Hi, we’ve gotten increasingly high offers for mineral rights in Section 3, Township 12N, Range 9W, currently leased to Devon and producing very little for some time. We understand that 5 or 6 new wells are going in and that would explain the many offers we’re getting. Does anyone have more of a sense of the timeline for those to start production?
Also, although we know that buyers must expect to make money on their purchase, some of the offers are so high that we are thinking about selling some or all to be able to help some family members now with that lump payment. Are there any buyers you’ve had good experience with? Any companies that negotiate such sales that you’d recommend?
Appreciate any information and suggestions! Thank you.
Some of the wells were spud in July, although that doesn’t mean that drilling to total depth has begun. In any event, it usually takes 6-8 months for drilling, completion, and DO’s to be completed before first revenue is paid. So at best, January or February for your first payments. Prices for minerals depend on the amount of acreage, the royalty percentage of the oil and gas lease, and the current prices for oil and gas being produced.
There are 6 Intents to drill: Beard #1HX-6HX. Three are Woodford wells and three are Mississippi wells. Try your search under Sections 34 or 35-13N-9W as they are multi-unit wells with the surface locations in Sections 34 and 35.
#2 spud 6/27; #4 spud 6/30; #5 spud 7/1; and #6 spud 7/2. Again, these were probably done with a spudder rig to set surface casing, but that doesn’t mean there is a rig on location with the ability to drill to total depth.
If your correct contact information is on file with the Canadian County Clerk, you should have received the associated paperwork from the OCC and Devon.
I did see many wells in the S-T-Rs that Mr. Baker mentioned. Did not have time to check them, but Devon is definitely very active in the area. Sorry I couldn’t be more helpful. He must have Enverus. I am about to gain access to the program and I am very excited about it.
You may want to look at production from wells in the surrounding area. Consider holding on to those minerals at least until after IP. The fact that you are receiving multiple offers is a strong indication that revenue checks may be quite nice - at least the first few. Something to think about.
Thank you, @Mthornell. We are trying to learn from folks here and I’m passing this on to my family members. I have some kind of access to Enverus and will try to see more of what’s there. We all appreciate how helpful many are in this forum.