Thank you for your answer. In fact my deceased uncle’s lawyer is getting the bills and forwarding them on to us - but very late. Because of the confusion the 2015 taxes were not paid. Ward County claims they can notify Reeves County but that is for 2016 I believe. These are mineral interests only. The producers had no problem with the division. It is just the tax offices that aren’t straightened out.
Best of Luck Anne.
Clint Liles
Re Reeves Cty tax appraisal district
Does anyone have a good connection with the Reeves County Tax Appraisal District? I have been trying for 3 months to get them to send me the 2015 tax bills instead of to my deceased uncle who died over 2 yrs ago at the other end of the country. I have called them several times wrote them in early May and still there is no clearing this up. Meanwhile the interest is accruing. Thanks so much if you answer this.
Response to Donny Hamilton.
I have 80 nma in C-18 sec 4 w1/2 SE 1/4 near you and executed a lease last October to KEW drilling, but I think they are wanting to sell their lease since they have not indicated they would be drilling any time soon. It was leased to Silverback as well, but the lease ran out with no activity.
r / Fred
Donny,
The well that was drilled on your property is a terrible well. If someone is still willing to pay good money to buy it I would consider it.
Dusty – as well laterals grow longer and cross Section lines I have seen similar cautionary by the RRC in the ‘Remarks’ section on permits. However, this one seems much more comprehensive than recent ‘alerts’. Later – Buzz
KEW Drilling never drills. They are a broker.
Thank you for your reply.
TennisDaze, Buzz, et al
Any opinion on the two section, 1200+ acre, type locations permitted by Silverback, most recent the Admiral 4-48-47?
The permit includes a big RRC disclaimer about not conferring the right to drill across lease lines and future court ruling possibly being required related to royalty allocation. I’ve seen mention here of Silverback asking folks to sign production sharing agreements I’m guessing are related.
Are these just great big units or a totally new situation?
RigData Comment, 7-15-16 – The US frac sand market could see a period of undersupply once operators again ramp up horizontal well completions with what seems to be perpetually increasing proppant volumes per well during hydraulic fracturing, reports The Land Rig Newsletter. Rapidly increasing demand for frac sand through 2014 stemming from expanded unconventional well drilling, drove silica sand miners to increase capacity. Not only was the number of wells being fracked rising, but the volume of proppant used per well saw significant increases as well. In 2008, the average fracked well used about 900 tons of frac sand. In 2010, the average amount of proppant used per well was near 2,300 tons. In 2014, the average horizontal well used 4–5,000 tons/well. After oil prices collapsed, silica sand production capacity shriveled when shrinking demand forced mine sales and closures. Whether the frac sand industry can quickly ramp up again to accommodate a rebound in US unconventional oil and gas drilling and completion activity, as well as exponential growth in frac job intensity, remains to be seen. Later – Buzz
Dusty- I haven’t looked up the permit, but that sounds like language you see on an allocation permit, which is where they drill across two different leases, often resulting in a de facto pooling. You might look at your lease to see what control you have over pooling. One of the legal debates is whether a lease that allows pooling also gives consent for an allocation well. Usually the producer will ask the parties to sign a production sharing agreement. There are a lot of different formulas for sharing production. By surface acreage, by length of lateral, by length of lateral between the take points, etc. Sometimes allocation wells make sense. Say two operators each drill 467’ from a section line two laterals that are parallel to each other. That leaves space for a lateral right along the section line that could not otherwise be drilled without an allocation well.
Wade-
Was wondering if you or anyone else has heard any rumors on the results of any of the Apache wells being drilled in Southern Reeves? Looks like they may be up to something big.
I also am interested in what Apache is doing in that area
Thanks Wade. Based on what you posted I did some reading on allocation wells and it does sound like a whole new ballgame, not just making bigger units.
I saw a recent Reeves Co. lease that had a provision added saying no allocation wells allowed without grantor’s approval. Wouldn’t solve everything but seems logical to negotiate for when typical pooling limitations often allow the operator to go beyond the acreage limits in the lease if RRC approves the unit and RRC lets operators move forward on what sounds like a conditional approval of permits while leaving the details for the courts to sort out.
Can anyone be more specific about the area where the active flairs are located?
Reeves- I have not seen production data except I saw the Ladybird wells completions showed dry holes. However, the flares on the well near Balmorhea and SW of Toyah are pretty impressive. Given Apache’s continued leasing and development, it looks like they think they have something.
I have mineral rights on 14 ac section 26 in Balmorhea. Had offer of 6500. Per acre. Is this a good price or should I hold on.
I just renewed our lease for three years in Section 136 blk 13. Yesterday I got a call from another company that wants to buy my mineral interest on the same lease for $8000 and acre is this a good price? How does this work with the current lease agreement?
If you aren’t familiar with Railroad Commission’s web site this is the link to their online informaiton
http://www.rrc.state.tx.us/about-us/resource-center/research/online…
Go to Production Report Date (Limited Area) and select Specific Lease.
Select “Gas Well”, put in your lease number 239807, select District 8 and put in time period you want to see. Last three months production reported for Shuffield Gas Unit were March 6407 MCF, April 4830, May 3326
Buzz it was to purchase.