Charles,
Since January 1, 2017 there have been 73 approved permits for Burleson County. 63 of those permits have been issued to Wildhorse Resources. In the area of A-195 they are targeting the Eagleford formation.
This link is to all approved permits for Burleson County since January 1, 2017:
http://webapps2.rrc.state.tx.us/EWA/drillingPermitsQueryAction.do?pager.pageSize=10&pager.offset=0&methodToCall=search&searchArgs.paramValue=|1003=03|1004=051|1005=beginsWith|1008=beginsWith|1012=beginsWith|1015=beginsWith|1024=01%2F01%2F2017|1025=06%2F23%2F2017&rrcActionMan=H4sIAAAAAAAAAM1Ry07DMBD8mnK01naS5rKHCJUzLRU9RD24iZVayktrR4CUj2cdQIKUM-Jiz86ux-PxLAFQzRIkyjuiqqiCG_pDRXUJZ1z4F3sx4-iV4LbwwQQrwquY_EYXOfCEwo162J0KhjrCmlzbur55tNS54PeTpbcPWVEPPJRgZ8N1qI_DvWlbJlIkGybqj8OTNVRdmcoRbtyUfukW1HgxGjLds2knu5jki0HHPUFIZQQpXmzjen9yIeqx4I9aqlW9mlcsJPkty6JAbiOXImSx1J_cyqH8u7z8V04Zjqax9C2PX8OT53I9F83yxyuUMGvc6jmJKMV8zhjcnv9v4b8DB2-rv7kCAAA
My opinion is you can do better than $200 per acre bonus monies and I would only lease for 3 years and no 3 year option. Make sure you have a clause stating NO POST PRODUCTION COSTS OR DEDUCTIONS TO BE BE PAID BY LESSOR
On this GIS map the wells circled in red are approved locations for Wildhorse wells.
GIS Map of Burleson County A-195 and surrounding area:
CLICK ON MAP TO ENLARGE
Clint Liles
Mr. Liles,
I appreciate your extremely informative input. I was able to increase the bonus to $650/net mineral acre. Thank you very much!
In regards to your advice about us being off the hook for post production costs or deductions, I checked our lease and a clause has been included that alleviates this concern. However, within this same clause, it states that "Lessee shall have free use of water from said land (except water from the lessor's wells, tanks, reservoirs, and watering places) for all production operations hereunder, except fresh water for water flooding." Is this common?
Also, in reference to only leasing for 3 years with no 3 year option, would you mind explaining the reasoning behind this? I am a rookie at negotiating leases and am grateful for any advice you can offer me.
Thanks again,
Charles Newton
