Howard County, TX - Oil & Gas Discussion archives


#587

No, my siblings and I own 3/32 of the mineral acres, which I was told is 22.5 net mineral acres.

Judy Manning


#588

Judy, if you own 3/32 of the minerals, that would be 60 net mineral acres. A section has 640 acres. 3/32 x 640 = 60. Unless you already have all of the relevant documents, then you need a landman or attorney to secure all of the documents at the courthouse. There are some online services that may help as well if you don’t have to go very far back in time.


#589

Any suggestions for a CPA to talk with about tax consequences when selling mineral rights? My mineral rights are in Howard County, but I live in San Angelo. I do go to Big Spring periodically.


#590

It really does not matter where the CPA is located. Use whoever you feel comfortable with. You will need to know what the basis was when you acquired the interest.


#591

Right… thanks… That is why I thought I would ask here. Maybe there was a CPA that specialized in oil & gas and could get this information for me… But I will check into it more. Thanks


#592

Barbara, a CPA may be able to help, but he/she would need to have knowledge of the oil and gas business in order to accurately evaluate everything. I suggest locating a mineral appraisal company, they should be well-suited to do this for you. Then, you provide their valuation to your CPA and he can take care of the rest.


#593

Thanks for the response! I have leased some of it, but not all. Some is producing now but not much.


#594

Barbara, most CPAs, even ones who specialize in clients with O&G interests (and there’s a very good one in Angelo, if you want a reference), typically don’t do valuations as they lack the software or expertise necessary to run decline curves on production. You need to go to an appraiser for that. That said, if your minerals were not producing at the time of your inheritance, your basis is zero–or whatever nominal value you choose to assign to them, if you want to play it extra safe, say $100 an acre. I’ve done dozens of valuations for non-producing minerals at zero basis. With one exception. I agree with Texas Owner below: if you leased it within a year of your inheritance, you ought to value at 3–4 times your bonus, just to be on the safe side.


#595

Hi Barbara, We hired a woman by the name of Michele Mudrone (who is experienced in the O&G industry) to write a report for us. I’ve included her contact information below. She was great to work with and also very reasonably priced. I’ve included her contact information below for your reference.




#596

Thankyou


#597

Has anyone seen any activity in sec 45 blk 32 tin


#598

I-20 runs through section 45 and is right on the east side of Big Spring.


#599

Thanks Marcus. our family has minerals in 5 and 45…below I-20. Encana and Hannahthon leased from us a year or so ago. Hopefully they’re drilling! have not heard in a while. again, thanks


#600

Not yet, Russell. In the adjacent section to your east SM Energy has drilled and completed 3 horizontal wells named the Griswolds and there are 3 Papagiorgio horizontal wells in the adjacent section to your north. I think all of those wells are mentioned in SM’s most recent investor presentation. It’s probably just a matter of time.


#601

where is section 45 blk 32 in relationship to big spring and I 20? have minerals in section 5 and 45 ese of big spring. thanks.


#602

Good luck finding someone selling,our land is under 2 leases, horizontal and vertical


#603

What is the term “Plugged oil well” mean? Is it well drilled and no oil was found or a well was drilled and there was oil but is not going to be pumped.

I see a lot of plugged wells.


#604

Plugged well can mean many things. It can be a well that was drilled that found no oil or gas or non commercial quantities of oil or gas and was therefore plugged and abandoned. It can also mean a well that produced oil or gas until it was depleted and then the operator plugged and abandoned the well.


#605

Michael, they are getting closer. There are permitted horizontal wells in Section 9 and 4 to the southwest of you and Section 3 and 38 to the west of you.


#606

Any updates on sec. 36 blk. 31 2tn Howard county…