Reeves County, Section 9 block 55


Our lease expired in May with Apache.
What is the current lease rate for the area?
Section 9, Block 55.
Also, what is the going rate for pipeline easement ? We have been offered $300 per rod.


You should have received more lease offers from Apache, Primexx, Noble-Permian, and Centennial or Cimarex by now, Karen. All are interested in developing that corner where Ranch Road 3334 and FM2903 meet.
Someone should be calling you guys soon to discuss putting a Cryogenic Natural Gas Liquids plant in that area.
They just added another 3 phase 12 KVA power line at the intersection of FM903 and RR3334 on the north side of 3334 and tied in a line along CR315 on the east side of your property.
That area is still developing.

ol’ Lawrence in Verhalen, Reeves county, Tx


Karen – would that be T&P Township 7, 8 or 10? Thanks – Later – Buzz



Depends on what size pipelines and how many they want to bring through your land in a Right of Way (ROW). $300/rod (16.5 feet) is the minimum recommended by the University of Texas Guidelines for a single 4 inch pipeline.
Going to those Cryogenic NGL plants they are building near your property, they will have several 30 and 42 inch pipelines and the ROWs will be 50 to 150 feet wide to accommodate the lines. Get a good lawyer to negotiate terms for ROWs through your property. I advise you to take the University Guideline for the size and number of lines for the ROW and start negotiations at 10X those guidelines…adjusting from there until you hit on an agreement.

ol’ Lawrence in Verhalen, Reeves county, TX




Townships 4, 5, 7, 8 and 10 all have a Block 55. Which are you in? Or if you know your abstract number, that would work too. The lease rates vary depending on where you are in the county.


I’m guessing she’s Block 55, PSL survey (no township). It’s on the western border of Reeves and Culberson.


bhiggins, Karen_King

Her family’s land is in the SE corner of the intersection of FM2903 and Ranch Road 3334 north of Balmorhea, Reeves county, Tx.
Apache, Primexx, RKI Energy, and a host of other developers are drilling and running pipelines and NGL extraction plants all around their property. There will be lots of ROWs for oil and gas and produced water/brine pipelines and electric power ROWs that will be requested for their property. There should also be requests for drilling locations there because they are between two bulbous ends of a huge multi layer anticline. There are wells on County Road 315 on their east side and on the west side of FM2903 directly west of their land. It’s developing into a ‘hot spot’ in the Delaware basin.

ol’ Lawrence in Verhalen, Reeves county, Tx :sunglasses::rofl::ribbon::heart: