Does anyone know if anything is going on in Poteet?
I have a lot of information to relate on this area, but need a day or two to pull it together for this forum.
My family has some 662 mineral acres in this general area (NW of Poteet). According to our geologist, this area has fantastic potential, yet it seems that none of the O&G companies have yet come to this conclusion.
Unfortunately, they all seem to feel that it is "out of the so-called OILY ZONE to the south in Atascosa".
I will follow-up on this.
P. E. Smith
Alkmaar, The Netherlands
Thanks, Paris Eugene. I am very interested in any information that you have.
Best,
Matt
Matt,
Even though I live in Europe, I've spent an inordinate amount of time on Atascosa property matters over the past two years. My family owns 664.55 mineral acres ±7.4 miles NW of Poteet and about ±6 miles south of Somerset, off FM 476 (near intersection of Peach Tree Avenue and Newman Road. This tract was an original State of Texas Land Grant in 1848 to a family member. Current ownership has remained in the family over the generations, with surface sold in 1968, and minerals retained. I am the "lead" for our interests.
We'd obviously like to get it leased, but this is easier said than done, as the conventional wisdom is that everything at this level (or latitude) lies about 10 miles north of the current Atascosa "play", and is out of the "oily zone" where current activity is concentrated.
However, our consulting (Bexar County) geologist who is a reviewer for the National Science Foundation and for the Association of Engineering Geologists, with personal holdings in Atascosa County, feels it is just a matter of time until the general area around Poteet is recognized. He says our particular tract is sitting on top of the Pearsall shale, as well as Austin Chalk, Buda Limestone, and the Olmos and Escondido formations.
On January 18th he said: "the level of activity is truly amazing...drilling activity is still pretty much confined to the southern and central parts of Atascosa County, due in part to a lack of available rigs, equipment and drilling crews throughout the entire Eagle Ford play area...the northern boundary of the previously defined 'Oil Producing Zone' has moved north and now encompasses a part of northern Atascosa County....as these boundaries are not fixed and change as new exploration and subsequent discoveries are made...I believe you will seen an increase in leasing activity in your area.
to continue....
There seem to be two significant developments recently: (1) Cheasapeake is leasing in Frio County (west/adjacent to Atascosa, as you know) at a latitude which our geologist says if one extended a theoretical line about 20 miles eastwards, it would "roll right over" our interest. Therefore, we assume/hope that if they get production at this latitude, it could be promising. (2) EOG purportedly has completed a well in the Pearsall Shale, producing ±3,000 bbls/oil daily. The significance of this is that the Pearsall shale underlies Eagle Ford by 600-700 feet and was heretofore known/thought to contain primarily dry gas. Our source says: "The discovery of oil in this strata is currently generating 'intense interest' in the O&G industry, including new leasing activity. It could well be promising in northern Atascosa County", he says.
That's about all I know for now. Matt, if you source additional information concerning activity in this part of Atascosa County, assume you'll post it here.
Cordially,
Eugene Smith
I inherited a small portion of the mineral rights of 785 acres in SW Atascosa Couty and Frio County. So it may make it's way north, its about 30 miles southwest of Poteet, and in the mineral/drilling industry, it might just as well be 10,000 miles, it all depends on what's in the ground.The prices we've been offered have increased over the past couple of years. Its currently under lease until late this year, with nothing found as far as we know, but Cabot Oil & Gas have since been trying to buy our mineral rights outright, not lease them. So that is a good sign. Doing the math by what they offered me and my small share, they offered about $2.4 Million for full title and ownership of the the 775 acres October 2011 (about $3K an acre, but you lose all future rights and royalties). No one close to me took them up on the offer as far as I know, but I have no idea if other sold their share of their rights not not. The smallest share after generations of dilution is only 1/1300 of the entire survey.
Paul
Dallas
Paul, we inherited small portion of 800 acres in sw corner of atascosa with a sliver crossing to frio…Cabot did the same with us first leasing then making full rights offer at 2000/acre…we declined…my family owns 50 % of mineral rights split a few ways through family members. We all declined the offer and even they agreed that was a good decision…I appreciate your confirming that that’s a good sign…living in Florida it’s really difficult to get much information…our lease expires dec but they have option to renew. Any thoughts appreciated.
Paul Eiserloh said:
I inherited a small portion of the mineral rights of 785 acres in SW Atascosa Couty and Frio County. So it may make it's way north, its about 30 miles southwest of Poteet, and in the mineral/drilling industry, it might just as well be 10,000 miles, it all depends on what's in the ground.The prices we've been offered have increased over the past couple of years. Its currently under lease until late this year, with nothing found as far as we know, but Cabot Oil & Gas have since been trying to buy our mineral rights outright, not lease them. So that is a good sign. Doing the math by what they offered me and my small share, they offered about $2.4 Million for full title and ownership of the the 775 acres October 2011 (about $3K an acre, but you lose all future rights and royalties). No one close to me took them up on the offer as far as I know, but I have no idea if other sold their share of their rights not not. The smallest share after generations of dilution is only 1/1300 of the entire survey.
Paul
Dallas
Clay:
Your land may be part of ours - the Austin & Williams Survey 963, A17 in Atascosa County and the Caroline Hindes Survey 1816, A1218 Frio County. I believe they total some 775.73 acres or so. I believe it was my great uncle on the "Uhl" side of the family purchased it with a relative in 1942 or 1943.
Paul
If your geology is out of the oil window in the Eagle ford then the Pearsall formation is one to watch. It is a carbonate rock sandwiched between a upper and lower black shales. Below the eagle ford there is the ausitn chalk, Del rio and Georgetown formations, which are not very thick here. then the Edwards lime, Walnut clay and Glen rose. Pearsall lies below the glen rose there are several different zone with good potential here. local faults and geologic structure are more important to plays in these rocks and not so much in the Eagle ford which is more of a "sheet play"
Paul, Your land is definitly part of mine through my great uncle Alfred Uhl. There were actually
four Uhls involved, three brothers: Milton, Alfred, and Gilford and a LaRue Uhl. (not sure who that is).
Paul Eiserloh said:
Clay:
Your land may be part of ours - the Austin & Williams Survey 963, A17 in Atascosa County and the Caroline Hindes Survey 1816, A1218 Frio County. I believe they total some 775.73 acres or so. I believe it was my great uncle on the "Uhl" side of the family purchased it with a relative in 1942 or 1943.