My family has 320 acres in Williams County Township 158 Range 103. What’s a reasonable bonus per acre in that area?
Mark,
At this point in the process, bonus amounts are paid more on geologic potential than on “paying for a lease position” for reasons external to the geologic potential.
If you are in the NW of Township, you may be HBP by Madison Wells.
There are some State leases for 60 month term and 1/6 or so you can check on for public auction bonus amounts for guidelines.
If you are in the SE of Township, some successful Bakken wells have been drilled by G3 on 1280 spacing, but G3 has not acted on permits granted along the south and SW line of Township although they may do so eventually.
Best news if you are in the SW to S of Township is the Marathon activity in 157.
You are very near the Montana border but comfortably east and south of the big SW-NE trending basement fault that the Bakken drapes over.
If you control all of the 320, and it isn’t HBP, you should get at least 750 and higher if you are in the southeast. Don’t lease for more than 3 years, make certain the lease is with an operator, and demand significant performance to extend a lease. Your value is in the future so protect yourself from losing control of your minerals for a long time without production.
If your acreage is scattered, consider a farm out arrangement with a well financed operator.
Mark,
At this point in the process, bonus amounts are paid more on geologic potential than on “paying for a lease position” for reasons external to the geologic potential.
If you are in the NW of Township, you may be HBP by Madison Wells.
There are some State leases for 60 month term and 1/6 or so you can check on for public auction bonus amounts for guidelines.
If you are in the SE of Township, some successful Bakken wells have been drilled by G3 on 1280 spacing, but G3 has not acted on permits granted along the south and SW line of Township although they may do so eventually.
Best news if you are in the SW to S of Township is the Marathon activity in 157.
You are very near the Montana border but comfortably east and south of the big SW-NE trending basement fault that the Bakken drapes over.
If you control all of the 320, and it isn’t HBP, you should get at least 750 and higher if you are in the southeast. Don’t lease for more than 3 years, make certain the lease is with an operator, and demand significant performance to extend a lease. Your value is in the future so protect yourself from losing control of your minerals for a long time without production.
If your acreage is scattered, consider a farm out arrangement with a well-financed operator.
Gary L Hutchinson
Minerals Management
We’re in Sections 14 and 15.
Our Baker Mineral Trust leased 70 net acres located in Township 158-Range 103-Section 9 to Marathon in February 2011 for a bonus of $1000 per acre with 20 percent royalty for three years. Surely, two years later you should be able to do even better than we did. Good luck.
thanks John
john w Rowland said:
Our Baker Mineral Trust leased 70 net acres located in T158-R103-Section 9 to Marathon in February 2011 for a bonus of $1000 per acre with 20 percent royalty for three years. Surely, two years later you should be able to do even better than we did. Good Luck