Texas Railroad Commission Modernizing
Changes coming - name, rules/regulations, operations, computers and website improvements, etc. - hooray!
An article in the AJ here says today that the Enduro well SW of Lubbock on Woodrow Rd has hit big. No numbers, but it sounds very good if they have it right.
There is some more information on the Lubbock County page of mineral rights forum website but it is still just the beginning. Lots of excitement but will have to wait to see what comes of it.
I just received an offer to purchase my mineral rights in Lynn County from Southwest Petroleum Company, LP, Dallas for 2.5 times the amount paid per mineral acre for my current oil and gas lease. Does anyone have prior knowledge of this company? Has there been an increase in drilling activity in Lynn County, specifically in the New Lynn area?
hello my name is jim Sullivan
most of this is for doug mires.
mr mires an the entire group southwest petroleum company is a outfit you might think about passing over several years ago southwest bought my dads mineral rights 14 years ago infact he was elderly an also had althzimers it was a paying well granted it wasent pumping much then nowdays theres more wells on the family land.....southwest gets every penny FOREVER on EVERY lease in the county that you hold the last check I got was 43.000 er there bouts so the last couple of years that were missed are now to be payed back close to 300.000 PLEASE BE VERY VERY CARFUL I called them (southwest) 2 weeks ago for a copy of the paper work they had sent my dad and a copy of their mission statement well I have yet to hear from them once again mr mires please be careful
I am Loris Ernst Today we also received a letter from Southwest Petroleum about buying our mineral rights. We definitely will NOT do it. Trying to buy what may hit big later is my thought. Do not sell!
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Doug, we got the same offer, and we're not selling. http://www.southwestpetroleum.com/
Only 9 permits approved by RRC this year for Lynn Co., and they're spread out around the county.
You can use this online query to see the permits:
http://webapps.rrc.state.tx.us/DP/initializePublicQueryAction.do --- Enter District 8A, and Lynn Co., then go to the bottom and fill in the dates 01/01/2013 to 07/12/2013, click Submit, and you'll get the permits approved this year. Then click on the blue Lease Name for each one, then click through to the GIS Viewer map to see where each lease is located (click the blue/red Texas icon next to the API number on the WI Form), or just read the surface description on the W-1 form.
Thanks everyone. I'm leary of any company making an offer to buy minerals out of the blue. Energy & Exploration Partners got me into a bind in 2011, but I lucked out of that deal and secured a legitimate lease from Petrohawk. Also, BTE Energy LLC purchased a 15% stake in the Petrohawk lease earlier this year.
I received the same offer a couple days ago for the lease we signed with Shell in 2011. We arenāt selling, no way. We have another section that just came out of a lease from 5 years ago so are hoping to lease that someday. Anyone know of any new leasing going on in Lynn county? Seems like Lynn is the slowest and has the least interest of the surrounding counties. Still, not sellingā¦Iād like to think the interest to purcHase the minerals is a sign of things to change. Hereās to wishful thinking
the owner of Grey tool co once a part of Hues too;l(told me Oil men would cut you with a knife then Laugh at you for bleeding) my friend E J Grey
Got the same offer from Southwest Petroleum. Phoned them this morning to see if 2.5x is based on total (3-yr) lease amount or annual amount. Gary Young told me it's based on total. However, that's still far too little considering the probabilities, in my opinion; only someone really desperate for some immediate cash should consider this offer.
Practice of oil companies is to drill near other producing wells. Lynn County has producing wells all around on the border, so they will tend to move in from those. What wells have been drilled in other areas may very well be tests simply to get a better "picture" of what's underneath. Tahoka (where my land is), being right in the center of Lynn County, is likely to be the last part of the county to be drilled.
Hello all - I just spoke with my landman (the one who drafted my lease) and he says that it is a good sign that we are getting offers to purchase our mineral rights. I too received an offer from Southwest Petroleum out of Dallas. He says to hang-on however, because when and if drilling ever starts in our particular location that our 'rights' will be worth at least three times what we have been offered. Currently I am not interested in selling but who knows what tomorrow or next year will bring. I agree with Michael's assessment of the situation.
Does anyone know if BTE and Petrohawk are going to do anything in Lynn County? I would assume that BTE has some intent since they bought the 15 % stake, but I don't see either of them with any drilling permits.
Check out www.lantanaog.com Go to "Current Packages" and scroll down to BTE Energy LLC. Why is BTE already attempting to flip their 15% stake in Terry, Lynn, and Gaines? Is this a good sign or a bad sign?
I Ivisited with a engineer in the field in Permian Basin. The ruImor is drilling to pickup between Odonnell and Draw. The next big play is in Hock Co. Another rumor is several locations south of Lubbock and west of Slaton. Time will tell.
I visited with a enginer in the field in the Permian Basin. He said the drilling is going to pickup between Odonnell an Draw. The next big play is in Hockley Co. Another rumor I heard was several holes to be drilled south of Lubbock and west of Slaton. Both
Why is BTE attempting to flip their interest? Answer: Energy companies never ever sell their best potential assets. 3 years ago before the drilling started to produce wells at 10 bpd, that people thought would produce minimum 100 bpd out of the Wolfcamp Shale, everybody was leasing up acreage in Terry and Lynn County. Well, 3 years later and a lot of wasted money on drilling, the handwriting is on the wall, and it says that all the belief that the shale extended through Terry and Lynn counties was pretty much wrong, and now you see Shell and others trying to jump out of here like it is a building on fire, unfortunately.
Robert, so what would you advise those of us who received offers to sell at 2.5x what we received per mineral acre when we leased to do? If this is all there is ever going to be, why should we hold on?
Hi Mary. If you have received an offer to sell at 2.5x value, I would still hold on the minerals. It was not that long ago, 2008, when oil futures were $140 per barrel. Someday in near future, it will be at that price again. We have been very lucky the last 4 or 5 years with mild winters and no supply disruption, but we all know things can change. It is just that right now with oil at current prices of $100 per barrel, the economics for drilling in West Texas today are not as good as 2008, but when it goes back up, you will see them back again.