Ok, so my family here in AZ have inherited mineral rights in various spots though out ND/MT. The most action to date comes at T141N R105W Sec. 10 E. 1/2 25 net acres.
Initially we were approached by Petro-Hunt in 2008 for a lease for our rights for the amount of $10.00 per acre ($1250.00) with 15% royalties. We agreed. The lease is set to expire next month.
Three weeks ago, we were contacted by Petro-Hunt to renew the lease. They lowballed us the same deal they offered in 2008. Of course we rejected the offer due to the number of producing wells in the area, our subscription to dmr.nd.gov/oilgas/ for our own education and not to mention Shall 22-15H extending from Section 15 from the south into Section 10 (East 1/2, 25 acres net, ours).
Thinking that we might have an ace up our sleeve, we called Petro-Hunt back after a few days reseaching and got the representative's voicemail. One more call for a counter offer days later resulted in us getting the voicemail once again. To me, this is buisiness to the Fecal degree! But probably for a strategic reason.
So today as I was browsing the latest info on dmr.nd.gov/oilgas/, I looked up the status of Schaal 22-15H and found that it is now listed as "Temporarily Abandoned" due to "No Oil Production". According to the well file, this decision was made back in NOV/DEC of last year.
So now I'm assuming that they are protecting their investment by renewing the lease because of the "Temporary Abandon" designation and the amount of money they have poured into this well without results.
So here are my questions to you who might be in the area that can give me some REAL intel.
1. I have heard that bonuses in the area are going for around $450-$350 an acre with a royalty of 21%-no less than 18.75%.
Can anyone in this area with rights confirm this? To the North, Stecker 23-3 and to the Northeast, Ross 13-2 seem to be producing ok numbers, along with Stecker32-9 to the east doing good as well.
2. According to to the Well Files, the surface owner at the well site are owned by an Ella Schaal.
Does anyone here also own/know, who has Mineral Rights to this Sec. 10, or can direct me to someone that does, get us on the right negotiating track?
I know that many people suggest finding a oil/gas lawyer. I do not have the time nor the money to invest in one at this time.
To anyone up there, these rights belonged to my Great Grandfather Earl W. Baker, then to his daughters Ila M. and Frances E. Baker, according to my father Earl R. Knowles, owned quite a bit of land in the area.
Anyone with info on this area as far as mineral/surface owners and can direct me to a real person instead of a stupid electronic voice that tells me to press 0 for English, would be greatly appreciated!
Aaron R. Knowles