Sure Andy, our leased acres are T-141N, R-105W, sections 25 and 26 and T-141N, R-104W section 28. Looking back on the leases in the past, even after the original cores were drilled in the late sixties, some were as low as .80 cents an acre, a far cry from the nearly 2,000 dollars today.
Charles:
If you go to the map you can slide it around with your mouse. When yo get to your section click on it ot what ever part of that sec you are in and an owner screen will come up.
Zeb:
Approx how many acres were leased near Beach?
Andy, I am unfamiliar with the geology of range 103, we are actually “neighbors” in T-141. The well being completed now is a horizontal well on T-105, the remaining five wells to go down in range 104W will be vertical wells. The geology of range 104 is starkly different from 105 however past and present lease amounts are the same. Time is on your side in this matter. My feeling is that as things develop acre bonus will continue to rise. Our lease term is for five years and the change over that period of time could be considerable upon re-negotiation. My personal feeling is that your offer from Empire is low considering that we are neighbors and have negotiated considerable more than that amount. I will be the first to say that I am no expert in these matters but have been following these issues for a few years now and my impression is that Empire typically makes low offers. While the offer from Empire might be the best on the table at the moment, were I you I would consider contacting Whiting to see if they would tender you an offer before making any decision on the Empire offering. Whiting has made huge investments in infrastructure in terms of pipeline and gas processing which should be completed in the next two years, they have their sleeve rolled up and are drilling their lease holdings.
Richard:
My question is when I get to the owner screen, I am unable to get any information about the owner. I moved my mouse to my section and had success gettingto the owner screen on the left then clicked on owner but not info.
Yes, same here?
Just read an article in the Bismark Tribune regarding the EPA and their possible actions which will occur in January of 2012. Mr. Lynn Helms, Director of the ND Dept. of Minerals, paints a bleak future on the action which might be taken by the EPA in regards to hydraulic fracturing. Mr. Helms went on to say that a possible moratorium on fracking could occur as a result of these actions. He further stated that this could extend up to 24 months until States adapt proper rules regarding fracking. If such action occurs, it would set the drilling program back to an unbelievable level. It seems that there are always new problems cropping up in this industry. I’m just hoping that Mr. Helms is wrong in his predictions.
I doubt a moratorium will occur seeing how we are in the beginning of an oil embargo
http://bismarcktribune.com/news/state-and-regional/epa-says-fears-a… Here is a response to Helms
It was 2010 Andy, but I feel that the timing of our lease agreement really has nothing to do with surrounding leaseholds. There are just so many other factors that can come into play. I can tell you from our experience that Whiting is not interested in pursuing a leasehold where there are undermined interest holders or issues in division exist. In other words, if the rights for a particular parcel have at some point been probated and there are undetermined interest holders or those holder can not be located and if they can be located but will not all sign the lease it will not go further. It sometimes take a long time to cross the t’s and dot the i’s but Whiting does just that.
We’ve got a long history down in Ward County TX with Whiting, Zeb, and I know they’re a good outfit to deal with.
Another twist to Compton Oil
http://www.vancouversun.com/business/Compton+Petroleum+entire+manag…
A PRIME example of how to kill any possible chance of production from your lease is the statement by Sanchez below. A company who at this late date has not formulated plans nor do they have the capital to produce from the lease. As development continues to go around you and pass by while while Sanchez takes the time holding your lease static while they get their ducks in a row… just a word of caution…
Steve:
I have dealt with Great Northern in the past and everything worked out fine. I dealt with a guy named Jeff Sparrow and payments for the bonuses were made prompt and on time. They are just another lease broker but I had no problem with them. Be sure and find out who they are leasing for if you deal with them.
Zeb, ahhh haaa…
thanks for the caution!
Steve:
Thanks for the feedback. I live in Texas and have been around the oil and gas industry for 20 plus years. I know what your saying in that the media loves to stir up people in regards to the oil business. As far as I know, it’s business as usual in the ND area as we speak.
Zeb, thanks for all the info. I think I will contact Whiting directly as you suggested. For sure we’re not going with Empire’s present offer! Incidentally, Most of our interests are in R104W. At this point, Empire is only talking about Sections 14, 26, 30 & 32. Seems curious in view of your lease that they haven’t mentioned Sec 28 where we have interest in the E/2.
Thanks Zeb, I just sent a general inquiry to Whiting on their website. We’ll see if it gets to the right people. You said that lease was signed “last fall”. Did you mean 2010 or 2011? If 2010, maybe they’ve decided not to pursue that section further at this time.
Steve:
Thanks for sharing your article. This sounds alot better than the one I originally read. Maybe Mr. Helms was trying to get everyone’s attention to the matter of fracking. Sounds like the EPA will require future changes and this would be a workable situation. Also, remember that 2012 is an election year so you know “Politics” will be a major factor in this issue. It is noted that Mr. Helms article was published on 11/27 and the EPA response was published on 11/29. They didn’t waste any time in their response.
Charles,
I have lived in Alaska since 1970 and have become immune to oil industry and political shock stories in the media. The media is now the conduit by which the oil companies are blamming the Alaska Tax structure for their cutting back on exploration and development. Truth is there is a lot more to it than just taxes. A day doesn’t go by now without adds or stories showing oil related buisnesses moving to ND and giving credit to ND’s more oil freindly tax structure.