Just an update on our lease. Apache did not execute the 2 year option on our oil and gas lease. Apache said they needed to drill other areas so they released the lease.
I contacted several of the big operators with information but all of them said “that’s Apache territory” we are not interested. Also if someone would drill in that area, Apache has the only pipelines in the area thus making transportation costs out of sight.
So bottom line we are not able to lease and Apache has us in holding positon even with out a lease. We are at Apache’s mercy until they decide to lease our minerals again.
I hope this doesn’t happen to any of your minerals.
Just wanted to share what Apache is doing in that particular area. It is really an unfair situation but nothing we can really do about it.
This is not really unfair because Apache has the right to make business decisions with regard to its development of the Alpine High area. Apache has massive acreage under lease and must coordinate all the varying expirations and drilling obligations. It would not make economic sense for Apache to pay to extend your lease knowing that it will not have time to drill and then have to pay again for another new lease. Many members of this forum also own minerals in this area which are not currently under lease and are aware that no other companies want to lease and drill in this area. At some point, Apache or a successor company will come back and lease when they are ready to drill. Leasing minerals is requires a long-term perspective and sometimes there is a short time between leases and other times there can be decades. Think of the positive here - Alpine High is a gas area at this time and gas prices are low. You and your family would be better off with future production at higher prices.
Thank you for your response. I manage 30 tracts here in East Texas for my family, so being “blocked in” is a new experience. We do have seasons of “no leases” and then things pick up. Back in 2008 the Haynesville leasing was crazy.
I am keeping an eye on drilling permits around us. Hopefully other companies will move into area if Apache doesn’t develop it.
Thanks again for the input.
Contact Primexx…they have a network of gas gathering lines in that area and are fast building their gathering network to rival anything Apache has. Second to that, hit up Oxy…they are interested in that area. Noble has wells near Block 13 section 300…so talk to them too.
I did contact Primexx and they were not interested. There is a Section 300 to the north in Block 13 and ours is Section 300 P Ruiz which is south and to the west of Hwy 17 near Saragosa. I will contact Oxy
Thank you so much for your response.
On the west side of Saragosa along the FM that runs through Saragosa
and connects to the north service road of IH-10 Apache, Primexx, and
another big pipeline company have built parallel nexi for their gas gathering, oil gathering, and produced water gathering systems to cover
the whole area. 30 inch lines, 24, 16, and12 inch lines crisscross that whole area on the curve, so have patience…they WILL be back offering
to drill up the Ruiz 300. I watched them build the nexi.
Liz_M – Vicki_M must be referring to A-555, 3.8 miles NE of Balmorhea. Apache’s 30-inch mainline runs right across that section! I’m floored that there are two (2) SEC 300s in BLK 13 H&GN… weird. Later – Buzz
Where the Ruiz Section 300 is located, they (Apache) recently determined there are 11 producible zones under there along Toyah creek that go down as far as 22,000 feet! You bet they’ll be back with offers as the price of oil climbs back near $75/bbl.
Thank you, Buzz. I have been totally confused by the location. I could only find one Sec. 300 when I did a search on the Public GIS Viewer - but it didn’t seem to be right. Two Sec. 300s seems unnecessarily confusing! It’s not as if the state could run out of numbers…
Vicki_M - completely ignore my post! Very sorry!
Section 300, Felipe Ruiz Survey, P Ruiz Original Grantee (A-555) is NOT in Block 13. It is located over 10 miles southwest of Section 300, Block 13, H&GN RR Co. Survey (A-1769). Section 300, Ruiz, A-555 is deep within Apache’s Alpine High area. It is very close to Apache’s Breithorn well (permit) and Weissmeis wells. No other companies are currently active there. There are never two same-number sections in the same block. If possible, the Block 13 reference should be deleted from the title of this chain.
Why doesn’t our Government do a digital overlay survey of the United States with sections assigned a unique digital number so there won’t be any confusion about different names of surveys, no block numbers, etc?? Sure would simplify things.
:stuck_out_tongue_closed_eyes:Hey, Lawrence, the gov is shut down! Bwahahaha…
Linton
I really appreciate the information on the area.
If you look at Block 13 on a map you will see that Section 300 P Ruiz is located in Block 13. It has been a headache for landmen in past years when we have leased it. It is strange to have two Section 300’s but it does exist. We always add the P Ruiz to the description with the Abstract # to help stop confusion. My family has owned this property since 1905 and it has always been listed as Section 300 P Ruiz Block 13. On all the maps I’ve seen the Section 300 P Ruiz and Section 301 P Ruiz are always outlined a little darker than the other sections - maybe to set it apart from Section 300 up north in Block 13. Once again, thank all of you for your input. I really appreciate it.
We own the 116 acre tract directly north of that Apache pipeline in Section 300. Hopefully one day we will be connected to it. Thanks for the information. I have handled our properties here in East Texas for 30 years so I’m real familiar with formations etc. here in Harrison County. Reeves County is a whole new area for me and I really appreciate the knowledge that is shared on this site.
Says alot about the economic outlook for Alpine High as well. Leasing a bunch of acerage, defining the core, and letting the fringe expire is nothing new but if the rock was anywhere as close to as good as the Permian-age rock nextdoor others would find a way in despite the infrastructure outlook. Alpine High was a great headline maker for Apache but having to live up to the hype will be an entirely different feat.
If you look at the GLO records, you will see that Abstract 555, Section 300, Felipe Luis Survey is not in Texas Records as being Block 13. It is adjacent to Block 13. There are 2 sections of acreage which was filled in after the Block surveys. You are using an incorrect legal description to refer to Block 13. In GLO archives for A-555, you can see that Felipe Ruiz came to Republic of Texas in 1837 and was awarded 1280 acres in 1847 by the State of Texas - sections 300 and 301. Sections were patented by Joseph Polley in 1875 as being in Pecos County and described as beginning at the south end of Block 13. This is likely the source of confusion about being in Block 13. Sections were moved to Reeves County when it was created in 1883.
If you look at GLO Land Grants for A-1769, it is listed as Section 300, H&GN RR Co, Block 13.
Thank you for the information regarding AB 555 - Felipe Ruiz - Section 300.
I think that it is a really interesting part of Texas history. The GLO has been scanning the original land files, grants, patents etc. for land all over Texas. When you look at the records, you can see how fragile the paper is after 150 years or more. This is a long-term project and GLO has many lands that have not yet been scanned.