Increased Activity Offer Lease/Sell Seeking Research T8R62West Weld County CO


Recently received verbal inquiry to buy, another to lease approx 210 net mineral acres. Anyone have insight into leasing bonus and appropriate length of term for this area?


Murry, I know that acreage in 8N-61W was being leased at the beginning of the year for $3000/NMA with 20% royalty and 3 year term. The Weld County Clerk and Recorder’s office shows several leases with Mallard Exploration recorded this year with 3 year term and 18.75% royalties in 8N-62W (not sure what lease bonus was paid). Bison and Verdad appear to be active in 8N-61W so might also be interested in leasing in your township.

With that much acreage you will be in a good position to get top dollar.

Good luck! Matt Sands Mineral Rights Podcast


Matt: Thank you so much for your input!



Please see the map below. The only horizontal wells drilled thus far in 8N 62W have been Niobrara wells that have performed quite poorly. You can see the cumulative production for all the wells on the graph next to the map. Those wells are driving what people are willing to pay for leases and mineral purchases in the area. As Matt mentioned, there is increased activity and interest to the east in 8N 61W where operators are permitting Codell wells. Keep in mind that there is Codell potential in your township as well, but nobody has drilled it yet. As soon as someone does drill a Codell it will change the value of your minerals. If it is successful, it will greatly increase the value of your acreage. If it is poor, it will likely decrease the value as operators will be less likely to pay for that potential upside. Keep all this into consideration when making your decisions on leasing or selling. I hope this information helps. Craig Kaiser