More on BHP meeting Mon-12/9 in Houston…
~~ Chief executive to present a review of unit next month
By Neil Hume, Commodities Editor, Financial Times
November 1, 2013
[http://www.ft.com/cms/s/0/1e3f8336-4258-11e3-9d3c-00144feabdc0.html...](http://www.ft.com/cms/s/0/1e3f8336-4258-11e3-9d3c-00144feabdc0.html#ixzz2mnyi0jo3)
Later – Buzz
BHP Press Release on Houston meeting today, Mon-12/9: http://www.bhpbilliton.com/home/investors/reports/Documents/2013/13…
Note another release to follow Tue-12/10. Later – Buzz
Fred – will elaborate later… my statement replying to Timmy may have been ‘too positive’ so as to mislead at the moment:
‘I believe you may be surprised at what’s going on around Verhalen…’
Later – Buzz
Yes, greatly appreciate any relevant articles/reports being posted here (and Culberson).
BHP Presentation Dated 12-10-13
http://www.bhpbilliton.com/home/investors/reports/Pages/Roll%20up%2…
Select “Petroleum presentations” (90 Slides); see Slides 76-78 for Culberson-Reeves details. Later – Buzz
Thank you Buzz.
I will join the chorus Buzz, thanks. It will be interesting to see what all this means for those of us who have our leases with BHP/Petrohawk…we have one year left that is also true for the drilling permit (Block 4 section 64, Abstract 1390 H&GN RR co/day jw, api 42-389-33400, permit # 743141)
Yes, thanks Buzz!
Timmy Little- My great, great grandfather bought the land in 1907 and 1910. He died back in 1924. Now there is a producing oil well in 2013 and likely going to be more. So just pass it on to your kids or grandkids because mineral rights are hard to come by. I am so thankful to my family for not selling for all of these years.
anyone happen to know what a good price would be per acre to SELL mineral rights in the verhalen area? We have been waiting 50+ years for something to happen there; doesn’t seem like much is going on in verhalen.(25miles south of pecos)
Tim,
Don’t sell without getting information on the thickness of the wolf camp and other hydrocarbon strata under your land.
My mother’s family too has been waiting fifty years. If you’ve waited this long, hold out.
Just my own opinion.
Timmy Little, My grandfather left minerals in Reeves more than fifty years ago. First wells are just now being drilled. If there is any patience left in you, please, Please, wait a little longer. Once sold, someone else will get the money that should have been yours. Sarah
Go back and read through the posts within the last six weeks. The Wolfcamp has “exploded” , anyone with any free drilling capacity is heading into the Delaware Basin for action
There is so much oil in place that geologists have fallen off their work stools when they crunch the estimates.
anywhere from 230 million boe to 500 million boe per section has been determined to be in place through sections of the Delaware Basin.
Remember, current technology on first extraction is generally able to get about 5% of the oil in place. But, methods of extraction are improving, and with that much oil left behind, there is incentive to keep coming back for the rest.
Which means, oil will be pumped from your property for a very long time, perhaps in fits and starts, as new techniques are developed, but it is by no means a one shot deal.
Especially given the physical structure of the oil deposits of the Delaware Basin, in separated layers that can be tapped economically and profitably with an exploratory vertical well and exploited for greater return with horizontal well systems once the unique layered structure in the local area is understood.
400-800k EUR per well is now being regularly thrown out by area operators. It is also sounding like 80 acre spacings will work (if not tighter). The other thing to remember is that there are so many levels or branches, that layering will be commonplace. Yes, somewhat mind boggling.
All - as you have seen from the links that Buzz posted, you know that BHP is moving/keeping their stuff in the North. I have word that anything above PSL 56 Reeves will be kept and some stuff along the river to the east. I’ll also let you know that Energen has just exercised their option with our cousins who have contiguous acreage to ours. 15,000 acres shotgunned all over Reeves so it looks like they are still in the game although I know that they too are lukewarm on acreage south of PSL 56. Cimarex is buying leases in 54T4, 55T5 and PSL 58 which fills in the gap a bit that BHP is leaving somewhat. Know that they are also lukewarm to acreage south of PSL 56.
I’m very interested to know if anyone is getting any hits on acreage in the following blocks:
PSL 59
PSL 58
PSL 70
PSL 71
thank you
Elizabeth, may I suggest that you start following your operating company through presentations and quarterly reports, through their website. At the same time, this site has some terrific posters with good insight.
Lynn, Sarah, DCole : Thank you for your responses. Since it sounds like we have 3 resounding “No Sells”, we will try here and hold out a little longer. Really hoping to see some activity soon. Lynn Wood - Is this area called the Wolf Camp? Has anyone in this area received reports/estimates of what’s underneath?
Does anyone know how to receive information on estimates of oil in place, expected revenue? We were leased, then recently drilled in Reeves
Thanks for your input on oil in place estimates. this is my first post and I truly appreciate the depth and breadth of knowledge from all who contribute on this site! I wondered if, as a landowner in wolf camp field in reeves county, recently drilled, I am entitled to any of the research docs the leasing company put together before deciding to drill, in order to get some idea of our 320 acres potential.
==< … current technology on first extraction is generally able to get about 5% of the oil in place. <==
Lynn – I don’t believe anyone is bragging on 5% yet… and to the extent of my experience, I liked your post. Later – Buzz