Is Luxe producing anything on this property? Is Emma 218-219 Unit 1H situated in Block 34, Section 45 Ward County? Thank you
I see no production in Section 45/block 34/A-198.
Emma 218-219 1H is in Section 218-219/Block 34:::::: http://webapps2.rrc.texas.gov/EWA/specificLeaseQueryAction.do?tab=init&viewType=prodAndTotalDisp&methodToCall=fromGisViewer&pdqSearchArgs.paramValue=
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Thanks for your response. This is very helpful to me.
I received a “bonus offer” of $1,700 to sign a royalty agreement. It involves 1.74 acres in Section 45, Block 34. Does this seem like a fair offer? The offer came from a Landman representing Colgate. Thanks…
I’m not sure about the lease/bonus money but make sure your royalty percentage is 25%. Clint
Clint - thanks for the info…yes, the royalty percentage of 25% is fine and in order. I was just uncertain if the signing bonus was a reasonable amount. Essentially, it is $1,000 per acre. They claim they are going to commence drilling in March 2022.
In my experience the operator is not going to totally low-ball you. You can probably get a bit more, but I doubt you are getting twice as much. I would always ask for a reasonable amount more before taking their first offer.
You’re on the very Eastern edge of the Basin. There is a reason there are no wells to the E/NE of you. I get drilling here as the Quadricorn offset wells are fine, but it’s not exactly a slam dunk. Hence, the bonus is what it is. If they really drill wells you’ll be making far more off the royalty anyhow.
That all said, I have no idea what exactly $94.88 WTI is doing to anybody’s (at Colgate’s) brain
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