I’m getting no royalties from the Linton 1-5-32XH–none for 3 or 4 months. I called them complaining about post production deductions & they just cut me off (ha!) and they have sold to Red Rocks–they appear to all be “flipping” companies with get rich schemes for themselves & we are paying the price. I think if you are tired of dealing with these companies & tired of waiting some something to materialize you should only sell some of the acreage…as mentioned here the capital gains will be wholesome & patience might be virtuous(?)
she has a 3/16 royalty rate
Thanks for the info. She received it when my dad passed away in 2005, so she will certainly get hit hard by Cap gains. She doesn’t really need the funds now, but as an 85yo with good health but pre-dementia condition, the funds could be useful should she live 5-10 years in a memory care facility.
My sister who handles the royalty payments for her said it was coming from Apache.
Might be good idea to hang on for a bit and see what her needs are versus any more drilling around her or in her section. Then you can get a more competitive bid at that time or she could get additional royalties. If she has not done so, might be a good time to get a will done. We went through the same thing with my dad. We had to get him to sign while he was still mentally competent. Make sure the mineral rights pass to the people she wants them to go to and then that will help them get a better step up value after the date of death. Will be really important if these turn out to have more drilling. Make sure she has a good Power of Attorney who can handle things while she is still alive. You do not have to sell all of it, you can sell in part or not at all. Lots of options! Apache has those multi well sections in 33 and 28, so if they are paying on the current well, then they might be have additional wells on 32 eventually.
I sent you a private message, we just went through the same thing with my dad and his royalties down in S. Texas, never an easy decision no matter what the final choice is. This new format is tricky but you can view private messages by clicking your initials in the upper right hand corner and then click messages.
Best of luck to you. Cam
Thanks again for the advice. After my dad died suddenly and intestate in 2005, we set up a living trust for Mother with my sister and I having POA. I think I have leaned more towards selling most, but keeping a small amount as an investment for the potential that is there, but I think my sisters are more apt to not gamble the future.
where is this property located
Her mineral interest is in section 32 6N 6W Grady County.
You need to make it clear in the lease that you will NOT paid for post-production costs ---- otherwise they can deduct almost anything they want ---- PUT it in the lease – I use Attachment A to spell out 1) no production costs 2) no warranty ---- etc etc
I think Stephen your royalty payee is different than mine because you are in Sect 32…I’m in 5–it must be split with Apache & Titanium (now Red Rock-I think) ?? I dont know. I also find it interesting that Titanium does have a website…but no information on it–what’s up with that?
Trying to catch up on latest happenings in Grady and I see there has been a great deal of activity regarding offers to purchase of lease rights. We have mineral rights in 27-6N-7W and 34-6N-7W (144 acres). Unit Petro. has some old wells in 27 which we have received minimal payments the last few years and we had a lease for 34 with Continental which expired about a year ago. After reading about all that’s been going on, we’re surprised that we haven’t had any offers to lease or purchase in over a year. Any one have thoughts on why we haven’t had any interest in our holdings?
Too far west. I would need to check my maps but I think you are inbir close to the deeper portion and hence gas vs liquids
We’re in 18-6-7 and Unit just spudded a new multi-hole well. Hang in there.
that is a deep area of the basin, looks like closest miss well is a township east. the woodford is almost pure dry gas, the miss probably has a little bit of oil/liquids, but in general the production will primarily be gas.
Size of he bubble is represents the amount of 6 month BOE, Red is Woodford, Blue is Miss, Grey is other
The lines are depth contours
the woodford is almost pure dry gas, the miss probably has a little bit of oil/liquids, but in general the production will primarily be gas.
Practically none in the Woodford and Mississippi Lime formations in 6-7
But millions upon millions in 7-6, 7,766,000 barrels in Secs. 25 and 36 alone.
Jeffrey and Debra, thank you for the detailed info. Looks like it might be a case of “close, but no cigar”!
Camino has filed for a horizontal well in 26-6N-7W. Quite a bit of leasing in 34-6N-7W in 2017 and 2018, mostly by Unit. Quite a few at 1/4th! Looks like something is brewing. If I were to guess, I might think a well in 27 & 34 might be working its way along Unit’s sight line.
Continental is drilling in 35-6N-7W into sec 2 below. Rebellion drilling in 25 & 24-6N-7W
Martha, I called Rebellion the other day and left a message to call me back. I got a call from Camino saying they had bought section 24 6N 7W from Rebellion. Does that sound right?
Camino’s sign is at the entrance to the TYLER 13-24 1XH although I have not seen a form 1073 yet. Camino’s also has a sign at the entrance to another Rebellion well… the MICHAEL 0607 11-2 1WH which is just west of the Tyler well.