Ive recently been approached to lease mineral rights in the Clark 43B. It is presently being operated by Diamondback but Endeavor had it for many years. The company wants a 3 year lease with no option to extend. My issue is ethically, it feels wrong to lease something that is already leased! Ive offered to do a top lease. I wish I had the original lease agreement(probably dates back to early 60’s).Im being told the well is about to be shutdown due to poor production. Any thoughts, suggestions or ideas would be appreciated.
Look on Texasfile or other online deed service for the recorded lease. In the 1960’s, the leases were recorded. Then you can see any depth restrictions or other terms.
What is your block and abstract name and number, plus section? We can help you look up pending permits. There actually several “Clark B” wells so trying to hone in on the correct one.
Also, I am NOT a fan of top leasing. It has too many potential legal issues. Here is an article that might help.
An Overview of Recurring and Related Issues Involving Top Leasing.pdf (210.2 KB)
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Thank. you! I will try that!
It is section 43, block 35 township 4 south if that is helpful! thanks for the article on top leasing…I will read it over! It is 128 acres more or less.
The Clark 43B doesn’t appear to have any PPQ issues and the majority mineral owners in the unit are mineral pro’s, who typically wont sign a top lease. The well is also producing roughly 40-60 bbls a month, they’re not going to shut down that well and lose their position. My 2 cents would be not to sign anything unless its coming from Double Eagle or one of their affiliates.
Thanks for your input! Im now thinking a top lease isn’t a good option. Guessing I’ll just continue to hold onto my interests.