Got a call offering $4K/A for my mineral rights in Section 1. Given current market conditions this seems a lowball offer. Anyone else have purchase or lease offers in Section 1 or anywhere near it? What’s activity like in that area?
Continental’s 2018 Springboard showed parcels near mine as planned. Is that plan still in place?
Thanks!
There are many section 1s in Grady. You need to add the township and range.
thanks Martha, It’s Township Six North, Range Seven West, Section 1
Pretty sure there’s a drilling permit approved for that. 1 & 12
They were working on the pad a few days ago. Well location is in section 13-6N-7W… well name is the ROBERTS 0607 12-1-1MXH… Operator Name: CAMINO NATURAL RESOURCES LLC
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Received an offer of $3,300/A for minerals in section 12-6N-7W… based on a 3/16th royalty.
Received an offer of $5K/A for minerals in section 7-6N-6W… based on a 3/16th royalty. Amount could have quickly been negotiated to $9K/A if I had an interest in selling, which I did not. Turned down $26,500/A (negotiated up from $17,500/A) in the same section before COVID.
Note: I have minerals in another section that has an old horizontal well that was completed in January 2013. From 2013 through 2019 (7 years) royalties totaled $4,234/A for a 1/8th royalty. And it is not that great of a well as horizontal wells go (tested 197 bbl oil and 2,463 mcf gas per day). I agree with you that $4K/A is a lowball offer. $3,300/A for minerals might be an insult.
Need to remember many of these offers are from flippers. If they can get a lease for a low price they can resell and make a nice profit. It’s difficult to tell who you are working with. The oil companies don’t want it being known they are buying leases…we would ask for more… Just remember it’s the Wild West out there… The best thing is go slow and ask for more — they will counter if they are landmen working for a driller…
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Bud- wondering if you know if Amazon manufactures anything or are they flippers?
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Looking at the map Martha Barnes posted above I see that my modest royalties are coming from wells in 01-6N-7W and 01-7N-7W. The map also shows an abundance of planned activity. So the advice to hold and see what unfolds is right on. In 2018 Continental offered $10K/A on a 15A parcel in Grady 7N-5W. I was thrilled at that offer, but my dear cousin in Chickasha said, keep countering higher and I ended up with $25/A. enough to pay off two mortgages! AND hat’s off to Martha for her insightful and informed comments in this and other County forums.
Are they sharing the “TYLER” pad on this, Don?
Is this on the “TYLER” pad, Don? Was out there today was the only newness out that way was extending “TYLER” property site. Saw no sign…
Hi Jimbo, yes it’s on the “TYLER” pad. Extended the pad about another 40 feet or so on the westside.
@Don_Bray I love it how you’re out in the field scouting out the surface locations!
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Is the Roberts well producing yet?
Roberts well has not been drilled yet. Waiting on a rig. Camino’s Pooling Application for Section 12-6N-7W is in today’s Express-Star. CD 2022-001100. Hearing is April 18, 2022.
Dang I had 2 months to go
Hi Don, I’m new to this blog, but have a question regarding Section 12-6N-7W. I have been offered $1,000 with 1/8 royalty for three years. I also got the pooling notice. The offer sounds very low, but what happens if I do nothing and am just included in the pooling group? Thanks!