Share your experience leasing acreage in Polk County. Who is leasing? What lease bonus and royalty rates were offered?
Reagan,
Is it just me or are there no instructions telling ppl what to do? Thanks for your help. Or, am I just getting too old for this? lol
Yours,
Wes Luke
Reagan,
This is so puzzling. When I click on someone in an email to get here it always comes up in the "Wall" mode. Since I find nothing telling me how to get to the "Discussion", I had to click on you in the wall mode. I must sound ignorant but being my discussion, I must know how to operate it. I've had my own discussions in several forums for 10 years and there were always buttons to navigate the discussion. You didn't explain to me how you got to this exact place. Please do that now.
Yours,
Wes
i have a lease in polk county. it started in 07 with meridian then alta mesa aquired them. my lease was for 3 years with a 2 year extension which alta mesa did. it will expire summer 2012.am new to all this and learning as i go. i have 78 acres there.the land is in livingston tx.
thanks
mary
Hi Mary,
As we discussed on "The Dreaded Wall" lol you can buy for $25.00 a subscription to the Polk County records that go back in most cases to 1986. You should be able to find everything you need there. I could make you a proposition, since there is info there that I need too. I would be willing to pay half the subscription price if you would be willing to do my search for me. Just a way to save a bit of money. Let me know what you think.
Yours,
Wes
Hi all,
I just received a lease offer from a landman on behalf of Wapiti Energy for a (small interest in) 100 acre parcel in S.C.Hirom Survey Abstract 37. Bonus= $275/nma, Primary Term=3 yrs, Royalty 3/16. We had previously leased in 2008 to Sandhawk Energy for 3yrs at 1/5 royalty with a $200/nma bonus.
Does anyone else have interest in this area? Anyone have info on activity and/or current rates, etc (in addition to J.G ) ?
Just signed lease with Wapiti Energy for small interest in S.C.Hirom Survey Abstract 37. Term 3 yrs, Royalty 1/5, Bonus $325/acre.
Just received new leasing proposal from Southern Star Exploration LLC, for lease with Fort Apache Energy Inc. Has anyone dealt with either? The offer, for small acreage in S.C. Hiroms Survey 37, is for $150/acre bonus, 3 yr term, 1/6 royalty. Not enthusiastic in view of the one we did in August with Wapiti (see above). Anyone heard any other recent terms in that area?
Just negotiated lease with Southern Star Exploration , on behalf of Fort Apache Energy, (see above) at 1/5 royalty, 3 yr term with $325/net acre bonus.
what is going on in the polk co area. i had minerals leased but the company did not renew the lease when it expired in 2012.
thanks
Not sure Mary. Obviously someone at Fort Apache Energy thinks there’s something there… so does Wapiti Energy who I signed with last summer… I haven’t found any news on the net. Guess we’ll just have to wait for the next chapter.
Thanks. May try to get in touch with them. Did u get good $for Ur minerals .
What part of Polk co are they in? Mine are located near onalaska
Hello all. This is my first post.just received an offer for $150/nma 20% royalty gas and oil 3 yr paid up with 2 yr option to extend at $100/nma on 185 acres in the Edmond Parsons Survey from Schoeffler Energy.
I will post the results when completed.
We got the same offer. I was wondering if this is the standard. It seem awful low to me...but God knows I'm no expert. In talking with others in the business, this offer seems low. Does anyone know what the lease is going for?
John W. Kincaid said:
Hello all. This is my first post.just received an offer for $150/nma 20% royalty gas and oil 3 yr paid up with 2 yr option to extend at $100/nma on 185 acres in the Edmond Parsons Survey from Schoeffler Energy.
I will post the results when completed.
any more news coming out of polk county? i still have not heard from any other company for leasing my minerals but trying to get in touch with a few.
thanks Mike. i know mine are located close to onalaska. in the watts/cartwright surveys. it seems most of the drilling is in the eastern part of polk co. but it seems like one day they will have to move west.... i also have a little interest in brazos co in which halcon has those now. i have contacted them to change my address but also mentioned about the ones i have in polk co. i also contacted a few companies. i hope to hear something. the first lease i had i got 500.00/nma . so is that still a good price to ask? thanks for your help.
Mike, do we just ask for the $500 an acre. Is there a way to proceed in these transactions? I am very new to this so anymore advice you have would be wonderful. Thanks though for your response. I really appreciate it.
Mike R said:
Per local landman, going rate in the area is $300 per acre bonus, 20% royalty, and 3+2 (primary / secondary) term. Personally, I would ask for $500 per acre bonus, a 25% cost free royalty, and 3 year term.
Thank you again. You've given me a lot to consider. We already contact an oil and gas attorney to look over the lease they had. He has said pretty much what you have said. Again I appreciate you sharing your knowledge. Have a most blessed day.
Mike R said:
I would ask for the $500 but be prepared for a counter offer at a lower amount. Recent offers in Tyler County are $250 and a 25% royalty. I think the $250 to $300 bonus range is where your final offer should be. The royalty is actually more important (since your money is in the "ground") and is more difficult to negotiate. Personally, I would not settle for a final royalty offer less than 22.5% , and I would be willing to pass until a better offer is made (usually after the first well is drilled). In this case, it's a bit of a gamble since you're sacrificing upfront bonus money for a future, more lucrative offer (betting that a productive well is drilled near your property). If you're in a good area, you should get good terms from a reputable operator. Make sure you are leasing from an operator and not a lease "flipper" (ask the landman who he's representing) and also make sure that your royalty is cost free.
I recommend that you talk to your neighbors or area mineral owners to establish what their final offers were. That will give you a negotiating range. Once you negotiate the terms (bonus / royalty / lease term), hire a good oil and gas attorney to write your lease (working with your lessor), You need "bullet proof" cost free lease language and an attorney is needed. Check out the Go Haynesville Shale forum and notice how many mineral owners were cheated by Chesapeake Production (thinking they had cost free royalty language that Chesapeake was able to avoid).
I have 11.27936880 net minerals acres out of the mineral rights in 46.03824 acres located in the Leggett, TX area, Ben J. Harper Survey A-36 Polk County. Does anyone know what selling price would be or should be for this area? Also interested in lease information as well. I had lease with Amarado Oil Company that ended Dec. 2012 for lease bonus of $250 per acre, 3 yr lease, 1/4 royalty. Is there any action in this area? Any information would be greatly appreciated. Thank You!