An elderly cousin and myself inherited mineral rights on land in the Eight Mile field in Williams Co ND. It is leased to BEXP.
Is this a good company or should we talk to others when the lease is up? Is there activity in this area or is it even considered a potential drilling site?
Thanks much for any information.
BEXP is a very competent drilling company. If you can give the legal description/s township range and section for the mineral rights I can give you more information. It's more important to know what is happening within 2 to 3 miles around you because anything farther away may be some indication but does not have a direct bearing on what you have. Some information can be gleaned from the GIS map on the NDIC O&G Division website. Let me know if I can help.
Thank you Mr Kennedy,
here are the stats:
152 N
103 W Sect 2
Appreciate your help-
r w kennedy said:
BEXP is a very competent drilling company. If you can give the legal description/s township range and section for the mineral rights I can give you more information. It's more important to know what is happening within 2 to 3 miles around you because anything farther away may be some indication but does not have a direct bearing on what you have. Some information can be gleaned from the GIS map on the NDIC O&G Division website. Let me know if I can help.
Bill, I hope you have more than just a few acres there although I wouldn't turn my nose up at anything there. You are surrounded by good Red River formation production, Good Bakken formation production, and fair Madison formation production. If they drilled it as much as needed I would figure that your 1280 acre spacing of section 2 and section 11 just south of you combined could produce as much as 1 million barrels of oil in 30 to 40 years and possibly twice that amount. How much of that will be yours depends on how many net acres you have and what deal you do or do not make.
Brigham is a favorite operator of mine because if their technical expertise in drilling wells, although they have drilled none of my wells.
There are currently 5 rigs drilling wells within about 7 miles of you.
Brigham does not always offer what I would consider top dollar. I would negotiate hard with them while seeking other offers. If I could not come to an agreement, I would consider leasing only part of my acres and being non-consent or participating in others, with non-consent being the safe option with still good upside potential because you would receive a 16% royalty from the first barrel, owe nothing out of pocket until the well cost and 50% cost of drilling and operating the well has been taken from your prodcution only.
I would hold their feet to the fire and if they don't agree to your reasonable requests, we can have a nice little chat about why they should have. Continental, XTO, Zenenergy all have wells in the area if you want to get some competetive offers. Diamond Resources usually handles leasing for Continental, I would only do business with them by mail after an initial call, because I don't trust them as far as I could throw a rig.
Don't accept a sight draft or order for payment, and don't give anyone your executed lease until you have cash in hand or in your account. Just sit on the lease until that time.
BTW, you are entirely welcome.
Wow-great info! You are a man in the know.
In checking further it is 125 acres.
Thanks again for your wealth of knowledge!
Bill, if that is net acres, I think things are looking up for you. Also if it is 125 net acres it would probably pay to hire someone to negotiate for you and a lawyer to check the lease for any hidden gotcha's. I think you would come out ahead in the end.
Could someone please tell me the name of the oil field under Eight Mile section in Williams co.
Unable to locate what should be easy to find I’m sure
thanks so much-Bill
Bill, I can't acess the GIS server map on the NDIC site at this moment but when it's done updating you should be able to input your legal description twp,range and section and the field name should show up on the map if there is one. Not all wells are in a field though.
Thank you sir-I was able to get the information-evidently it is "Eight Mile" oil field-I was mistaken,
Thanks for your help-Bill
r w kennedy said:
Bill, I can't acess the GIS server map on the NDIC site at this moment but when it's done updating you should be able to input your legal description twp,range and section and the field name should show up on the map if there is one. Not all wells are in a field though.