Gaines County, TX - Oil & Gas Discussion archives

Thank you, AJ, for the map link. Very nice. First time I have actually seen the location of my holdings. Unfortunately, looks like I’m in the wrong part of Gaines Co.

I have tried using Google Earth today and putting the latitude and longitude for the well and can zoom in almost to ground level. Much better visuals that the rrc map. It shows a LOT of wells quite near the one that I am trying to find info on. However you do not get the well info. But by using both systems you can estimatd distances. Very interesting stuff.

@Murray Hart: You are welcome. You can now keep a better eye on future activity in your area.

@John Michael Black: There are at least two ways to measure using RRC map. One is to click on the measure tool [2nd icon to the right of Print] and draw lines between the subject properties. Another is to use the radius tool and draw a blue circle of a desired radius from your target property. You might also choose to mark your target properties with small blue circles using the radius feature if you need to reduce magnification, as the blue circles are preserved with reduced magnification.

I found the well. It is listed as a dry well drilled in 1999. It is the only well in that area. All the producing ones are South or East of the NE corner of Section 79. I wonder why Patch Energy LLC is so eager to buy the mineral rights!

San Andres horizontal? Wolfcamp? See my earlier posts.

Kelly, I am looking over an offer as we speak for either, $300/acre with 1/5 royalty for 3 yrs(2yr renewal option) or $400 with 3/16 royalty for 4 yrs.(2yr renewal option) It is for a section with no producing wells, but it has 2 dry holes. Section 302, block G

Ring Energy’s horizontal San Andres drilling project recently went to spud.

Given that ROZs could become a big thing, what will mineral owner friendly leasing language look like?

“The issue in French vs. Occidental Permian Ltd. was whether the expense to remove CO2 from casinghead gas during a tertiary recovery operation was a production expense or a post-production expense.”

A 9,000+ foot HZ well is being drilled in far southeast Gaines county. First major test of its type in the area.

http://webapps.rrc.texas.gov/dpimages/img/3200000-3299999//PR000324…

What is the type or target of the J Cleo well, J-F? Is it possible for a well to produce from a Devonian or Wolfcamp horizontal and shallower formations from the vertical bore?

J-F, The permit was puzzling to me. A vertical and a horizontal well with two targets separated by 5000’? Do you have any news on Ring Energy’s San Andres hz well(s) in Gaines-Andrews? Or what about Noble Energy’s(?) hz well just north of Seminole? I see that a company has leased C44 Sec 5 where Houston Energy drilled its “Telephone Road” lease Wolfcamp well a few years ago. Houston Energy eventually plugged that well, I think.

https://finance.yahoo.com/news/ring-energy-inc-releases-preliminary…

Ring’s Chief Executive Officer, Mr. Kelly Hoffman, remarked, “During our second quarter conference call we stated the possibility of dramatically increasing our footprint in the CBP based on prospects we had identified and/or were in discussions with. The result, due to the hard work of our staff, is we have doubled our net acreage within our horizontal development area which conservatively represents an additional 137 potential gross horizontal drilling locations. Our staff continues to aggressively look for and acquire additional acreage, as it is important for us to expand this area, which we believe offers tremendous upside opportunities. In addition to our leasing activities, we continue to look for prospects that complement our existing assets in the CBP and Delaware Basin, and meet our criteria by offering upside potential through additional drill sites, production and reserves.”

I am getting flyers on selling my lease. Nothing has happened in nearly 10 yrs that I know of, but I now see something may be starting. Not sure what to do.

RING ENERGY INC. RELEASES THIRD QUARTER 2016 OPERATIONS UPDATE

“Mr. Kelly Hoffman, Ring’s Chief Executive Officer, stated, “In the third quarter we were pleased to complete a transaction which doubled our net acreage and increased our horizontal footprint on the CBP. We continue to be encouraged by the opportunities we are currently seeing as we aggressively seek to grow that footprint. Also, we began our completion process in late September on the first of three horizontal wells and continued into early October with the remaining two wells. We are very encouraged as all three wells are within budget and producing substantial amounts of oil early in the completion process. As the oil production from the three wells continues to increase we expect to see a peak rate sometime towards the end of the fourth quarter.”

http://ringenergy.com/press_releases/2016/press_110116.html

November 1, 2016 NYSE MKT: REI

We have 280 acres of minerals. The lease we got several years ago 3 plus 2 renewal expired and it has not been leased for a couple of years since. We just signed a new lease for 3 plus 2 year renewal. I guess things are starting to pick up there again. I don’t think I will ever sell my minerals, I am hoping this new company drills and strikes lots of oil, but if they don 't I will still have them for the future. With these two leases over the past several years we have gotten more than what we sold the land for so we are already ahead.

J-F, Are you able to share more specifics on the location area for the purchase offers? The Baker Hughes rig count app continues to show a rig about one mile NE of Seminole. Over the last weeks it has been depicted on the app as being horizontal, vertical, and now directional.

I have seen offers to purchase for around $1,000 per net mineral acre in Gaines county. Not sure what triggered these offers in areas to the east of and away from major activity such as the Ring energy area.

AJ, the purchase offers I saw were for a couple of different tracts all in south-east Gaines.

http://www.ugcenter.com/central-basin-platform-activity-highlights-…

Congratulations on your offer, Kelly. Can you share which area of the county this is in and/or what company made the offer? How many acres? If you have both the surface and the mineral rights I would advise negotiating the terms of each separately and carefully. Also, the number of acres and percentage of the minerals you own will dictate your negotiating power.

Here is a a comprehensive (if a bit overwhelming) guide to oil and gas leasing: http://cdn.gdhm.com/wp-content/uploads/2016/08/jbm-ogleasechecklist…

If your interest is of any significant size I would advise taking the time to consider all of this and pushing for favorable terms. This forum is a great resource.