Mr. Hustead, Overall, leasing your minerals is better than not leasing, so good. Looking more closely and assuming the lease size is 640 acres, if you were to sign at the 1/5 royalty and a well is drilled and produces 100,000, your part of the production will be around 50 bbl less than if you were to sign at 1/4 royalty. Some horizontal wells in other counties are said to be expected to produce significantly more than 100,000 bbls. The 100,000 number is just pulled from the air to make it easy to use as an example. Are you minerals north, south, east, or west of the city of Seminole?
Wade Cadwell, Mr. Hustead indicated he has 6.5 acres: 6.5/640 acres=0.01015625 x .25 royalty= 0.0025390625 x 100,000 bbl= 254 bbl
0.01015625 x .20 royalty= 0.00203125 x 100,000= 203 bbl
AJ- Royalty would be 5000 barrels less, not 50.
AJ- You are correct when looking at his interest. Should have read your post more carefully!
No problem, Wade. Wish Mr. Hustead would share the general area where his minerals are located.
Hello, I am a landman(woman) in Oklahoma. I have a client who owns minerals in Gaines County. I was wondering of any of you have used any independent land people who you might recommend in the county to help us out to check the records and possibly clear some title?
Looking for some help. My dad received a letter from a Acoma Energy that said he owned 61.5 mineral acres in Andrews county. They made him an offer. The thing is, he didnt know he had mineral rights in this county. The letter refers to SW2 of block 5, League 313, Gaines County School Land, situated in Gaines County, being 246 acres of land, no more or less. My dad told me he remembers his mom talking about Gaines county, but other than that he had no idea if or what he owns there. The letter said his mineral acres were in Andrews county. I looked on the RRC map, and on the southern Gaines border there is a block with 313 in the corner.
My question is, where should we start in trying to figure out where his land is. Who should he contact to find out if he is a surface and mineral owner. We live a 1000 miles away for TX. He owns property in Reeves and Haskell. Surface and mineral PSL land for both. Thanks.
George,
I suggest you contact Charles Emery Tooke in Ft Worth, Texas. He is a senior landman with years of experience in these matters. His email address:::
Charles Emery Tooke <[email protected]>
Clint Liles
Mr. Smith, My two cents follows. I hope it goes without saying that the offer from Acoma Energy is to LEASE your father’s land/minerals, not to PURCHASE the land/minerals. Consider contacting an oil and gas attorney to assist with any lease before your father signs. Don’t be fooled, there is no “standard” lease form. I would also be very wary of giving up any percentage of royalty. In other words, keep your royalty as close to 25% as you can, and do not assign 1%+ royalty to anyone, including an attorney. See my July 1, 2014 post this thread.
George, This article may help. http://www.mineralrightsforum.com/profiles/blogs/i-may-own-minerals…
I used Gaines County Title Company in Seminole, TX to do an in-and-out search of my relative’s names. Joe Nelson had info to me within a day, including a copy the original mineral rights purchase and division orders to present day. It cost a few hundred dollars. Worth it to know what you have.
Correction - Gaines County Abstract Company.
David,
The last activity I can see in this area was in 2011. Chesapeake drilled a well in A-967 just to the north of your A-966. Was a Horizontal well that completion report shows only 44 barrels oil per day. Not good.
Link to Completion Report on Well API 165-37396:
http://webapps.rrc.state.tx.us/CMPL/viewPdfReportFormAction.do?meth…
Clint Liles
I currently have a lease with Chesapeake Energy in Gaines County. Labor 10, League 291,Lynn County School Land Survey, A-966. 179.8 acres. Does anyone in the group know if Chesapeake is drilling in this area? I am new to this group, so hope this is the correct site for my question.
Thanks,
David,
GIS Map of Gaines County Texas A-966 and surrounding area:
Clint Liles
Thank you for the information Clint.
New member to Gaines County, TX forum (already member of Stephens County, OK forum).
Just contacted regarding lease offer for Gaines County Section 258, Block G, WTRR Survey — previously leased by Sandridge, now expired.
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How does one locate this on the Texas Railroad Commission’s GIS Map viewer?
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How are sections numbered in Texas? (Oklahoma has a simple grid system of township and range.)
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Is there any activity in this area? If so, what kind of offers?
Many thanks.
1 Like
Larry,
The GIS Map definitely shows production in the area of your minerals. Numerous oil wells, plugged oil wells and dry holes in the area. Your Section 258 is also Abstract # 620(A-620).
GIS Map of Gaines County A-620/Section 258/Block G and surrounding area:
Clint Liles
Here are links to two maps for you, Larry Willard:
There is a video on the Home page of this site that shows you how to use the RRC site.