Does anybody have updates on activity in the following; W/2 Section 23, Block C-7, A-5072, in Reeves County, TX? I feel like this has been drilled, recently. I leased to Rosetta in Dec. 2015. At one point, I was able to pull up info pertaining to Lease name King Fisher 23 Unit A, Well # 1H, District 08. However, I am uncertain if that pertains to my mineral ownership. I have not received any division orders, but have received LOTS of purchase offers (which is usually a good indication of drilling finalization). Thanks so much for any input!
Re: the Apache announcementā
Hopefully it will generate more competition for the acreage that remains, as Apache was able to keep bonus rates low because there were not many competitors for the acreage. I like the fact that Apache is committing so much money to infrastructure, as it decreases the chances this is a pump up the stock kind of announcement. Their patience in putting together the position also bolsters that they really believe they have found something.
Compare this to Devon, who put together the big Cline Shale position, did the big announcement, and promptly sold a big chunk of it to the Chinese. While they may eventually crack the code on developing the Cline shale, the results so far are very mixed. If you raced out and built a motel in Sweetwater, it is probably not doing so well right now.
Apache is still leasing, which is another good sign. They are also going ahead on the infrastructure build up. The Alpine appears heavier on the gas and NGL end, which may be good timing as the gas markets seem to have found their footing.
In short, a pat on the back to a company they may have done it the right way. They went out and found something most others had overlooked. They didnāt have to spend exorbitant money buying their way into an area that was already hot. Letās hope they manage the development well and wisely.
Apacheās Alpine Highā¦ in the works of their CEO:
http://files.shareholder.com/downloads/APA/2793079927x0x907355/4D84ā¦
Slides: http://files.shareholder.com/downloads/APA/2793079927x0x907120/2AB3ā¦
Press Release: http://investor.apachecorp.com/releasedetail.cfm?ReleaseID=988060
Later ā Buzz
Thanks, Clint. Yes, we have a BHP completed gas well in 56/6
Interesting take on importance of Apacheās announcement. Basically, says there are a lot more āopportunitiesā to be discovered.
http://seekingalpha.com/article/4005019-apaches-new-field-supports-ā¦
re: Apache announcement.
Our 58 acres in Sec 8 55T7S T&P has now been leased 3 times. First by Chesapeake, then Petrohawkā¦BHP Billiton did not take the option last year. Now a lease by R & J Graham 3 months ago. Robert Graham was one of the principals in the initial secret leasing of the Eagleford by Petrohawk. I expect he was leasing for Apache. We seem to be on the ne edge of the area as shown on the Apache lease map. I just hope we arenāt outside the trend (again) and get a well this time. Who knows. It may take a few years to know. There are two permits issued to Apache just last month 4 miles SW of us.
Look at the Rate and Damage Schedule on website of University of Texas Lands for pipeline rates as a standard for the area. Note that additional payments are due every ten years. If you accept a one-time payment, negotiate for equivalent of 30 years based on 2 renewals. Do not agree to a permanent ROW. Insist that the ROW expires upon cessation of use for 1-2 years. Also limit the ROW to a single pipeline of the specified size. Additional compensation due if the size is increased. A second separate ROW easement for a second pipeline.
TennisDaze, thanks for the info. Am I to understand that university lands and non university lands are the same as PSL or Mineral Classified, as ours is?
If the pipeline is related to a well on the mineral classified tract, then the State receives 1/2 of the ROW payment. You can think of this as quid pro quo for getting 1/2 of royaltues. If the pipeline is unrelated, then you get 100%. Same for other payments such as well pad damages. If in doubt, call Drew Reid at GLO.
John, you are very lucky. We are immediately to your SE and we have not been leased in years. Congratulations and best luck on a well!
Some of the state lands are owned by General Land Office. Mineral classified lands are state-owned minerals and under the Relinquishment Act, the surface owner leases as agent for the State. GLO leases minerals directly on other lands. A lot of the funds are directed toward secondary education. The University lands are for the benefit of the University of Texas and Texas A&M systems. Separately managed from GLO. On the University Lands website, under Drilling & Development, select the Rate and Damage Schedule. It gives base rates for pipelines, roads, electric lines, etc. http://www.utlands.utsystem.edu/
Ignore my question on āwould the State get 1/2 of a pipeline easementā we own the surface so the State would not. They get 1/2 of minerals since this is mineral classified land
Hi everybody!
With all of the activity in Reeves, I tried to get in touch with Elevation Resources to get an update on their plans for the parcel they leased. I called and no answer, no way to leave a messageā¦ Anyone know whatās going on with them?
Thanks!
We got a call today from EagleClaw about doing a survey through Sec 15 Block 58 PSL (no township) about 12 miles N of Toyah. This would be for a possible 10" pipeline running N to S through the Eastern part of this Section. We have several questions: 1. Both sections 15-16 are presently not leased. Would a pipeline deter future leases? 2. Where can we get info on the going $$ rate for an easement for a pipeline? Any advice would be appreciated. Thanks
so our mineral classified land would fall under the base rates for pipelines under NON-university, correct? We lease under the Relinquishment Act and the State gets 1/2. Would the State get 1/2 with a pipeline easement contract?
Where are your minerals? This is an agent representing an oil company. Do not accept less than 25% royalty as that is standard in Reeves County. If you agree to option, ask for at least double bonus to cover increases in future rates.
Have an offer from Mitchell Petroleum,Land Services, INCā¦Fort Worth, TX for Oil and GAs lease, $1000 per acres with 20% royalty for 3 yr lease with 2 year lease extentionā¦does anyone have any experience or knowledge about this company? Because verbally they offered 25% and in writing offered 20%
I think this may be of some interest Deals with production values over the few years. https://shaleprofile.com/index.php/2016/09/02/permian-update-until-ā¦