There are some similar posts, but they are closed now. Our lease with Venture expires in June, but can be renewed for 2 years at their option. The bonus was just over 7K each; the royalty is 25 percent. the lease was for “42.12 acres of land, more of less, out Section 34, Block 42 T2S”. Now there was a clause for anything running contiguous or adjacent, and that was found, amount of acreage unnamed, thus the higher bonus. At least most of that is under a subdivision in Odessa. They named Arrington as the potential driller.
We are now getting offers to sell… There are 4 of us, – for 88K each. Anything going on there? I understand Venture was signing new leases, at least as of last year.
Also, I’d like to find out what other acreage we own, that caused Venture to increase the bonus. They did not specify.
There is nothing specifically going on for Sec 34. Just a bunch of drilling east of you. CLR new Barnett wells up at the airport north of you.
I don’t know how much you own to say if $88k/head is good/bad. I’m assuming its not 100% of the 42.12 acres.
It is 100 percent, shared by 4 siblings. So, that offer would be for 25 percent of the rights each. Thank you. It does look to me as if Venture is still signing leases in the area, at least as of last year. The question would be what else we own there, as we were told additional acreage was “found” but it was not specified.
There is quite a bit of leasing in Blk 42 T2S. The main players are Bessemer Trust, Brazos River, Continental Resources, David Harrington Oil (filed in sec 34 and others), Diamondback, Venture Partner, Venture Royalty (main one) and various other smaller groups
Diamondback has two rigs running from Sec 48 north. Continental has permits in the northern part of the 41 T2S.
Looks like a land play is developing which is why you are getting interest.
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Thank you, M. Barnes! You are always so kind and helpful. I was hoping you would reply. Any idea how we find out what Venture did…what else we own? IDK if it was ever put in our names, we inherited it. I cannot find it (it would have been from about 1940) in on-line records…but that could be a deficit in my skills.
Ok, well you shouldn’t be selling 10.5nma there for $88k. Somebody would pay you more than that.
TY. We were a military family, so we haven’t lived in West Texas in quite some time. The last relative who did has been gone for about 10 years now. I do miss it. It makes getting information more difficult, though. I still remember living in Kermit as a child, when my dad was deployed…what a lot of ppl. do when a spouse is deployed – go home, back to a support system.
Looks like a play is developing in the area. I suspect a big operator like Continental or Diamondback will be the ultimate operator. You could go back to the land guy at Venture and ask what else they found under your name to add to your records. Free way to find out-if he/she will tell you.
You can also look on www.Texasfile.com and look up your ancestor’s name and your generation and see what is filed. Free to look and not much to print.
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This might explain why I got a new offer in Section 16, Block 42, T3S. The offer was $621,590 for 54 NRA. We already have a few old Devon wells there, which were sold to Diamondback in 2022. They have done nothing since then but we are holding out hoping they will. Not seeing any new permits, but the new offer makes me more hopeful! Does this make sense?
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Offers usually come when someone is pretty sure they know what is about to happen.
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I have MI in several sections in Block 42, T4S, just south of you. Diamondback is very active in that area, and $11,511 per net acre is the most I’ve heard. Is that for all depths?
Hello Neighbor!
I see that Diamondback is active in your area as well, and yes, the offer letter refers to their assumption that the interests are not depth restricted. And I recall that in prior years, the offers wanted assurance of all depths. I talked with the landman regarding this current offer and he stated that “they are confident in this number” but the lease from 1948 does not explicitly state that it covers all depths. So maybe if we had further discussions, the number would change. I know the current wells are all permitted to 10,000’. I am just hoping that Diamondback has future plans here!
All depths are covered unless expressly limited. Be sure to get a continuous development (retained acreage) clause in your lease so Operator does not hold depths other than producing zones.
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Thanks, Good information. However, this is an ORRI from my Dad, who was a geologist in Midland so I have no control over the lease.