Oil & gas discussion group for those interested in Lynn County, Texas. Share your experience regarding lease bonus, royalty rates, drilling activity, and oil & gas news.
We have leasing offers on various tracts around Lynn County, and Iām hoping someone could assist me with the following:
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highest bonus/nma paid in 2011 in Lynn County.
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any details to verify new wells Iāve heard hit oil: some vertical wells west of OāDonnell, and one on Lynn/Garza County line on Double U Ranch (rumor of 700 barrels/day).
Many thanks!
PJ
We, too, have a lease offer on a 320-gross-acre block. Donāt know what percentage of the minerals we have in the block. Have the block information but would have to go to Tahoka to look it up. Know anybody who would do that for a fee? Landman wonāt tell us what producing company is involved. Talked with him today and he said company is drilling ātest wellsā in the area. Would the RRC have record of drilling tests in Lynn County?
Sorry for the delayed response - Iāve been at NARO convention in Austin and then on vacation.
I spent almost 2 hours at the Railroad Commission last week - first time there - and they were very helpful. They printed out a list of all new drilling permits approved since Jan. 1: eight total. Unfortunately the companies donāt seem to be particularly speedy in sharing their results until required to.
You might check with Lynn County Abstract & Title about doing the research for you - 1540 Avenue J, Tahoka, Texas 79373, 806-561-4067. Iāve spent hours up there and theyāre great - but donāt know if they offer this service or not. If not, they could probably recommend someone. Theyāll need the physical description of the block - survey name, block, section number. Good luck!
Oh yes - operators for the 8 drilling permits are: RAW Oil & Gas (4), Shenandoah Petroleum Corp. (2), Great Western Drilling Co., WMS Oil Company.
Thanks, Paige. Knew about RAW O&F and WMS. I have done some research on Lynn County leasing and have some stuff but it is too long to put here. Have a transcript of a radio news spot that talks about big leasing to-do in Lynn and Terry Counties. Published in February. Can email it to you if you email me. Hope this doesnāt violate MRF rules. If so, can attempt to put the story in an open message on this page.
Just wanted to let everyone know that I am an attorney in Tahoka and would be happy to negotiate leases and/or examine title to your interests in Lynn or Terry counties. I can be reached at 806-559-2426.
Hereās an update for those not living in Lynn County. I was there this week, and activity has picked back up. After the frenzy last winter, things calmed down a little - but the title office and County Clerkās office are overflowing again with landmen doing research. After no new inquiries for 3 months about leasing our mineral interests, Iāve had 5 new ones the last 10 days. I also saw a new pad being cleared for a new rig on FM 213, just a few miles west of US 87 (Tahoka-OāDonnell Hwy.), and a new rig barely north of OāDonnell just west of the Hwy.
I went to OāDonnell last week for the Homecoming festivities and noticed the rig on FM 213 and a couple of rigs just west of town. I have mineral rights slightly NW of town near the Wells community and also in the New Lynn area, but have not been contacted. The minerals were conveyed to me when I lived in Pecos, TX and now, like so many other people, I do not have a telephone land line. I now live in Lubbock and my phone number is (806) 786-3684 and email address is dmires@suddenlink.net. I would like contact information to get in touch with any of the landmen.
Any updates on activity in Lynn County? My cousin just contacted me regarding an offer he was given for our shares. Was wondering what the going offer is.
Latest Iāve heard is $400 or $450, 3/2 or 3/3, and 23-25% royalties, depending on the company leasing, location, amount of acres, etc. Weāre still in negotiation with several. Leasing was hot a year ago, through the winter, then cooled off in the summer, and picked back up late August with āthe big guysā there now. Offers up from $150-$250 early in the year.
Reported to me last week: most drilling still is west/northwest of OāDonnell, hitting 75-80% of vertical wells drilled there. One dry hole at West Point, but moved the rig about 1 1/4 mi. east of the old gin, so havenāt given up on that area. One dry hole close to Story Lake, close to Lynn/Garza County line.
Chesapeake, Devon, Shell, and Petrohawk are currently buying leases in the area.
For those of us who have mineral rights but have not been contacted, how do we contact the leasing companies or their respective landmen? Would like specific companies or their landmen contact information.
Mr. Copeland, in our case our Tahoka attorney, Calloway Huffaker, is now negotiating contract terms with the oil companiesā attorneys directly, and the landmen are out of the picture. My experience was that the landmen were the early ones in, trying to procure ācheapā leases for their clients (the big oil operators), without the mineral owners knowing who the big client isā¦or acquiring leases and then selling them to big operators. Once they reach a certain acreage goal, or the big operator becomes known, then the landmen move on to āfresh pasturesā. Most all those interested in leasing contact Calloway because he knows who has acreage theyāre willing to lease. You might contact him about representing your interests - (806) 998-4863.
Another option would be to contact the Lease Acquisition department of the oil company and have your info ready - County, survey name, Abstract number, block number, Section number, # of acres, % ownership. Best of luck!
My family was notified of a small percentage of mineral rights in Lynn County. We were contacted and sent a lease agreement. We all signed and sent it back. If a well is drilled, have we already agreed to a percentage of royalties through this contract?
Thanks for the good info, Paige!
Thanks Paige, Now another question. Do the oil companies or whoever search out mineral right ownership when the land is first leased or after they have explored the property and decided to drill? I ask this because the property was leased over a year ago and we first received notification 3 months ago. I just want to understand the process.
Dave
First, please know that Iām no expert! Iām just a mineral owner thatās been going through this the past year and learning as fast as I canāso what I post is based on my own experience, or what Iāve read, or heard at the NARO convention. I was in your shoes this time last yearāI knew zilch, and quickly learned it is a lot more complex than I dreamed!
My understanding is that the geologists determine the ātargeted buy areaā (where they might potentially want to drill), then my experience is that the landmen do the original research at the title companies/courthouses to learn who the mineral rights owners are, and thatās who they will then approach about leasing. A more detailed abstract search is done before the drilling company sends out the Distribution Order (which is the document that states exactly which mineral rights owners get paid, and what %) ā but Iām not clear when that is actually done (weāre not at that point yet).
Iām not understanding how, if you own the mineral rights, it could have been leased without your knowledge a year ago. Either you own only the SURFACE rights (no minerals), or they somehow missed your mineralsā ownershipā¦ or thereās another possibility that I havenāt encountered and one of the experts in the Forum can address. Iām afraid Iām getting in over my head, and I donāt want to post incorrect informationāso Iād recommend talking to an expert or attorney.
There is SO much to learn! In addition to the tremendously valuable info on this website, Iād highly recommend attending the NARO, Texas chapter, convention this coming summerāJune 13ā16 in San Antonio, Texas. http://naro-us.org/
As to your question about the lease agreement you signedācheck with an expert or attorney, but I THINK youāre stuck with it.
It IS complex, but fascinating. Best of luck!
Thanks Paige, all I know for sure is that my family does indeed own a portion of the mineral rights but none of the surface rights. I thank all that have given response to my posts and in time I will learn more.
Can anyone tell me how to find a survey grid map of Lynn County? Iām just curious of the location of this leased land. I have all the survey information but canāt seem to get anywhere with it.