I have a 5-yr lease that ends in Dec. 2013 in T-162N, R-91W, Sec 21 SE1/4. The transaction was handled by a broker in Williston, ND on behalf of Encore Oil. There seem to be wells around us, but there is no activity relavant to our lease. Encore has backed out of activity in eastern Montana. Have they also moved out of Burke County? I would appreciate ideas from anyone who has insights as to why there is no drilling in my interests.
Dave
David:
If your lease doen't end until Dec. 2013, you are getting worried too early about something you have no control over. I have no idea what the current status of Encore Oil is but if they have decided to leave the play, they will most likely sell the time on the lease to another company if activity exists in the area. I would advise you to let this lease expire (if applicable) and then market your minerals after that time. Further, I would not sign a lease for longer than 3 years. Just remember, alot can happen over an 18 month period.
Charles: Thank you very much for your input. I will keep your advice in mind. Dave
charles s mallory said:
David:
If your lease doen't end until Dec. 2013, you are getting worried too early about something you have no control over. I have no idea what the current status of Encore Oil is but if they have decided to leave the play, they will most likely sell the time on the lease to another company if activity exists in the area. I would advise you to let this lease expire (if applicable) and then market your minerals after that time. Further, I would not sign a lease for longer than 3 years. Just remember, alot can happen over an 18 month period.