Did anyone lease with Summit Resources?
I did not lease with Summit Resources but they did purchase my lease from a broker several years back. In May of this year, they sold all their holdings in ND and MT to Legacy Reserves, LLC. The Summit Resources that I'm referring to is based in Calgary, Canada. Let me know if have further questions. The mineral area purchased by Summit was located in Roosevelt County, MT.
Did Legacy buy leases in Stark?
Desert rat:
I am of the understanding that Legacy acquired all of Summits leases in both ND and MT. Legacy Reserves in based in Midland, Tx. They have an office in Cody, Wy. The number to their Cody office is (307) 527-8987. I have talked with Cindy Icenogle at this office and she stated that currently they were in the process of reviewing the leases that have been acquired. You might want to give them a call and provide your information as they will be able to answer your question. I don't beleive they have plans to do any extensive drilling in the Williston Basin area as they currently don't have any rigs in the area. I have read that they may possibly obtain one rig in the future. My thoughts is that they will pick their best areas and sell off the rest. I am hoping that they sell out my mineral acreages in MT to a company who is active in the drilling process. My leases will not expire until early 2014 so if they decide to sell, it would most likely take place in early to mid 2013.
Desert rat said:
Did Legacy buy leases in Stark?
I called Legacy and they said they are not buying any leases in Stark from Summit. At least not around 138 92w.
Desert rat:
I was of the opinion that Summit Resources sold all of their holdings in both ND and MT. Again, I'm referring to the Summit Resources based in Calgary, Canada. I do know that they acquired numerous acreages in MT including my area. I emailed Cindy Icenogle a couple of weeks ago and she stated they were still reviewing the mineral areas that were acquired. I am still wondering what this company's plans are on their acquired acreages. Since my leases don't expire until early 2014, they have plenty of time to make decisions. Further, I still don't believe that this company will be drilling on a major scale and I look for them to sell numerous acreages to other operators which are currently establised in the area. See this article: http://www.petroleumnews.com/pntruncate/599295987.shtml The article doesn't state exactly the acreages acquired but the company rep. for Summit told me back in January that they had plans to sell all acreages in both MT/ND.
Desert rat said:
I called Legacy and they said they are not buying any leases in Stark from Summit. At least not around 138 92w.
I called kadamaras which handled negotiations with summit resources from Canada. They said that they no longer handle thier affairs. But that summit is selling the rest of their leases in ND
Desert rat:
As I said earlier, I was told that Summit Resources had sold all their holdings in both ND and MT back in May. Guess they held onto some of the ND leases. My minerals which Summit held in MT was sold to Legacy Reserves (Midland, TX). I am very interested in what Legacy plans to do with my mineral acres (approx 375 net mineral acres). I still think they will sell by next summer as these minerals will expire in early 2014. I don't believe that Legacy plans to drill/develope any of the MT acreages they acquired since they currently don't even have a rig in the area. I think their main interest is in the Permian Basin and the Eagle Ford Shale areas in Texas. I may be wrong in my thinking but I just can't see anything happing. If I get a chance to top lease or negotiate new leases, I will be pleased as the current bonuses and royalty %'s are much higher today than when I leased back in 2009. Hope thing goes well for you.
Desert rat said:
I called kadamaras which handled negotiations with summit resources from Canada. They said that they no longer handle thier affairs. But that summit is selling the rest of their leases in ND
Were in limbo and have been for five years. It seems all the oil companys are just speculating and holding on to our leases until the big buyers come around. I know now to put in a Pugh clause in my next lease.
Desert rat:
What you have said is exactly why if and when I get to negotiate my next lease, I will press for 2 years, 3 at the most. In my opinion, if they are serious, they will drill in 24 months. Anything longer tends to make me believe they are in the deal only to trade or sell the minerals. I've been at this leasing game since 2004 and I know their game (somewhat). Good luck on your lease and hope you get a well or get a chance to negotiate a new and better lease.
Desert rat said:
Were in limbo and have been for five years. It seems all the oil companys are just speculating and holding on to our leases until the big buyers come around. I know now to put in a Pugh clause in my next lease.
Thanks for getting back, good luck to you too. I will keep you updated if anything changes.
Desert rat:
Same here. It will most likely be in 2013 since this quarter will soon be drawing to a close. I also believe that operators are waiting until after the upcoming Presidential Election to make any serious future decisions on drilling.
Desert rat said:
Thanks for getting back, good luck to you too. I will keep you updated if anything changes.