for one on every section along there for about 6 miles. Also a compressor station down there. Coming back to the highway and heading south again donât forget to look on both sides of the highway. Just as you get to the table top mountains youâll see a compressor station on the left & another further on south and on your right. Youâll have already missed the âTinaâ well because it sets down in the valley behind trees & some more off the highway. On your left youâll have passed one of the Kelly wells and east on that section road are several more, the "Campbell, another Kelly, the Baxendale, the Floyd, etc. but back to the highway and south again to the highway 29 and at the intersection starts the biggest action. The Boles well and the new Newfield office will sit straight ahead of you and the Honeycutt is also down that road but I suggest you turn right (west) on highway 29 going toward Bray area. On both sides of the road and down every section line road there you will see work going on. The Vanarkel well sets off to your right and just past it on your left at 19 road starts section 21 from which they have drilled 6 âBranchâ wells and 5 âCasadosâ wells. And back in the trees on the west is the âClaudineâ. There is also another compressor station in front of them. Down 19 road is the Yandell in the trees. On hi.19 & on your right will be the âPoteetâ well and on the same section they have built another location but to Hutchâs dismay it will be the McElroy #2, the next 2 locations will also be McElroyâs 3 & 4 and on back of them you may can see #5 location. There should also be a Continental rig on another well. Down that way is the âWhatleyâ and another big compressor station. If when you pass âBear Creekâ you have seen the rig setting south of there (may be gone by now) you can turn around and head back on 29 to the east. On the road just before you come back to the fire station where you see the tall water tower there have been several wells drilled down that way but the road is very rough and there are no section line roads going back to the highway for 3 miles so I donât advise it. Wells down there are the Mashburn, the Condit, the Wright #1 and you can probably see the three more and maybe the fourth rig on some of the Wright âsiblingsâ being drilled now. But I suggest staying on the hiway 29 all the way back to Elmore City and then you can turn back north to Maysville where you can get back on your hi. 19 going back east to PV. Along highway 29 going back to Elmore you will see the rig f/the âStuddardâ to you left if it still there. Other wells include the âWilliamsâ and some more whoâs names fail me down that way. You will see some more compressor stations and new oilfield businesses along that road. All this is not pretty scenery unless youâre a mineral owner and then itâs beautiful! On Sunday there wonât be much work going on and you might see everything without getting ran over but Monday might be a different story & expecting snow. Stop tomorrow at Erin Springs Baptist Church on Hiway 76 just S. of Lindsay if you like and join us. Ask for the Kecks. Youâll like it!
Below in " " are well names (ie: the âSubletâ)
Linda, Iâll take all those fine directions and set them aside until this freezing rain is well past! Thank you.
Tom EdâŚI think you have me mixed up with someone else! Oh, yeah, I am wealthyâŚI have a mansion reserved in heaven. And Iâd like lots of company when I get there! Thatâs the only kind of wealth hubby and I can boast of right now.
Sorry for the length of the former post. Should have put on private line but I didnât. oops!
Does anyone have a strong recommendation for a local accountant to deal with Oklahoma oil & gas stuff? Mine in California is a bit out of his element when dealing with O&G in Oklahoma, understandably. Thanks, as always, for recommendations.
ChrisâŚKeckâs Propane belongs to Prestonâs half brother, Eldon Keck. He is a great guy (a kid he will always be to us as our son is close to the same age)! Heâs part of what Preston calls âmy dadâs Fall Cropâ lol
So glad you got the opportunity to go on your tour! Yes, it has changed the country side a bunch! Our church didnât close and Preston went on to church but I was afraid of getting on the ice and falling. He said their were only about 15 there. He usually teaches a menâs SS class and the preacher talked him into teaching all of them in a class.
Linda,
Sure wish I was wealth like you and Chris. I am envious.
wealthy
Tom, you must have me mixed up with another Moore!
Linda, we ventured out today despite the warnings; the roads were not as bad as folks were saying but Iâm glad we had 4 wheel drive and some patience! Is Kecks Propane you guys? I saw that truck when driving down 76. Anyway, thanks for the directions â it was fun to see some action. The drilling rig and the huge compressor station on 29 were very fun.
The tour really impressed upon me, and this may be helpful to our other forum members who are not local, the amount of space we are dealing with is huge. While there is a ton of activity, this is still a very spread out area. Not like we have drilling rigs stacked up on each other everywhere (19 mile and Sand road is the exception I saw). The distance between 4N-4W and 1N-1W, for example, is vast. The operators have an almost incomprehensible amount of work in front of them putting holes in the ground.
Clearly this is a very long term play. The impact on the local communities will be giant â good because it is going to boost the economies and bad because it is going to change the community. The first few miles of 76 going south seemed to be one O&G related business after another.
And apologies, the weather was just cold to roll down the windows and take pictures. I donât think it will improve while I am here so you will all have to make the tour yourself
GARVIN, OK - SEC 34, 2N, 2W
My family has a lot of small acres around this description. Anyone know of activity here. It seems most is farther west. I think it is a matter of time.
3N2W is on the Pauls Valley uplift so there is no Woodford, except maybe just a little bit in the far SW corner around 30, 31, 32. However, there are other reservoirs such as the Viola and Deese. Looks like a few nibbles going on in the area but prices will be lower. Ranken drilled a âGuthrieâ well in 17 last year but it was plugged. 17 was leased some in 2011-12.
Rick, it is pretty quite around 34-2N-2W, really throughout 2N-2W. It seems like this is well within the eastern boundaries of the hot areas Continental and Newfield talk about but it isnât getting much love just yet. I recall folks saying this area is primarily oil in the woodford but the priority is on the condensate area⌠Iâm just repeating others input on that, as I donât really understand why that is the case.