Lease offer T159, R100W, S29 &33

I received a lease offer for $1,000 per net mineral acre (25), 3 year term and a 20% royalty. The Landman said they will commence drilling the wells on 8/20/19 and 9/17/19 respectively. Both wells will be fracked in the first quarter of 2020, and be in production on 3/1/20. I was hoping to get feed back from the forum to see if this sounded like a good offer? Thank you, J. R.

I would think you could get more in the way of a bonus! The rest of it is good if they are telling you the truth.

who is the producer? I would ask for 1500- we got that in the same area 2+years ago when prices were lower. The percentage and term are good tho

They said Crescent Point plans to spud the “Chase Douglas” well on sections 29 & 32, and the “Emerson” well on section 28 & 33.

Have you been contacted by anyone wanting to buy your mineral rights in 29? I have been contacted by several people in the last few weeks. They seem interested in 29 but not 33. I probably will hang on to them but I was just curious if this is happening to anyone else in these two sections. I am looking forward to March 2020.

No I haven’t been contacted by anyone to purchase the mineral rights, just to lease. Have you had any inquiries for leasing?

It’s been leased for a least a couple of years.

I’m still getting multiple offers to buy the mineral rights. This is puzzling to me. I have some other leases in Williams and McKenzie counties and, over the years, this has never happened before. Is there something special going on in that area ?

Considering that you are surrounded by horizontal wells, someone knows something. These offers to buy usually often precede the drill bit. When permits are filed nearby, companies often want to buy up acreage. In my experience, the offers have been low/acre compared to what I have made in royalties/acre when the wells were drilled. I hang onto my acreage. A permit with the name 33-28-159N-100MBH was just filed in June 2019. The numbers can often indicate what sections the well is planned for. I would not sell if it were me. The possibility of at least one well now and others later would be my reasoning.

I own mineral rights to t158 r98 in the rainbow township and I have gotten texts to my phone about selling ? I dont understand how they got my phone number…

They have lots of ways to find out. If you have a specific question about that section, township and range, start a New Topic to keep it separate from this one.