Been contacted by a person wanting to buy the rights, don’t know what reasonable value may be. “Need to move on this before buyer moving to other opportunities.” Please, any info is appreciated! I see the area it is in but not sure about much of anything else! Township 24S, Range 34E, Section 34.
Do you own an interest in the entire section? There are new permits and what initially looks like old wells on this interest according to the New Mexico Oil Conservation Division’s website.
The only info I have on it at the moment is this: NPRI on Township 24S, Range 34E, Section 34, NE/4, NE/4 SE/4, Lea County, New Mexico. Initial offer was made at the end of August, now they went up and said they would pay transfer on top. The NE/4 confuses me, been into the GSS but apparently not looking at the right stuff. I think it is just south of Peregrine 27 708-710 wells? Any help is appreciated, I know there’s a lot of questions in here!
Any links are appreciated as well!
The Peregrines unfortunately are now cancelled applications for the three wells by EOG Resources. The New Mexico link I use to look up interests by Section, Township, and Range is:
http://ocdimage.emnrd.state.nm.us/imaging/WellFileCriteria.aspx
FRIGHTENED TURTLE FEE #134H is in the SE/4 though by Tap Rock Operating. Is this a federal lease or state lease that you own an NPRI in?
I’m not sure about Fed or State, not even sure about a lease (it was willed). The documents are in a different state right now so I’m lacking some info I need. I used that site to search down to Section but don’t know what the other means (NE/4, NE/4 SE/4). No land ownership, just mineral NPRI. 30K plus they cover transfer is current, trying to figure out what is driving it. Don’t know much else but reading all I can! See a lot about “don’t jump on first offer”, “royalties can be more than the sale.” Sorry, not giving you much to work with but I really appreciate the help!
An entire Section is typically 640 acres. So each 1/4 N, S, E, W, is 160 acres. From what I’m reading you own an interest in 160 acres or the NE/4 AND an interest in the NE/4 of the SE/4, or an interest in 40 acres. That’s the NE/4, NE/4 SE/4. I don’t know about the 30K… it all depends on the % you own in the Section. Sounds cheap to me if you own an interest in the application from Tap Rock. But again it depends on what interest you own.
Hopefully I will get the copy of the documents tomorrow, that’s a big help to clarify what they’re explaining in the PLSS. I saw the Tap Rock but thought it was too far south, but then again, just learning about all of this and clarifying the NE of SE. Thanks for the info, it’s a great help! 100 more questions but won’t burn you out over them!
Fwiw, that is a fee lease. Not State or Fed.
EOG is force pooling the S/2 of 27, all of Section 34, and the N/2 of Section 3 (of 25S-34E) to drill Peregrine wells. Different than the ones that were permitted in just Section 27 (which I assume are getting punted). NMOCD cases 21412 and 21414. You can look those up here by Case number.
http://ocdimage.emnrd.state.nm.us/imaging/CaseFileCriteria.aspx
Since those do include some Fed lands, they have submitted Fed permits for a bunch of wells (though not approved yet at NMOCD so not visible in state data). I think the only way to see those is to repeatedly check the BLM website for 30-Day Federal postings.
https://reports.blm.gov/ then Automated Fluid Minerals System at the bottom. Then 30 day Fed postings. Then pick the state and county. Then run. It’s very very janky and crashes a lot and only shows permits in the 30 day review process. It’s all kind of a pain in the rear.
Some companies are very aggressively seeking Fed permits to build up a > 5 year inventory in anticipation that the Nov election may adversely affect their ability to get more permits later, so I’m not sure that a permit means as much as it used to. But whatever, your land as described looks most likely to be in an EOG unit that might have activity on it in the future. That is what I would get out of it.
If you don’t mind, who offered you?
Could you tell me more about the “forced pool” of Section 34. We own Township 15S Range 35E and Township 19S Range 36E of this section. I assume they can do this without leasing our interest?
Hey Judy,
I may not understand what you are saying. If you are saying that you own Section 34 in Township 15S Range 35E and Section 34 in Township 19S Range 36E then you are in a different place in the basin. The township/range combination is unique, but there are Section 34s in every township range combo. This Section 34 is in Township 24S Range 34E.
I’m not a landman, but pretty sure this is the deal in NM on forced/compulsory pooling… yes they can do that without leasing your interest. I believe that they would need to have made you a lease offer that you rejected or ignored.
Thanks, you cleared that up for me.
For general information (it is a North Dakota Publication) try downloading
It explains a lot of things. It’s free.
Thanks, saved to my desktop.