My lease was renewed for another 2 years and all these were filed last month.
I thought the low oil price would have killed the activity in our area.
good to hear some people are still leasing / renewing.
Figure operators who do this are looking to keep per acre fees as low as possible and looking to get as long a term and low a royalty as possible
Garnett - Appreciate the link you posted. I'd quit following leasing in Anderson Co after things got slow and didn't realize Courthouse Direct had that kind of notification service.
You may realize this but if you look at the documents behind the entries on that list, several that are leases were related to separate ownership interests in the same tract, so there may not be as many different pieces being leased as it first appears. Also some of the things on that list were assignments or mineral deeds rather than new leases. In any case it looks like O'Brien Resources, who I think also operates under the name OBenco, is keeping their hand in Anderson County.
I'm sure Rock Man knows a lot more about this but I'm thinking what O'Brien is looking at in Anderson Co. may relate to all of the horizontal Rodessa or Goodland Lime wells they've drilled just over the line in Henderson County during the last couple of years. So far it looks like O'Brien/OBenco has only been leasing and hasn't permited any locations in Anderson County but maybe that will come if crude rebounds any.
If you don't mind can you share any details on what you got on your lease renewal and what abstract it's in?
OBenco is chasing Rodessa with their horizontal program. I believe that they have a few permits in Anderson Co although most of their drilling activity is in Henderson.
A few of those vertical Rodessa wells drilled north of Palestine are still going after 30 years but without any secondary recovery probably left 80+% in the ground so I'd love to see a horizontal program.
It will be interesting to see what, if anything, happens a few months down the road as the leases in that big block EOG put together turn three and start expiring. Whatever they had planned to go after is still there.
EOG was primarily chasing Goodland- with low prices, that play won’t fly economically. But at the right price, it will be resurrected.
There is a question as to how economic OBenco’s hz Rodessa program is. Word is well costs are in $3+ million range and well production appears to be declining quickly from initial rates before leveling out with higher gas ratios as pressure in reservoir is drawn down. Have to give credit to them for being persistent, however. Curious what their investors think about what is happening.
On slightly different front, RLacy drilled a Goodland horizontal recently just east if Frankstin near Cuney. No word on how good that well could be.
If OBenco can complete deep horizontals in the $3 million range drilling costs are down a lot more than I realized or they must not be doing very big frack jobs.
Thanks for pointing out that RLacy well. I'm thinking Cuney is within that corridor EOG blocked up running from where Smith and Henderson Co. join down through the southwest corner of Anderson County.
OBenco is only doing inexpensive acid jobs on these horizontals. But $3+ Million is still pretty cheap.
The R Lacy well is in the apparent EOG trend as defined by their Cowan horizontal - believe that EOG has some acreage in that area but R Lacy has a good position too
I'd missed that R Lacy well because it's just across/on the line in Cherokee Co. After you pointed it out I went back and found where EOG had made a partial assignment in 2014 to Lacy the rest of the WI group that recently formed that Henning Unit.
Good info - now to wait and see what the R Lacy well does. I was permitted as a horizontal and the rig was on their 6 weeks before moving off in mid January
O'Benco is currently drilling a well on the south side of FM837 northeast of Brushy Creek targeting the Rodessa (Permit 814126). I have a particular interest in the well as the end of the horz. portion is approx. 1/2 mile north of land in my wife's family.
I'd appreciate it if someone could send me the permit no. or other RRC ID info on the R Lacy well so I can track how well it produces.
That R Lacy well is called the Henning Unit, Permit #809252, API 31539.
Haven't seen anything on a completion report or production information.
Thanks much Dusty.
Rumors are the R Lacy well had a lot of mechanical problems and was P&A'd
Wow, with what Lacy must have spent I hope they got some good logs.