Can someone tell me what companies are out to lease in that Section? And does it have any oil wells on it?
TPR Midcontinent filed a pooling for this section but no drilling yet.
Todd, is $1200.00 per mineral acre lease a low one? If so, do you know what amount is fair?
The following companies have leased in the last 12 months.
Ace Energy LLC, Buckey LLC, Fillmore Energy Resources, Kalos Resources, Nor Eastern Energy LP at al, Warwick Jupiter
The closest pooling was in 35 in 2018 for $6000 3/16ths, $5500 1/5th, $1000 1/4th. That would be the general range. The royalty amount makes a difference. Many of us pick the highest royalty and lowest bonus.
Ms Barnes, thanks for replying. This is 1200 bonus with 3/16 royalty at S34-6N-5W and it is with Paloma LLC Trying to figure out if they are low-balling or if that is fair for that section. Also, it appears that there are no wells there. Is that correct?
I have heard that Paloma took over from TPR. Personally, I think that is a lowball offer since the contiguous section had the much higher pooling within the last year. Tell them you would consider the $1000 1/4th that was pooled in 35 last year and see what they say. And that you know it was in the contiguous eight sections around 34.
Appreciate all your insight and help! Have a good night!
Tim- too low. The more acres you have the better the deal you can make.
In May 2019, TPR sent out a “propose to drill” letter with leasing options. I responded back via email that I want 1/4th plus some Exhibit A clauses. I received a call from someone representing TPR telling me they would not meet my request and that I was free to try and find someone else to lease to. Today, I received a letter from Harlan Holdings, LLC referencing TPR Pooling request CD No. 20193044. They indicate a 1/4th option.
Question: Does it matter who I lease to as long as I am able to get the lease the way I want it?
It does not matter to me who I lease to as long as I can get my lease and my Exhibit A. Watch your time if there is a pooling pending. Once the order goes out, you only have about 10 days to get a lease done and filed at the courthouse by any other company. You only have 20 days to respond to the pooling order. If I have a tight time line like that, I also respond to the pooling order and let them know who I leased with, what day and give them the book and page of the filed lease from the courthouse clerk.
Looking on the OCC document site, it appears there are protests filed against the Pooling application. One of the protests is by Continental Resources and a couple of other companies. There is a motion to set cause on the Protest Docket. A final pooling order has not been entered in to the system, but I suppose that could be just a delay.
Question: Will the Protest motions be addressed before the final pooling is ruled upon?
Yes, usually the protests will be solved before the order is given.
Terry: The protests must be resolved prior to any hearing, but if not, the case is moved to the “Protest Docket” and new hearing dates are set.