Hello, I’m looking for advice on accepting a lease offer for my mineral rights in Grady County - Section 19, 5N, 6W. They were looking to drill a very deep vertical well. How do I estimate if the lease offer is decent? Any advice would be appreciated!
Who is the intended operator? What is the intended reservoir? When do they plan to drill? Most of the drilling in that area is horizontal, so was curious. Lease offers tend to be lower on the draft try, so I always ask for more bonus and more royalty. The bonus is not the critical factor in a lease. The clauses in the lease are way more important and can hold your family for decades, so very important to get legal help to edit that lease to be more favorable to you. Drafts rarely are. Nearby poolings can be useful as far as the bonus amounts, so that is why I was asking what reservoir.
I’m not sure who the operator is. The offer came from Osage Oil & Gas. The landman said it was “bromide formation”…but I’m not sure what that means. I will get legal help before I proceed. Thank you.
(http://www.ogs.ou.edu/MEETINGS/Presentations/OilGasMar2012/MITCHELL_ANDARKO.pdf) Slide 23 & 24 are useful for the Ordovician Bromide.
Thank you. Lots of info here!
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