We are in section 74 Blk 13. The section just to the east of us section 95 has 4 permitted wells on it. Unusual? I haven’t seen any movement on that sight for a while. Is there a way to find out what is going on there?
Todd,
Those permits appear to be for SWDs (Salt Water Disposal wells). They use these to inject waste water in a shallower zone. Permits were filed a year ago.
This area is in Apache's Alpine high area where they are actively drilling the Woodford, Barnett, and Wolfcamp formations. Apache has an active rig and multiple permits 3 miles to the west of you. Since Apache is the most active in the area I would imagine if they get drilled they would be using these SWDs.
Something that might help is to keep up with Apache's investor presentations. They come out every quarter in addition to conference presentations. Lays out guidance, current activity, ect..
http://investor.apachecorp.com/events.cfm
Hope this helps,
S
Thanks for the info Spivey. If you don’t mind if I could ask another question. Before taking over as the manager for our mineral interests, my mother entered into a lease agreement with Apache. Lease terms are horribly low for what is being offered currently. She signed a 3yr + 2yr extension. Do you think at the extension time (next Feb) we can renegotiate the terms of the lease? Specifically lease bonus?
At the time Alpine high was an exploratory play going after formations that haven't been proven yet (with modern technologies anyways) so the entire play was leased relatively low when compared to more proven areas in the Delaware basin (If I recall correctly they leased at an avg. $1,500/acre). So you're not the only one!
I don't want to tell you wrong, but if there is an lease in place Apache has the right to extend at those previously agreed upon terms including the lease bonus (If anyone else is more familiar with extensions please jump in).
However if you do have the opportunity to negotiate I would make the point that your acreage is proximal to the good well results and high activity just to the west of you.
Todd, We are in the same section and block as you. We have received a few letters offering to purchase. We haven’t contacted them. Have you received interest as well?
Hi Steven, I have received a few fishing offers. Nothing serious. I would like to talk with you about the leases we all are in and your thoughts about what you know and what your thoughts are on future actions. if you would like to reach out to me. Please give me a ring, 317-750-5571
We also were leased verry low from Apache, blk 13 section 39. Across Hwy 10 are collection wells (Alta Vista, I believe). We just re upped the bonus in April. Same low amount, all according to the contract.I was told at the time we could expect to see some kind of activity before the end of the year. So far, only an Illigal cut through road to the neighbors wells!