anyone know of any activity in the area of Block 55, section 8, and township 4? I have been off the internet for a few months and not up to date with the activity in the area. How about leasing amounts of monies for an acre too, anyone have any comments? I would appreciate any and all comments…Louise
JM Wilson
Good article. Thanks for posting.
Multi-zone potential in Reeves has been talked about a lot but this is most detail I’ve seen on this part of the county.
Funny Silverback put this on their website but went to the trouble of blacking out the price they’d paid for BHP’s position.
yes ~ thanks for posting the article on silverback ~
Wade, we have a personal example of this. You helped us lease our acreage in Block 13, Sec 185 at the end of last year. (Negotiations started several months before that.) We leased to Clayton Williams, and were very happy with what you got us. (Still are!) My SIL has the same acreage but her lease was on a different schedule than ours and it just expired a few days ago. Her negotiations with CW have gone some hundreds of dollars an acre higher than ours, and she turned it down because a second player has entered the negotiations. Things have sure changed in the last eight to ten months!
The lease market seems to be continuing to go up. All the press about our area seems to be not only smoke - there is a fire behind it. As with all leases, it is location, location, location, but I have seen opening offers which used to be in the $2000 range jump to $4000, and go higher with a little negotiating. Loving is equally strong, and Ward, Culberson, and Pecos are staying active. Plenty of non-operators taking leases also, which is usually a good sign, because it means they are either confident of drilling or being able to flip the lease. Infrastructure projects hit a lull for a while, but seem to have moved back onto the front burner. Low ball offers are still common to small interest owners or others they suspect don’t know the market, but there seems to be less posturing if you show some knowledge of the area market. In short, things are good. Very good. Many operators are trying to get their foot in the door here, and good drilling results are starting to spread farther throughout the county. Operators continue to refine which of the multiple shale formations are best in a particular area.
We own 20 acres (surface and minerals) in Reeves County with a very productive new well. The company leasing the property has told me they now own the surface rights to the surrounding 600+ ac unit and want to purchase the surface rights to our property to construct facilities, etc. They said it would be more convenient to build near the well and the future well but could build on the adjacent acreage in the unit. The family has no interest in selling for many reasons, so I suggested to the landman representing the energy company that we would be interested in entering a long term triple net lease, with bumps every 5 years and termination when the mineral lease ends (since they plan on drilling at least 4 or 5 more wells between our property and the surrounding unit, that could be far into the future and their investment in construction would be protected). My question: has anyone leased their surface rights on a long term lease and what monthly or annual rental rates can be expected. Thx, Randy
What is the name of the Company?
Thanks for the update Wade. Sounds good!
Thank you for the update, Wade!
Thanks, Wade, for such informative information. Really encouraging news. Once again, thanks for the post.
Louise
This one is far off but you can see the flare. It is just south on Balmorhea State Park
Melissa, Graham is a leasing agent representing Apache and other companies. You got an unprofessioanl rsponse from the landman who well knows to which company Graham has assigned your lease. Ask for a copy of the assignment. Reeves County records are available through TexasFile, at present through June 30. Look and see if your lease has been recorded. Then look for assignments out of Graham. Easiest to simply look at all documents in and out of Graham thru June 30 and later dates as they come online. You can likewiase follow any assignments or partial assignments with respect to your other lessees. This situation is a reason to add a provision to your lease to either prohibit assignments without your written consent or to allow assignment but specify that no assignment is valid unless and until you are provided a copy of the recorded assignment.
Anymore info on Apache? We have a lease with them and they just offered to purchase outright. $5,000 an acre. I think that number is low. Anyone else have an offer from them?
I was just given an offer and not sure if it is competitive. $5,000 per acre.
Reeves County
Section 2 Block c-15
Section 6 Block 13 (A-1024)
Section 25 Block C-15 (A-1817)
Frankly, both Tracey’s post and Mark’s reply seem strange in that Apache has been actively drilling in the Balmorhea area for almost a year… Justathought. Later – Buzz
Tracey – Apache won bids in SECs 18 & 19 in BLK C-15 in the July 19,2016 GLO Sealed Bid Sale. These sections are about 7 miles east of you. Later – Buzz
Now I don’t know much, but I am going to assume a FLARE is a GREAT thing 
Tracey – the bigger the better. Later – Buzz
Hey Duke – thanks for posting the pictures! For everyone’s information, the WEISSMIES #1H, SEC 49 BLK 13 H&GN, is located 2.0 miles NE of Balmorhea. Later – Buzz
Yes. These are two different wells in that area that I could see from the Highway
TexasFile will charge $2 to preview document or $1per page for pdf. You can view and then decide to buy it for your records. Ward and Pecos Counties are on Texas Government Records by Tyler Technology and those records are updated several times a week and are current. Free to view but sometimes hard to read. Again $1 per page to purchase pdf.