Buzz, I think the map John posted is the more recent.
Wade – I agree on timing… but th presentation map John posted wasn’t the offering map. The offering map shows the “Divestment area” in the Delaware Basin broken into 3 packages… it was changed sometime after the original offering was posted. Also, see my post of Dec 14 below. Later – Buzz
J W, You should contact Resolute Resources if your land is open. that is right in their fairway.
Thanks Buzz, My property is still to the east of the divestment area.
My 4th year delay payment is due this year end of July. I suppose BHP could choose not to make the payment and thus end the lease. Maybe I should contact Resolute Resources also.
jw - well i guess you can sit back and wait till the lease expires. if the date is in the next two years, you might still be able to do something with resolute.
Resolute’s area is in PSL C-21 beginning around section 18 and heading east to section 4. I know that they just leased sections 5 & 8 from us in PSL 57. Section 8 is already staked for a north south lateral.
If BHP paid $3750 an acre, how much will they pay the land owner? Just wondering…
RESULTS: GLO Sealed Bid O&G Lease Sale – January 7, 2014 - Reeves Co. Parcels
http://www.glo.texas.gov/what-we-do/energy-and-minerals/oil_gas/sea…
(click on ‘Tabulation of Bids’)
Minimum Bid - $1,500 per acre
H&GN BLK 8 SEC 2, 27 miles ESE of Pecos; 595.71 acres, A-4319
Winning Bidder: T. Verne Dwyer = $2,500/acre per acre (2 bids)
Minimum Bid - $2,500 per acre
PSL BLK 58 SEC 19, 23 miles WNW of Pecos, 240 acres, A-3461, A-1914, A-?
Winning Bidder: William B. Robbins = $3,616.78/acre (2 bids)
PSL BLK 58 SEC 21, 21 miles WNW of Pecos, 160 acres, A-5321
Winning Bidder: William B. Robbins = $3,616.78/acre (2 bids)
T&P BLK 56 TSP 3-S SEC 6, 30 miles NW of Pecos, 80 acres, A-?
Winning Bidder: BHP Billiton Petroleum Properties LP = $3,751/acre (2 bids)
PSL BLK 59 SEC 48, 23.8 miles W of Pecos, 480 acres, A-5107
Winning Bidder: Cimarex Energy Co. = $3,500/acre (1 bid)
T&P BLK 56 TSP 2-S SEC 24, 6 miles E of Orla, 320 acres, A-6066 (Reeves)/A-1169 (Loving)
Winning Bidder: Marshall Energy LLC = $5,001/acre (4 bids)
Later – Buzz
Stephen – you got that right! Later – Buzz
Are the GLO leases always for a 5 year term?
It just gets better and better, doesn’t it Buzz!
Garland, if they paid that much, I will guarantee you that they intend just that! Believe me on this.
Looking for info on recent lease bonus offers in the vicinity of A-5873, SE/4 Sec.8, Blk 51, T7S, T&P RR Co. Survey, Lease No. TX 276-6548-001-5. Thanks!
Garland and Buzz thank you very much for the updates! It looks like there might be some action eventually? JW
Thanks a bunch, Buzz!
J W
If you look at the 80 ac. that BHP just bid $3750 a ac. for its just south of our a3035 & a3036. So maybe there’s still hope they will do something on our land.
Garland
Linton – you are near what has been a fairly active area the last couple of years. Later – Buzz
Craig – good question on the 5-year term… I went back a couple of years and see that the terms have changed. Also, there are qualifiers in some cases, e.g., for the Jan 7th sale:
SURVEYED SCHOOL LAND
TERMS AND CONDITIONS
The royalty on all surveyed school land is 25% of the gross production of oil and/or gas. The primary term of the lease shall be five (5) years. The annual rental is $5.00 per acre for the second and third year of the lease. For the fourth and fifth year of the lease, the annual rental will increase to $25.00 per acre.
SPECIAL RENTAL CONDITIONS FOR REEVES COUNTY TRACTS:
For all tracts in Reeves and Loving Counties with a minimum bid equal to $2,500.00 per acre, the annual rental is $5.00 per acre for the second, third, and fifth years of the lease. For the fourth year, the annual rental is $2,500.00 per acre.
Later – Buzz
Craig – taking it a step further… if the 4th year payment was not made, then the lease lasted 3-years… but I leave that to the attorneys. Later – buzz
Thanks Buzz. So the initial payment is for just 3 years. Good to know!