How to determine if permitted well is being drilled

I have noted that Franklin Mountain has permits for 9, 2-section horizontals in sec 1 and 12 T25S R35E, but to my knowledge has not starting to drill any of them. Their permits reference June 21 as expected start of work. Question — how does one follow progress on the actual drilling if one is out of state? I have a very small interest and wonder what that interest may be valued at.

It’s pretty difficult. Just keep checking NMOCD by API number and see if a Spud Date pops up, I guess.

I’ve got access to more expensive software and I can tell you that they haven’t spud yet. Franklin Mtn has 2 rigs currently running (in 26s 35e) and 50 undrilled permits in 5 other units, I have no idea where the rigs are going next so you’d think an average guess on when these might start drilling would be 9-12 months. Which would put your first check in late 2023 probably. I’ve got no issue with looking it up every month or so for you if you want to ask.

What would your interest be valued at? low-mid teens pNRA I would guess at this point. :man_shrugging:

one must wonder what is going on with Franklin. i have an out of the blue offer from FM at 25K/mineral acre which is higher than one would expect considering the additional market risks from the current politics. most of the mineral interest in sec 1 is federal. i have a piece of the small non- fed portion of that sections mineral interest-i wonder if that is a piece of the puzzle. thank you for your info, i will appreciate your following the developments!

Depends on your royalty rate. $25k per mineral acre, assuming your fee lands are leased at 25%, is $12.5k per net royalty acre. Which is about what I would expect. Somebody who knows when those wells are going to be drilled (i.e. Franklin) certainly has more control/insight into the biggest variable, spud date. And not all permits get drilled, so…it’s at least a decent sign that they are offering.

IMO Biden administration might talk anti-oil but they are pretty mild in their actions. Though its not too hard to imagine the next administration will be far far wackier.

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