Jack:
In regards to your mineral area in Sheridan County, could you provide the legal description of the area. Currently, Sheridan County appears to be off the radar for activity, both leasing and drilling. I have some mineral acreage in T31N;R59E;Section 31 is expired even though Marathon has a drilling permit on the area and an active well exits in the spacing unit beside our acreage. Marathon elected not renew the lease which expired in December. This is not to say the future is bleak for the Sheridan County area but currently the majority of interest is in Richland and Roosevelt Counties. I'm sure in the future you will contacted especially since you hold a large amount of acreage. I would advise to take your time and not accept the first offer until you do your homework and learn the current status.
Hello Charles Mallory. Thanks fotr your response. The legal is TWP 35N RGE 55 E Section 12 SE/4 and Section 13 NE/4 Big Sky Montanna. I thank you for your thoughts. Please stay in touch. jackfran@wowway.com
Jack:
Looking at the GIS map, several plugged wells (older vertical wells) in Sections 12 & 13. An active producing well was noted in Section 36 targeting the Red River formation. No newer wells observed in the immediate area of your minerals. Keep in mind, there are multiple formations in this area but as I stated earlier, it may take years for an operator to explore. As long as the Bakken play in ND and some in the Richland/Roosevelt County areas exists, this is where the focus will be until all areas are held by production (my opinion). If you get an offer to lease, you might want to consider it since there is so little activity in the area. Be sure and don't lease for longer than 3 years and don't grant an extension (my opinion). The reason being, if development begins in the area and several very good wells are drilled, this will increase your bargaining power greatly.
Charles Mallory; Once more I thank you for your thoughts. Should Lessor (people who paid me for a 3 year lease) not exercise option to renew lease for 2 years, I will just be waiting for someone to surface. How can I attract them?
Bonnie Young; I share your thoughts on getting a royalty. My wifes's father got the first 160 acres in 1930 and later bought 160 more. We might run out of time before anything happens. Our lease runs out soon. jackfran@wowway.com Jack Tucker
Jack:
You could contact operators who are drilling in the NE Sheridan County area but basically if anyone is interested, they will find you as most use a company whereas the landmen research records at the County Clerks office and contact the mineral owners. In your case, this extension might not be a bad thing since little activity is occurring in the area. If they elect not to extend, just play the waiting game. The other option that comes to mind is contacting Gary Hutchinson, a consultant that knows this Eastern MT area very well. Mr. Hutchinson is aware of the geological formations in the area and could advise you on where you stand in regards to possible future development. You can contact him at 303-279-4113. Provide him your legal description and details of your current situation.
Charles; Thanks once more. I wil plan on calling Gary and get his input.
I must confess my limited knowledge of computers.
In the interest of expediency, would you please email me directly .jackfran@wowway.com
I anxiously await hearing of drilling activirty in Sheridan County, MT.
I have heard of selling mineral rights? Is there such a thing as retaining a percentage of them?
Jack:
Yes, you can sell a portion of minerals and retain part of them. In the past, I have known surface owners who also owned the minerals and sold their surface area while also selling a portion of the mineral rights. This was sometimes the case to make the land purchase more attractive. In regards to the drilling activity in Sheridan, it is a wait and see game and it could occur in the next year or it might not occur for several years to come.
Gary Hutchinson; Thanks for response;
I got all the info you sent and decided I will wait a while and see if activity picks up in Sheridan CT MT. I will stay in touch as things always change. jack Tucker jackfran@wowway.com
What is an AFE? Jack Tucker jackfran@wowway.com?
Jack:
An AFE or Authority For Expenditure is a document , usually prepared by the operator ,listing expenses of drilling a well to a specific depth and then completing the well or if necessary, abandoning (plugging) the well bore.
I need to find an attorney in the Sheridan / Richland County attorney to help finalize a probate case that includes mineral acres. Can anyone give me a few names? I know that Charles Mallory suggested an attorney in Culbertson in the past, but I can't find her name. Thanks.
My family has used Laura Christoffersen (406) 787-5700 very successfully in the past. She is the one Charles has mentioned as well.
Darci:
Larry is correct with his info. Laura is very knowledgeable in regards to the Sheridan/Roosevelt and Richland County areas. She handled my legal matters in 2003 and has advised me on several occasions since then. You will not be disappointed in your experience. Good luck on your probate case.
Should anyone hear of leases being signed for Sheridan CT MT for O & M rights, or of any drilling activity, please email me at jackfran@wowway.com My phone number is 865-357-1398 Thanks.
We haven't seen any meaningful leasing activity for the past year. There was a company offering $ 5 per acre for 6 months and a bonus of 50 at the end if they could get enough signed up. Royalty as 15% so really not a good deal for mineral owners. This was primarily north and west of Plentywood. I haven't heard any more from them and am not going to hold my breath. Leasing will probably pick up as North Dakota gets more developed. Right now the smart money is working there closer to pipelines and loading facilities.