Offered at the North American Prospect Expo in Houston earlier in Feb.
2657-ShellleasesforsaleFeb2013.pdf (365 KB)well, it's better to have someone else buy it than shell to drill the one well and sit on the leases till they expire.
Well, you can now hear the water swirling around the rim of the toilet bowl as the oil boom unfortunately goes to oil bust for Lynn, Terry, and Garza. These companies NEVER sell the rights to potentially valuable leases, so that tells me what I have been hearing for the past year is correct and that is unfortunately, as Willie Nelson sings, "Turn out the lights, The party's over..." Darn it....
I spoke with an O&G operator in Austin last week about this, and he recommended I not read too much into this - said there could be any number of reasons why they're selling their leases, and not all directly related to area-wide drilling results there. Note Shell didn't drill to their permitted 13,000 ft. depth on the Stephens well - they only went to 10,000.
Also, I was notified yesterday that leasing interest is picking up again in Lynn Co. I don't think the fat lady has sung her last song yet.
Paige, your an optimist, like me...thats great...i have 480 acres coming free from a murchison oil lease in may. souds like the timing could be good to get it picked up. if you know someone, its the w 1/2 and se 1/4 of section 3, Block O, RR survey, Shell has the other 1/4 section next to it, and another section, plus another 1/4...none of them are in the seismic 3d mapping area shell did, so i think thats a good thing.
lets see who buys I use to have a fly on the wall of shell back then boy did get a lot of interesting stuff back when. any movement is good most around brownfield are pumped up about the local efforts and efforts of support business that have started buying around the rr tracks .sure beats flushing stuff and plugging up. look at the big picture there are drilling rigs running around the clock as far west as I am in almagorda NM. The fat lady is tuning up. Thanks Paige
Robert,
Remember that In any sales transaction, there has to be a buyer and a seller.
The Seller believes the minerals aren't worth as much as the selling price and the buyer believes that the minerals are worth more than the selling price. If there wasn't any potential of oil reserves, then the selling price would be next to nothing because there wouldn't be any buyers.
Are you suggesting that you're more knowledgeable about the value of the sale than the purchaser of those minerals ?
The same principal applies to all the tin foil hat people who claim that JP Morgan manipulates the price of silver and gold. That's an impossible scenario in lieu of the fact that in every sales contract, there is a Seller and a Purchaser. If someone believes that the price is manipulated upward or downward, then all that person would have to do is buy or sell accordingly.
Remember Shell bought most of Chesapeake’s acreage in part of the Permian. They may be trying to make a quick buck to finance what they have to drill.