I own 5 mineral acres in section 35-10N-6W in Grady Co. and have been contacted by Cardinal Energy about purchasing my mineral interest. I have always leased my minerals in the past so I am interested in opinions about leasing versus selling in this section. Cardinal is offering $14,250.00 per acre and since this is their first offer, I assume it is a lowball price.
Does anyone have insight into development activity in this area and the lease rates being offered? Is anyone else being contacted about selling their mineral interests in this area? If so, what prices are being offered for purchasing minerals?
Your help and advice are greatly appreciated. Steve
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Honestly that doesn't sound like a bad price, but there might be an option to lease if the current lease was taken after 1979, considering one of the 2 wells was plugged back in 2015. I'll shoot you over a message.
Steven:
Linn Energy has drilled the Jo 26-35 well in this section. No completion reports on this well or any of the other
wells Linn is drilling in this area in off setting sections.
As for selling, if you have a reason to sell then sell. If you don't, then don't. Its that easy.
Todd M. Baker
Hi Todd and thanks for your response. I'll start paying more attention to this section going forward. Currently I have a small royalty payment from Linn Energy, so clearly I have already leased minerals to them, I'll go back through lease agreements and figure that out.
I don't have a reason to sell. If the minerals look productive at this point, I'm in for the long haul. Do you think drilling results in the area generate optimism?
Thanks for your informative reply, any updates on activity in the section would be greatly appreciated.
take care,
steve
Citizen Energy II LLC has spud the Leon 1H-2-35 on May 7, 2017. It was spud from sec 11-9N-6W. It was listed as active on the OTC site on 7/29/17. You should have gotten a division order by January. Better contact Citizen. 320 S Boston Ave Ste 1300 Tulsa, OK 74103-4702.
Linn drilled the Jo-26-35-10-6. It is listed as active on the OTC site as of 2/17/18, so you won't see a division order on that one until August or so or you might already be getting royalties.
With two wells coming on line, and room for more, that is why you are getting offers.
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M Barnes, thanks so much for sharing your professional knowledge with us non-professional mineral owners. Unfortunately I don't have the background to understand the details of your response, but I do appreciate the overall message that my section is worth keeping.
My mother was a farm girl that inherited land from a grand father that participated in the Ok land run and bought property from individuals that acquired land after OK was opened to settlement and later decided to sell. She sold a lot of surface land but always retained the mineral rights hoping that they would be worth something someday. I guess, today is that day. Turns out, she was pretty savvy.
thanks again for your help,
steve
Smart woman-your mom! That is how a lot of us inherited our minerals. What do you need help understanding and I can rephrase it.
I can't correlate the wells you identify with my section of land, so I'm not sure how close drilled wells are to my 35-10N-6W section. I would like to know if my section has existing wells, proposed wells or potential wells.
Thanks again for you invaluable help.
35-10N-6W%20current%20wells.png
You have two wells. One on the far west side of your section, Leon 1H-2-35. One on the far east Jo 26-35-10. let me know if you can't open the link.
Thanks so much for generously sharing your expertise. I can open the link but it will take me some time to sort it out. Glad to meet a fellow sooner/boomer offspring. You are indeed a treasure!!!
M Barnes
Are these maps on a subscriber website? I followed the link and it’s quite textural other than the API.ning.com portion so just curious because I’d love to have same map for 7-4N-6W.
Thx as always
Carl, You have a pending hearing in 7 & 18 by Camino for a horizontal well. When it comes to the OCC . 201802380, they will have exhibits that go with it. 201802381 Location Exception. 201802382 pooling.
If you go to the OCC and look up the exhibits for the previous Ward Application, they have a nice map. 201701097
http://imaging.occeweb.com/AP/CaseFiles/occ5365201.pdf
It was drilled in my brain "never sell"...however, don't think the folks had any idea one acre would fetch $15k. Will take the advise, "don't be too eager, never take the first offer." AL
Thanks Al. The same message was drilled into my brain as well. The broad "take home" message I have formed since watching the Grady County forum is that the future is bright for Grady County minerals. I would rather be a partner in the LNG business than a seller, so I will wait for a competitive lease offer for my minerals.
I appreciate all the input from my thread as well as the Grady County Forum in general. The information provided here helps the non-expert represent themselves against the professional knowledge possessed by the oil and gas industry.
If you are a "Giver" to the forum, know that us "Seekers" value your time, experience and patience with our naive, but genuine questions. Bless you. sb
I am a seeker too and have been receiving letters wanting to purchase "all or part" of my minerals in Section 30 and 18 of Grady. Most recently, I received a contract offering $16,ooo/nma. Made me stop and think...I am 62, single with my home paid for, no children and no debt. Do I Take a couple grand a month on a lease till I die???? or take the lump sum and die trying to spend it!
What is the word in either of those sections, anybody know?
Pipeline man called too......
Need section, township & range.
How do I even find out if any activity has occurred, ever, at 36 3N 6W? I just inherited mineral rights, from my family, as my Grand Mother was also a farm girl and bought this up many moon sago. Advice is appreciated.
Greg, see my comments that were posted in your correct section location. (no drilling activity) 36-10N-6W is 42 miles from 36-3N-6W.
If you aren’t familiar with the rectangular survey system, here is a good article. S-T-R Legal Land Descriptions in OK_Kletke-1.pdf (59.7 KB)
And here is a Grady map that will help you visualize your location.
Grady County Map.pdf (434.4 KB)
Why is it a low ball offer???