Scott, my royalty checks from EOG itemize 4 different "Product Types". Those types and the most recent prices per "BBL/MCF" (Sept check for mid July production) are "Crude Oil" $48.59 & $50.83, "Condensate" $52.42, "Casinghead Gas" $3.24 & $2.88, and "Plant Products" $14.08. What exactly "Plant Products" are probably depends on the area, are probably other minerals & chemicals formed over time that surface along with the crude oil & gas as a result of drilling.
We only have 26 acres. We are looking at $ 26g. I have no idea what the royalties on a leasecould amount to on a small tract like that.
I only have about 1.3 acres in Texas. My first couple of checks from one well were over $700 each. Although normal for production to fall off fairly quickly & steeply, it was supposed to plateau at a decent income, maybe a couple of hundred a month, but my check this month was only $25. Appears EOG has cut back production more than the well could be producing, and my first 2 checks were before the price crash. Valve openings can be adjusted.
I should have added that income is based on 20% royalty with tax and smaller "other costs" already deducted. I don't know what you mean by the 'g' in "$26g", or what the "$26" is about, so can't speak to that.
Nevermind...I just figured out by 'g' you must have meant "grand". The convention for thousands is a capital 'K'. You must have been referring to the bonus at $1,000 per acre, but you didn't say for how long. That would be generous for a 3 year lease with renewal option.
By the way, anyone familiar with Lawrence Co, Louisa area, might have noticed my last name. It's not just a coincidence. I grew up in Florida, but my father was the grandson of the original Claytons of Louisa. We still own 40 acres on Clayton Lane and used to own a lot more.
Not bragging, just thought some of you might find that interesting. We did have an offer to drill on the property, and I was interested, but outnumbered by other heirs who wanted to sell the property. We had a purchase agreement going for several months, but it just expired w/o closing.
Yeah 26 grand or 26 thousand was a purchase price to buy the rights. We have a lease in place but the company offered to buy instead. We are almost 1 year in on a 2 year lease. No royalties yet.
I’m used to selling cars. We use k for miles in thousands and g for price. Pretty easy to figure out.
Is anything at all going on currently in Lawrence County? Been a whole month since anyone posted anything.
I tried to contact Apryll Boggs and never heard back. I tried also to get the person who offered to buy our rights to specify they would go underground and not on our surface and no reply still. So as of now… Nothing
I did read offers for purchasing mineral rights have increased. But AEG is buying in Lawrence county only. I believe they are watching Chesapeake, and so am I, they are getting close horizontally that is. Hope this helps
Thanks, John. I am not in the area so not able to know what is going on. We are interested in selling our rights in Lawrence County. 360+/- acres. Not sure who AEG is but I will try to find out.
I herd they are shutting down in louisa
Anyone hear anything new ? Just got a call this week to buy the mineral rights on our property again.
I just read a short blog by a global engineering firm that speculates on how US oil companies are thinking and how they are expected to fare. It actually sounds favorable. Bottom lines, "With the lifting of the export ban and the uncertainty among global producers, a global market is waiting to purchase reliable, inexpensive U.S. petroleum. The eventual winners of this downturn will be those who stand ready to produce again at a moment’s notice, which will require purchasing of plays during these discounted times and having the infrastructure in place to bring their goods to market. With these talents and permits in hand, the remaining U.S. petroleum producers occupy a key position to still realize amazing profits and bring prosperity back to the shale plays."
Hey Scott.C was it from Hays Expl ? My lease is coming due soon. I did receive a offer a couple of months ago from a Texas outfit, but with their offer I passed. Now Cimerax is drilling a new well close to route 1690 near Chapmen around 18000 feet. If I hear anything new I will post it. Thank You
Yeah John it was Hays again
hi everyone any new news on whats going on in lawrence county my lease is abut to expire and i havent heard anything about them renewing it just wondered what the current offers were now thanks
I spoke with a rep. from Gulfland a couple of weeks ago and he told me that they wouldn't drill until oil got to 65 dollars. He also said that the people involved in the leasing was getting money together. I assume to renew the 5 yr. lease.