The lease is from 2008. My aunt made a mistake and signed the 2 yr ext. If you need any confrimation on why not to go more than 3 yrs here it is. Of course the 2 yr option was picked up in Sept when the original term expired. I'm not going to elaborate on the bonus $ but lets just say they were in the real low 3 digit range. No current production on the property. I am probably 1.5 miles from the Cementery towards Peach Creek. I have been approached for a Salt water injection well not reclaim well. Actually have had a couple people interested in Salt Water well.
For clarification my friends.. the area I outline includes property belonging to more than just the J.D. Moore Estate, to include a couple of family relatives and family friends.
Thanks for the reply. Very good info. Do you have any knowledge of who is wanting to put in the RV park and is it on 1680 or off hwy 90. Who would you reccomend as a good oil and gas attorney that has knowledge of salt water disposal also. Did you ever look over the lease I sent to see how it stacked up to other leases you have seen.
Thanks
Don
Charles Edward English said:
Don,
Understandable! And, for the most part this is what we will all face with the pressed facts of leasing! As, you well know and understand now, it's all about the lease, because the bonus money can be a short sight of things if you've not been involved at this level before, and this certainly will happen again and again! Remember, these same areas held production of a sort in the 1930's & 1940's before Eagle Ford and Chalk wells are being produced in this same area too! And, many of these held by production wells today are operating from 1940's leases before the "Pugh Clause" of 1946, but thank goodness for depth language in the lease! The lease is the grail of things and not the "bonus" because you can lease in the real low 3 digits and if you have a crappy lease, a crappy owner/operator, or production and poor transportation/gatherer operations and etc.; nothing matters if you cannot develop your production because of all the crappy sources! It does mean a thing! So, there are all sorts of things which needs addressing in the lease, which brings things in concert and that which we all seek...a royalty check! What I want to see is how these companies will long behave, as they near lease expiration. Will they 1) let the lease expire, 2) flip the lease, or 3) move to hold by some "obscure" production and etc. Because, many think that the real company is always dealing with the landowner when many landmen work as broker/agents who research and hold the land for said company like a ZaZa Energy LLC who is the Operator which gives directives by and through their landman and they have 10% interest whereas the 90% interests is held by the deep pockets who actually calls the shots! In otherwords, there are lot of players and God forbid if some unforseeable circumstance is not in the lease, then the operatives know they will most times get away with it all, just as BP did in Louisiana. So, Don there is enough blame to go about, but I hope that I can be a part of sharing a bit of information, and again thank God that my Great Grandfather put things in writing in 1941 lease which is operative this date at 2250'! So, these companies are looking well past a you, or a me, because of that darn lease. So, if there is no current production on your property at the present time does not mean it will not happen, and what I recently learned from the operatives of Southern Bay last Saturday off Cal Maine Road and behind Crabb Ranch just south of Hwy 90 East; they are being asked to drill the vertical to a depth and cap for further work by Southern Bay. This will benefit the company in my opinion to hold or maintain the lease until further exploration, but this could also cause them to allow the lease to run and flip and etc. that same lease. Now, I were approached last week to sale my 10 acre tract for a low amount for a Salt Water operation and when I asked him about leasing instead, he were reluctantly not interested! Now, I've called the Railroad Commission and visited their site on Salt Water Disposal/Injection Wells for more informative information and who grants the permits for my personal knowledge. I've been told of the perfect location which is assessible for both a RV Park and Salt Water Disposal opportunities. Now, my mind tells me that activity is going to increase in this local which is very close triangle of Lavaca County, Gonzales County, and Fayette County which a influence with the RRC stated that "oh your in that high impacted Eagle Ford Shale area!" I understand that the Hardaway Ranch has been approached between Peach Creek and Andrew/Wesley Chapel Cemetery last month about leasing, Barbara states that the Moore Estate has ongoing pike line approaches, and Sklar Ranch has stated that his attorney has 3 seperate interested operatives but no bonus in hand, and RV Park for 60 units and Salt Water Disposal/Injection Wells sought has one thing and one thing in common...and that's Old Moulton Road or CR 1680! Before, it was all about gas and now condesate activity, but since the 2 wells drilled in Flatonia, TX approximately 5 - 10 miles round about we have seen a trending northwards westerly and easterly which fracking I'm told can go for not less then 1 mile in any direction. Now, it seems that the buzz is about that "black" gold at or more then $100.00 per bbl, and the announcement of 2012!Remember, that Gonzales Extension with Texas A&M will host it's first series of "Instant Wealth Seminars" in early January 2012...contact Dwight Sexton, Extension Agent and UTSA Business Institute are rewriting the impact of the Eagle Ford Shale on Texas economy and they too will host an Eagle Ford Shale Play conference in Spring 2012, because their prediction again undervalued the impact of the Eagle Ford Shale. Remember, the impact just this year to Gonzales County is stated to be 640% for 2011 (San Antonio Express-News) compared to previous year end, and if you think that the investors just learned this, then we have not paid attention to EOG CEO's webnars and maps. So, I write these messages in hopes that we all learn how to become better steward over our resources and we unite, because there is no protection(s) for land & royalty owners...but a "lease" and our arbitration abilities, and that can not only take money, but years! But, always seek the advisement of an Attorney when entering a contract and making your decisions. Charles
Don Purswell said:
Charles
The lease is from 2008. My aunt made a mistake and signed the 2 yr ext. If you need any confrimation on why not to go more than 3 yrs here it is. Of course the 2 yr option was picked up in Sept when the original term expired. I'm not going to elaborate on the bonus $ but lets just say they were in the real low 3 digit range. No current production on the property. I am probably 1.5 miles from the Cementery towards Peach Creek. I have been approached for a Salt water injection well not reclaim well. Actually have had a couple people interested in Salt Water well.
Thanks for the reply. I will check with the TX Land and Minieral Assoc on the attorney referral to see what they have.
Don
Charles Edward English said:
Don,
Information I received is that the location originally sought for the RV Park was along Barbara's identified Southeast quadrant of I-10 East but South of Hwy 90. However, the delimma is that they would have to obtain 2 separate permits from TexDot for private use of their right-a-way, which would be expensive and highly unlikely. Therefore, they then attempted to purchase land with 100% minerals along Old Moulton Road (CR 1680) right at the Southwest quadrant of I-10 East for a low ball amount, claiming it was for their son who were 39 years old and wanted to put a trailer on the property so he would not have to drive back and forth! Now, for as an good Attorney and my recommendation thereof, has yet to be explored! I've used numerous Attorneys in my experience whereas not one has done an excellent job in my opinion. However, they do the job, but they are humans and we cannot do the job without a lawyer. Because, it's stated that one who represents him/herself has a fool for a client. I'd hope that others would come forth with the names of lawyers in the area. I did contact a lawyer in Schulenburg, TX and Gonzales, TX as a referred by the Waelder, TX folks. Not sure if the Lawyer Referrel Service is a source, but it's a recommended source. No, I've not reviewed the lease you've provided and I do not have a current lease either to share at this present time. Maybe, we will obtain a list of Eagle Ford Shale Attorneys from another county and/ or through the instant wealth seminars held in Gonzales County Extension beginning in January 2012. I will review the lease soon. Charles
The location of the proposed RV park's entrance was actually never to be off 1680, the property does not connect to 1680. Apparently, I misspoke in my first message w/ the map, as the J.D. Moore Estate touches Hwy. 90 and I-10, not 1680. I am not sure where Charles' information is coming, however, I can say I am closely related to the landowners who conceived the RV Park and he is a 53 year old man and has no son that is 39 years old. Being of close relation to the landowners, I can tell you without a doubt land on 1680 was not a spoken option for their business as it does not connect to 1680 and is not conducive to an RV operation. I've found, through recent communication, that in fact the land to their immediate west, which does butt up to 1680, is owned by a banker from San Antonio who has plans for a vineyard/winery operation for his acreage. But more importantly and to the point of oil and gas, as far as what I have been able to understand is that companies have approached individuals in this area for $1,500 to $2,000 an acre for three years. I hope this helps in our understanding of oil and gas lease tragectories.
Thank you,
Barbara
Don Purswell said:
Thanks for the reply. I will check with the TX Land and Minieral Assoc on the attorney referral to see what they have.
Don
Charles Edward English said:
Don,
Information I received is that the location originally sought for the RV Park was along Barbara's identified Southeast quadrant of I-10 East but South of Hwy 90. However, the delimma is that they would have to obtain 2 separate permits from TexDot for private use of their right-a-way, which would be expensive and highly unlikely. Therefore, they then attempted to purchase land with 100% minerals along Old Moulton Road (CR 1680) right at the Southwest quadrant of I-10 East for a low ball amount, claiming it was for their son who were 39 years old and wanted to put a trailer on the property so he would not have to drive back and forth! Now, for as an good Attorney and my recommendation thereof, has yet to be explored! I've used numerous Attorneys in my experience whereas not one has done an excellent job in my opinion. However, they do the job, but they are humans and we cannot do the job without a lawyer. Because, it's stated that one who represents him/herself has a fool for a client. I'd hope that others would come forth with the names of lawyers in the area. I did contact a lawyer in Schulenburg, TX and Gonzales, TX as a referred by the Waelder, TX folks. Not sure if the Lawyer Referrel Service is a source, but it's a recommended source. No, I've not reviewed the lease you've provided and I do not have a current lease either to share at this present time. Maybe, we will obtain a list of Eagle Ford Shale Attorneys from another county and/ or through the instant wealth seminars held in Gonzales County Extension beginning in January 2012. I will review the lease soon. Charles
THANKS FOR THE UPDATE...NO NEWS ON THIS END ...MY ATTORNEY HAS NOT CALLED YET ON THE LEASE...WAITING ...MERRY CHRISTMAS ! Charles Edward English said:
Folks,
Early Friday morning in my inspection around the area, I noted the operation just Northeast off FM 2762 (a hair north of I-10 East), shaping. The roadway work lied dormant for many months and now red tanks and other operation equipment is making it way to begin drilling, just north of Prototype (?) Road in Fayette County toward's Elm Grove. Charles
Great info. Couple of things out of this. Do you think this indicates the oil companies are going to be less interested in future leasing or still very interested if the lease price is fair? How does the drilling of the vertical wells inable the oil company to hold the lease if there is no production from them because the rig shortage is not going to be resolved very quickly? Also seems, as we all are hoping for, is cooperation between the unleased landowners to stick together and try to negotiate better deals on smaller tract that are combined together will be the best for eveyone. Don
Hi Charles. Please clarify what you meant by stating that Zaza seems to be "locked". Not sure that I understand. You stated: "Yet, the one's like a ZaZa Energy LLC who operates Crabb Ranch seem to be locked and a Southern Bay and other operatives seem to be more placed in this EF play in the oil window." Keep up the great posts. I enjoy reading them. Thank you.
Charles Edward English said:
All,
Update...Spoke with the "powers-that-be" on Tuesday, December 13, 2011 at 2:09 p.m. and 2:34 p.m. about possibilities and what forcasts for a future for our region. Our delimma for those of us who have not been either drilled on or received a "bonus" is guess work on all our parts, in my opinion and here's why. First, some companies are late to the game and prospects of being able to acquire enough land to move forward on drilling, where it's cost effective. And, second each EF well cost approx. $12M or more as in Crabb Ranch and therefore our region will not be as easy to move forward without the involvement of Attorneys on either side, lands being held, and etc. will drive the cost before anyone can drill with clear title is what I gathered. Yet, the one's like a ZaZa Energy LLC who operates Crabb Ranch seem to be locked and a Southern Bay and other operatives seem to be more placed in this EF play in the oil window. Remember, I spoke with those who represent Southern Bay on last week and Nabors Drilling Co. has the expressed contract to begin drilling vertical wells and capping them for Southern Bay to come at a later future date to drill horizontal. Now, with this messaging is why I concern myself with those who have not been leased within the donut and/ or on either side, because we too need the contiguous and square mile opportunity to be approached by an oil company, receive a good bonus, and enjoy great production for many years! Or, reactively will for some strange reason given will we stand by and see our neighbors get handsomely "rich" and we never get our share. On a happy, note I'm told that Crabb Ranch numbers are looking optimistic and good as they slowly come in and I will get an additional update by Friday's call. Now, I understand that Nabors Drilling Co. is drilling the well along I-10 East & FM 2762 (Elm Grove) area, which I assume this is Southern Bay operation, also. Does anyone know more? Or, is this what will drive the bonus monies through the roof higher than $1,500.00, $3,000.00, $10,000.00 etc. that Mr. Green in earlier blogs warned us about by future lease opportunities? Remember, this is information I've gathered from actual face to face and telephone conversation for this region and I'm optimistic that it's all good! Charles
The forum is quiet. Have you guys heard any news lately. There's been a little discussion around property East of Flatonia; but, nothing on the West or North Side. If the money ever starts to flow again, I have finally pulled together all the properties (>1650 contiguous acres) surrounding my FM 1115 place. Assuming these guys use the calendar as their budget year, maybe things will warm up at least in the first quarter. For some reason Southern Bay and evidently ZaZa are in no hurry to establish production on their basically completed wells.
We'll see!
Charles Edward English said:
All,
Had issues with my computer, whereas HP repaired 11 things on it in CA and it only took one week; most appreciative. Now, I want have to use the android with the little key pad! Hope, all anticipating the big news in 2012 in and around the Gonzales & Fayette Counties areas! I've just spoken with the folks behind the Crabb Ranch off Cal Maine Road for Southern Bay who is drilling a total of 14,000', whereas they will drill approx. 8,500' then approx. 5,500' horizontal. They told me that they might drill approx. 1 mile in any direction out from that point and that they have been asked to drill numerous unknown points (wells) while in the area for Southern Bay, but they would not disclose those points, but assured me that when a standing operation is set up in the very near future, we would know because we then could walk in and sign leases directly without going through a third party landman, would deal directly with the company. They continued to exclaim that the Barnet Shale operates in this fashion with royalty owners who aren't leased and that they are being told that there is a lot of work and drilling to be done in the Flatonia area too! Now, they tell me they came in on a Tuesday and by last Saturday they were in full operation and will be looking for the additional drilling opportunities soon! Crabb Ranch is beginning to become more uniformed and they are burning the natural gas because I'm told they are only interested in Eagle Ford Shale oil and the natural gas isn't cost effective at this time. Again, people it seems that they are after the crude, sweet oil! It seems that smaller oil companies are diversifying and getting into other accomodating ways to the larger companies, because I was contacted about a small track of land on outside of Waelder for a RV Park and another for a Salt Water operation for restoring fracked water this week. I understand that the Salt Water Operations are something that is up and running throughout the Eagle Ford Shale Play. So, this is another source for land use and diversifying one lack of bonus monies and/ or additional opportunities for us to wise up and evaluate our one in a lifetime opportunities in my opinion. I did not get the full jest of Carol's location on Old Waelder Road, but I drove Old Waelder Road, CR 456 and noted a few addresses tonight 4205,3419 Old Waelder Road and Doublegate & Old Waelder Road is all around the I-10 East Park Area. Is this where Carol's Ranch lands are? Who did Carol state is either the Operator and/ or Oil Company? I know she stated that OGM is the brokerage/landman. And, who is the Attorney that she is using and/ or who is a good Oil & Gas Attorney(ies) beside Mike Steinhauser of Flatonia, Texas? So, It seems that everything might seem quiet at this time, but I see and hear of activity inching forward, but North of Lavaca, Gonzales, and into Fayette Counties. Do anyone know of any meetings, and groups for our area of interest for the Austin Chalk or Eagle Ford Shale Play? Texas A&M Extension in Gonzales County will host a series of meetings to include education on opportunities and instant wealth in January 2012, because I understand that Gonzales grew is efforts some 640% increase, because of the exploration. Now, Dwight Sexton is the Extension Agent for Gonzales County and he is working hard to put these efforts together, just as Karnes Extension held successful Instant Wealth Sections in the past which are most beneficial for us all.
I figured you meant waelder area but just wanted to clarify it also. If you ever know a couple days ahead of time when you will be in Wealder area I can arrange to get down there and meet or we could meet in Luling. One quick question. I have someone who is very interested in leasing only the depth down to and including the Austin Chalk on my I-10 / hwy 97 property. What is your thought on that and the effect on a future EF lease? I think they would actually proceed with drilling in a 6 to 12 month time frame. Would I be messing up the possibility of a lucritive lease for EF rights if that every comes to be?
Don
Charles Edward English said:
Don,
Clarification. I were not in the Austin, TX area, but the Waelder, TX and Old Moulton Road communities. I will not be in Austin, TX and have no immediate plans at this time. Hope this clarify the confusion on our earlier converation. Again, I hope that all understand that these are my thoughts and opinion and should not be relied upon without seeking the advise of a competent attorney of their own choosing and is an opportunity for enlightenment to the best of my personal ability on opportunities in the region of Gonzales and Fayette Counties respectfully. Keep the posting, because your post keep me aware, since I live in San Antonio, TX. Charles
Don Purswell said:
Charles
Sorry about not getting back to you about friday but I was out of town Friday. Let me know when you might be in the Austin area again.
Charles seems to have all the info latley. I don't have any new news.
Don Bigfoot said:
Charles & Don:
The forum is quiet. Have you guys heard any news lately. There's been a little discussion around property East of Flatonia; but, nothing on the West or North Side. If the money ever starts to flow again, I have finally pulled together all the properties (>1650 contiguous acres) surrounding my FM 1115 place. Assuming these guys use the calendar as their budget year, maybe things will warm up at least in the first quarter. For some reason Southern Bay and evidently ZaZa are in no hurry to establish production on their basically completed wells.
We'll see!
Charles Edward English said:
All,
Had issues with my computer, whereas HP repaired 11 things on it in CA and it only took one week; most appreciative. Now, I want have to use the android with the little key pad! Hope, all anticipating the big news in 2012 in and around the Gonzales & Fayette Counties areas! I've just spoken with the folks behind the Crabb Ranch off Cal Maine Road for Southern Bay who is drilling a total of 14,000', whereas they will drill approx. 8,500' then approx. 5,500' horizontal. They told me that they might drill approx. 1 mile in any direction out from that point and that they have been asked to drill numerous unknown points (wells) while in the area for Southern Bay, but they would not disclose those points, but assured me that when a standing operation is set up in the very near future, we would know because we then could walk in and sign leases directly without going through a third party landman, would deal directly with the company. They continued to exclaim that the Barnet Shale operates in this fashion with royalty owners who aren't leased and that they are being told that there is a lot of work and drilling to be done in the Flatonia area too! Now, they tell me they came in on a Tuesday and by last Saturday they were in full operation and will be looking for the additional drilling opportunities soon! Crabb Ranch is beginning to become more uniformed and they are burning the natural gas because I'm told they are only interested in Eagle Ford Shale oil and the natural gas isn't cost effective at this time. Again, people it seems that they are after the crude, sweet oil! It seems that smaller oil companies are diversifying and getting into other accomodating ways to the larger companies, because I was contacted about a small track of land on outside of Waelder for a RV Park and another for a Salt Water operation for restoring fracked water this week. I understand that the Salt Water Operations are something that is up and running throughout the Eagle Ford Shale Play. So, this is another source for land use and diversifying one lack of bonus monies and/ or additional opportunities for us to wise up and evaluate our one in a lifetime opportunities in my opinion. I did not get the full jest of Carol's location on Old Waelder Road, but I drove Old Waelder Road, CR 456 and noted a few addresses tonight 4205,3419 Old Waelder Road and Doublegate & Old Waelder Road is all around the I-10 East Park Area. Is this where Carol's Ranch lands are? Who did Carol state is either the Operator and/ or Oil Company? I know she stated that OGM is the brokerage/landman. And, who is the Attorney that she is using and/ or who is a good Oil & Gas Attorney(ies) beside Mike Steinhauser of Flatonia, Texas? So, It seems that everything might seem quiet at this time, but I see and hear of activity inching forward, but North of Lavaca, Gonzales, and into Fayette Counties. Do anyone know of any meetings, and groups for our area of interest for the Austin Chalk or Eagle Ford Shale Play? Texas A&M Extension in Gonzales County will host a series of meetings to include education on opportunities and instant wealth in January 2012, because I understand that Gonzales grew is efforts some 640% increase, because of the exploration. Now, Dwight Sexton is the Extension Agent for Gonzales County and he is working hard to put these efforts together, just as Karnes Extension held successful Instant Wealth Sections in the past which are most beneficial for us all.
I second that motion! Add me and let's make a threesome.
For some reason, I've not been able to see any of these conversations until now. Maybe the design of the program: but, I missed the updates. Don Purswell said:
Charles
I would love to sit down with you and talk. Any possibility of that. I'm not sure where you live.
Thanks for the update. I'm going to take a run over to take a peek at the Crabb well site and the Southern Bay-Cal-Maine location. While I'm out, I'm going to see if Southern Bay has started fracking the Rightmer Muldoon Well.
Will report later this evening.
Charles Edward English said
All,
Update. On last Saturday, spent time in and around the area of Waelder, Texas, Crabb Ranch, and Old Waelder Road. Still the only one I'm aware of with a reason lease in hand is Carol Barre on Old Waelder Road around the I-10 East Park area which is the 4000 block of Old Waelder Road (CR 456). I've not seen any additional movement West or North of the area, since many had been leased 1 year to 1 1/2 years ago by then Scout Energy and now OGM landmen for mainly ZaZa Energy. Now, Crabb Ranch is actively building out it's gas operation by laying a pipeline and have completed upto Hwy. 90 East to the county lines of Gonzales and Fayette Counties. I'm being told that they will connect onto the old existing gas line in Fayette County, by reopening that old line. I suspect this is mainly because of the high controvesy surrounding Keystone line, that ZaZa Energy LLC chose this strategy and path. I agree with Bigfoot of the quietness of things at this time by everyone, including others who have been approached but no bonus money in hand. However, the most active in the area is Southern Bay and ZaZa is focused on it's Muldoon Fields which includes Crabb Ranch. Now, I do understand that much of ZaZa resources are being redirected to out of state production. Not sure if this is year end dollars that needed expensing and/ or money will carry over into next year's 2012 activity...just food for thought. Charles
Don Purswell said:
Bigfoot
Charles seems to have all the info latley. I don't have any new news.
Don Bigfoot said:
Charles & Don:
The forum is quiet. Have you guys heard any news lately. There's been a little discussion around property East of Flatonia; but, nothing on the West or North Side. If the money ever starts to flow again, I have finally pulled together all the properties (>1650 contiguous acres) surrounding my FM 1115 place. Assuming these guys use the calendar as their budget year, maybe things will warm up at least in the first quarter. For some reason Southern Bay and evidently ZaZa are in no hurry to establish production on their basically completed wells.
If you have a minute when you pass through, give me a call and I will meet you for a few minutes or you are welcome to stop by by house. If you are on I-10, it will be a little out of your way; but, not much since I'm 11 miles Northe of Flatonia and 8 1/2 miles Northe of Waelder.
My home phone is 361-865-2221 Cell 361-772-5387
Charles Edward English said:
Bigfoot,
Thanks. I will pass through, since I've been vacationing out of state, later today and back to SA. Charles
Bigfoot said:
Thanks for the update. I'm going to take a run over to take a peek at the Crabb well site and the Southern Bay-Cal-Maine location. While I'm out, I'm going to see if Southern Bay has started fracking the Rightmer Muldoon Well.
Will report later this evening.
Charles Edward English said
All,
Update. On last Saturday, spent time in and around the area of Waelder, Texas, Crabb Ranch, and Old Waelder Road. Still the only one I'm aware of with a reason lease in hand is Carol Barre on Old Waelder Road around the I-10 East Park area which is the 4000 block of Old Waelder Road (CR 456). I've not seen any additional movement West or North of the area, since many had been leased 1 year to 1 1/2 years ago by then Scout Energy and now OGM landmen for mainly ZaZa Energy. Now, Crabb Ranch is actively building out it's gas operation by laying a pipeline and have completed upto Hwy. 90 East to the county lines of Gonzales and Fayette Counties. I'm being told that they will connect onto the old existing gas line in Fayette County, by reopening that old line. I suspect this is mainly because of the high controvesy surrounding Keystone line, that ZaZa Energy LLC chose this strategy and path. I agree with Bigfoot of the quietness of things at this time by everyone, including others who have been approached but no bonus money in hand. However, the most active in the area is Southern Bay and ZaZa is focused on it's Muldoon Fields which includes Crabb Ranch. Now, I do understand that much of ZaZa resources are being redirected to out of state production. Not sure if this is year end dollars that needed expensing and/ or money will carry over into next year's 2012 activity...just food for thought. Charles
Don Purswell said:
Bigfoot
Charles seems to have all the info latley. I don't have any new news.
Don Bigfoot said:
Charles & Don:
The forum is quiet. Have you guys heard any news lately. There's been a little discussion around property East of Flatonia; but, nothing on the West or North Side. If the money ever starts to flow again, I have finally pulled together all the properties (>1650 contiguous acres) surrounding my FM 1115 place. Assuming these guys use the calendar as their budget year, maybe things will warm up at least in the first quarter. For some reason Southern Bay and evidently ZaZa are in no hurry to establish production on their basically completed wells.
O.K. Guys, I made a quick run through of the happenings West of Flatonia. The information Charles had posted last pretty much sums it up. The oil business West of Flatonia isn't as quiet as I thought it was, in fact there's a lot happened since I was over there about three weeks ago. (1) The Nabors Rig #491 is drilling on the pad located on 2762 North of Prototype by I-10. (2) The Crabb well has a small flare and the construction crew is well on their way to having the gas pipeline hooked up. Looks like there are some small (2-3") lines going to the tank battery. an't tell if there is actually any production or not. (3) The Cal-Maine pad at the end of Cal-Maine road, just South of the Crabb well site has Nabors rig # 796 in full swing. (4) I didn't even go to Muldoon, since I talked to one of the mineral owners in the Southern Bay (Arnim Pool). He said that they are still waiting to frac both the Rightmer well and the Arnim well as soon as they can get the frac crews out that way.
With all this activity West of Faltonia here at the EOY, maybe we'll get some lease activity relatively quick in 2012.
We need to do some talking; but, it's probably not very smart to jump at the first lease opportunity that comes our way.
Have a nice day, Christmas and New Year's day and get ready for 2012.
Bigfoot said:
If you have a minute when you pass through, give me a call and I will meet you for a few minutes or you are welcome to stop by by house. If you are on I-10, it will be a little out of your way; but, not much since I'm 11 miles Northe of Flatonia and 8 1/2 miles Northe of Waelder.
My home phone is 361-865-2221 Cell 361-772-5387
Charles Edward English said:
Bigfoot,
Thanks. I will pass through, since I've been vacationing out of state, later today and back to SA. Charles
Bigfoot said:
Thanks for the update. I'm going to take a run over to take a peek at the Crabb well site and the Southern Bay-Cal-Maine location. While I'm out, I'm going to see if Southern Bay has started fracking the Rightmer Muldoon Well.
Will report later this evening.
Charles Edward English said
All,
Update. On last Saturday, spent time in and around the area of Waelder, Texas, Crabb Ranch, and Old Waelder Road. Still the only one I'm aware of with a reason lease in hand is Carol Barre on Old Waelder Road around the I-10 East Park area which is the 4000 block of Old Waelder Road (CR 456). I've not seen any additional movement West or North of the area, since many had been leased 1 year to 1 1/2 years ago by then Scout Energy and now OGM landmen for mainly ZaZa Energy. Now, Crabb Ranch is actively building out it's gas operation by laying a pipeline and have completed upto Hwy. 90 East to the county lines of Gonzales and Fayette Counties. I'm being told that they will connect onto the old existing gas line in Fayette County, by reopening that old line. I suspect this is mainly because of the high controvesy surrounding Keystone line, that ZaZa Energy LLC chose this strategy and path. I agree with Bigfoot of the quietness of things at this time by everyone, including others who have been approached but no bonus money in hand. However, the most active in the area is Southern Bay and ZaZa is focused on it's Muldoon Fields which includes Crabb Ranch. Now, I do understand that much of ZaZa resources are being redirected to out of state production. Not sure if this is year end dollars that needed expensing and/ or money will carry over into next year's 2012 activity...just food for thought. Charles
Don Purswell said:
Bigfoot
Charles seems to have all the info latley. I don't have any new news.
Don Bigfoot said:
Charles & Don:
The forum is quiet. Have you guys heard any news lately. There's been a little discussion around property East of Flatonia; but, nothing on the West or North Side. If the money ever starts to flow again, I have finally pulled together all the properties (>1650 contiguous acres) surrounding my FM 1115 place. Assuming these guys use the calendar as their budget year, maybe things will warm up at least in the first quarter. For some reason Southern Bay and evidently ZaZa are in no hurry to establish production on their basically completed wells.
Bigfoot: I hear what you are saying about: “…and evidently ZaZa is in no hurry to establish production on their basically completed wells.” It’s been 2 months and they have only completed the vertical well. I have heard that the O&G companies need to get as many tax write-offs as possible before the end of the year. Hope that is all it is.
Charles. Need a little more help in interpreting your comments. In one post you say: “Crabb Ranch is showing good numbers/results…” and now you say: “Crabb Ranch is beginning to become more uniformed and they are burning the natural gas because I'm told they are only interested in Eagle Ford Shale oil and the natural gas isn't cost effective at this time. Again, people it seems that they are after the crude, sweet oil!” What do you mean by “uninformed”? I saw on the RRC site that they are after oil and gas on Crabb Ranch (and they are certainly in the oil window). In our pool, they after condensate. Have been told it brings the same if not a bit more than oil. Any comments are welcomed. Keep ‘em coming : ) Thanks.
HELLO EVERYONE, just read all the wonderful updates...thanks and I am so glad we can share information..I am still working on my lease ..should be finished this week...I have some "other" mineral interests 3 or 4 miles north of Interstate 10, can't remember road it's located on...but it has an old well on it and they send me about 300 dollars a year and are claiming "production"..producing quanties..I would like to get this mineral interest released and release it from this company who is "not" producing it....does anyone know anyone with experience in this area...the old well was there before I purcahsed it and I own one half of the mineral interest..I would appreciate any information concernig this "project." ...Merry Christmas and a Happy new Year to all and praying for GOD'S FAVOR AND BLESSINGS IN THE NEW YEAR FOR EVERYONE.
Enjoyed our conversation this afternoon. In trying to explain the condensate vs. oil question, I probably rambled and maybe got too deep trying to explain the difference. When just talking about oil in the broad sense, they are both oil; however, in actual fact, they are quite different as most crude oil is! I could spend all evening trying to explain one vs. the other and still would probably not do a good job so I went to the internet.
Check this site out and read some of the posts on this forum. They are quite good. Some are a little too indepth; but, well done.
Bigfoot: I hear what you are saying about: “…and evidently ZaZa is in no hurry to establish production on their basically completed wells.” It’s been 2 months and they have only completed the vertical well. I have heard that the O&G companies need to get as many tax write-offs as possible before the end of the year. Hope that is all it is.
Charles. Need a little more help in interpreting your comments. In one post you say: “Crabb Ranch is showing good numbers/results…” and now you say: “Crabb Ranch is beginning to become more uniformed and they are burning the natural gas because I'm told they are only interested in Eagle Ford Shale oil and the natural gas isn't cost effective at this time. Again, people it seems that they are after the crude, sweet oil!” What do you mean by “uninformed”? I saw on the RRC site that they are after oil and gas on Crabb Ranch (and they are certainly in the oil window). In our pool, they after condensate. Have been told it brings the same if not a bit more than oil. Any comments are welcomed. Keep ‘em coming : ) Thanks.