Looking for advice on the market rates for the sale of water for drilling, completion and fracing as well as any advice on terms to include in a water sale agreement. Thank you.
See page 4 of Leasing Help on October 12 for a discussion on this topic.
Bob:
You didn't specify where your'e property is located and this is important as water in some areas are more valuable than others. I have read the water sells for $1.25 per foot depending on the the depth of the well. One clause in your contract regarding water should be that a water well has to be drilled and no surface water can be utilized in the drilling process. I live in an area that has experienced a severe draught this year and a well(s) will deplete the surface water very quickly. Someone else might add additional hints on this matter but hope this helps.
My property is in Noble & Logan Co and it's surface water in a very deep pond. Most of the pond water in my area has dried up because of the draught. I don't know of any good well water in my area as we all have to be on rural water in order to have enough for a normal household.
Would you please provide a link. I would like to see the discussion too but I am not sure where to look. Thank you.
6th Generation Texan said:
See page 4 of Leasing Help on October 12 for a discussion on this topic.
DM:
I believe if you will go to the top of the page to "ForumS"; click on "Oil and Gas Leasing Help" which is the first topic; go to page 31; you will find a discussion of "VALUE OF A BARREL OF WATER IN TEXAS O&G LEASES". I think this might be what you're looking for.
DM said:
Would you please provide a link. I would like to see the discussion too but I am not sure where to look. Thank you.
6th Generation Texan said:See page 4 of Leasing Help on October 12 for a discussion on this topic.