Brenda here is a map that might help.
http://www.ok.nrcs.usda.gov/technical/GIS/CountyBaseMaps/CountyBase…
Brenda there is a lot of new leasing in 15n- 1e by some big players. Not like the old stuff that was going on , but they are probably paying for leases like it was the old stuff which was next to nothing. Let me do some more looking. They are trying to lease everything before they start drilling which could drive up the lease prices if they don’t get it leased now and end up with some good wells.
devon is in 15n
looks like my heir property was leased in 2007, but not since then and no activity on it. Thanks for your help. At least there is a recorded deed from then that could track my heir if there is renewed interest.
db Thank you so much for the information. I had so many offers to by my mineral rights over the years and now I am so glad I did not sell them. I don’t want a “gusher”, just a nice producing well for a long time. I don’t have a large amount of mineral rights but enough to make a difference in my retirement.
db Read with much interest your imput on R V Wilsons discussion on :Water in Logan County. My mineral interests comes down from my grandparents who owned the 2 N1/4s of Sec. 20 a long time ago. We were looking at the satelite map of sec. 20 and happened onto the lake and that prompted our imput to R V Wilsons discussion. After your reply’s we went back and took a closer look at the map. You evidently live on the south 80 of the SW 1/4. We live over in the hills of Osage County half way between Pawhuska and Bartlesville and not close enough to keep track of whats going on. Any input of the progress of the drilling would be greatly appreciated. Thank you
catherine,thats right s 1/2 of sw 1/4… they are doing dirt work now on new location sec 20,17n3w
Virginia, most of us here, including my own self, are almost to the poiunt of being totally ignorant about what we read here. I am wondering right now, for example, when you say someone wants to “buy your minerals…” is this synonymous with "Leasing ?"We, as a nation of younguns, have developed a level of “reading comprehension” that leaves us pretty much in the dark these times. In this area, I blame attorneys mostly, and wonder about Shakespeares wisdom when he wrote about how we should react to it all. LOL
Ronald,
Buying minerals; Some one offer you money in trade for your mineral. Then you no longer own them.
Leasing means, a land man offer you a bonus for a certain number of years to lease your minerals. If they don’t drill or you don’t get a well, then they go back to you to hopefully get another leasing bonus in the future. You still own your minerals.
Catherine,
Glad to hear that first you probated the will and that you kept your minerals. I always feel sorry for our grandparents, parent, etc who didn’t get some of the oil that they worked so hard for. Hope you get a big well.
Catherine, I encourage you to look back at previous posts to find the link to an investor presentation made by Osage Exploration a few weeks ago. Osage is telling their potential investors of expecting to recover 900,000 barrels of oil per Section where they plan to drill in Logan County. . in addition they plan to recover five billion cubic feet of gas per Section. Osage has leased most of the sections in township 17N - 3W. In their presentation they intend to focus on the Mississippian formation. The presentation suggests that for them the Woodford Formation which is deeper is an Added Value. Of course the presentation is preceded by a Safe Harbor statement. I prefer to believe their estimates will come to pass. Osage is also getting permits in other townships beyond 17N 3W. They say they plan to drill about 24 wells this year.
I wanta gusher. I want ten gushers. LOL
Catherine,
Whenever people want to buy your minerals, usually their is a reason. People don’t put money into dry minerals just for fun. They are planning on making their money back within 3 years or sooner and then it’s all profit. Remember most of these people whom buy minerals have lot more information than the average mineral owner. So everyone needs to think twice before selling minerals and then you won’t have tears in your beer.
Cathy’s other half again, allof this talk has been about oil and how many bbd. What about the thousands of feet of natural gas? Is the gas all metered at the well head and sold and does the mineral right owner get their share of that? There is also some liquid condensate condensed on some wells and trucked to refineries to blend with their gasoline. Do different companies take care of these different things or is it all included in one nice check?
I have don tons of research over the past 3-4 months, research I am good at. It appears to me to be a dawning of a brand new era for the Oil Industry in the usa, and also appears that we are setting atop the most promising area of oil/gas production in the history of the planet. With the Green River boasting of 3 TRILLION barrels potential in theSE and NE corners of only 2 states, if it is anywhere near that, then it is everywhere in our MidContinent. I can think of no reason that if a Gulf well LEAKS 35,000 bpd for 87 days before it is capped, and if 500 Kuwaiti wells can burn off 37,000 bpd ater Sadam Heusein sets them on fire, a 20,000 bpd well is not out of reason (to my logic) and is probably in our immediate future. Right here inNCentral Oklahoma, this is what the built the Cushing Extension of the Keystone Pipeline to support. Or I am a monkeys uncle.
Virginia
virginia Good arvice for antbody that is reading this. My mineral rights came down to me when my Mother passed away and we probated her will. She got them when her Father passed away. I have held on to them out of respect for my Grandfather,whom I dearly loved, and I know he is smiling down on me now.
Harley Baade I had remembered reading the Osage postsbut went back and read it again. It’s enough to get poor folks excited. I don’t want so much as to have to give it all to the government, just enough to buy the kids new shoes.
Vern, I bet we are close and that’s good news. I hope the base numbers we were given to start with 900,000 and 5 billion cu ft were as close.
R W, thanks for the comment. Our numbers are very close. Now, if only the Osage projections turn out to be accurate?
Several people were commenting with questions regarding leasing mineral right versus the purchasing mineral rights.
Virginia has it exactly right in her post below. Leasing your mineral rights interest only involves the company acquiring the right to drill for oil and gas. There is no promise they will do so. The oil drilling company also has to secure rights from the surface owner for the use of the land and potential damage when they do drill. When someone wants to purchase your mineral rights, they pay you and you no longer have any rights to the production of any minerals from your mineral rights - forever.
My last offer to purchase my mineral rights interest was $3,000 per net mineral acre but if it is worth that to them, it is surely going to be worth more than that to me to not sell but I will just have to wait longer for the payout.
5 billion cu ft gas. 5 million MCF (thousand cubic feet) depending on how rich it is in NGL’s, say a conservative $4 per mcf would be an extra $20,000,000 beyond the oil. Sadly, in most leases, post production costs will eat up a large portion of that $20 million. Still with 900,000 bbl oil at $80 a bbl = 72,000,000. $92,000,000 coming out of a 640 sounds promising $143,750 per acre almost $27,000 per acre at .1875. to be even more accurate and conservative I would cut the value of the gas in half $10 million, supposing $82,000,000, @$80 oil from the section divided by 640 = $128,125 X .1875 = a measley $24,023 per acre before taxes. Not all the money in the world but you probably wouldn’t throw it in the street either.
Now for the disclaimer, I take no responsibility for the numbers 900,000 bbl oil or 5 billion cu ft of gas which for all I know are pure advertising. I think that $80 for oil is a reasonable floor, but the floor is not marble, I expect the price to fluctuate above or below by $20 but that it will average 80 unless someone markets a cheaper substitute for oil and gas in quantity, not develop, but actually market it. In fact if I were to be totally honest I could move the floor a good bit higher because of what I expect from inflation. I thought I would give my best guess because I wasn’t busy anyway and I thought someone who had no inclination to crack the numbers might like to see my take on it. Numbers are before tax because I have no clue what your tax structure looks like. Great, disclaimer is longer than the post.
To Cathy’s other half - after the well is drilled and producing, the oil will be bought by a company such as Phillips 66 and the natural gas purchased by a company such as PVR Midstream who will issue checks to the royalty owners. Those are the companies that I receive checks from for an old Logan Co well that has all but petered out after 30 years.
Harley, 900,000 barrels at $80 per barrel would gross $72,000,000 for a section and at 3/16th would be $13,500,000 to be divided by the mineral rights owners but this would not include expenses.