I have a Lease that expires shortly. The property is located in Burke County[Twp= 162N, Range=92West, Section=35]. I called the current Lessor[Lario] & they told me that they have no interest in picking up the option. I called around to several Leasing organizations to see if theirs any interest. Apparently, Oasis is interested & we opened up a discussion. In this environment, what can I expect as an offering for this section??? Any & all opinions are welcome… Respectfully Pamela F Peterson
Hi Pamela, my name is Erika Bolstad. I'm a journalist and am working on a book about the North Dakota oil boom told through the history of the mineral rights my family owns in Burke County. It's right near yours: 162 N, Range 94. I'd love to get in touch. Could you email me separately at erika dot bolstad at gmail dot com? Thanks!
Pam,
Samson is the predominate operator in your area and they seem to have much to say grace over. They have undrilled permits south of you and the wells they have competed there are not in the top caliber to immediately offset. The Samson wells in your immediate area will payout but take much longer than the operator would like to see. A smaller Denver company has completed a well a few miles SW of you but has never off set it.
It looks like Samson has a nice field several miles southwest that it finds worthwhile developing. With a plan of capitalizing on lower risk assets and putting putting potential production development in inventory, Samson is protecting its shareholders.
Your lessee, may have priced itself out of the market with Samson, a good lesson for owners in dealing with good operators at the exclusion of flippers and promoter lessees. That ship may have sailed in your area. I believe your time will come, however. It may not be soon unless Samson drills an exceptional well to the south.
Please let us know when you publish. Gary Hutchinson
Erika Bolstad said:
Hi Pamela, my name is Erika Bolstad. I'm a journalist and am working on a book about the North Dakota oil boom told through the history of the mineral rights my family owns in Burke County. It's right near yours: 162 N, Range 94. I'd love to get in touch.