How much have the oil companies been paying for the well location to the surface owners in Custer County for a horizontal well? Also how much for water? Thanks for any information. I know these are always negotiable but I need a starting place. Monte
You might see if the University of OK or OK State has any leases on their website. They own acreage across the state. Several of the big TX state schools post those rates, so maybe OK has them. Or folks on the forum may be able to give an idea.
I was hoping to get some idea of what to ask for. I assume the location will take about 4 acres Not sure though. Didn’t find anything on OSUs site.
The company handling surface damages will give you their “starting” price. You can go from there.
I am aware of that. Its just been a while since we’re had one and was wondering what some of the recent reimbursements have been.
It all depends on where your land is located, the closer to a city/town the more valuable the land is and the “damages to the resale of the land is”, meaning the more valuable the land is currently, the more you will get. Its been several years but I got around $6k a pad for farm land in Garvin and Carter County and got them to build a new fence barbed wire fence covering about 50 acres since I had cattle on the properties, each farm is around 300 acres, about 1200 acres in total. I needed a new fence in a couple spots so pushed hard. I sold water to XTO for 10+ years, spent my own money to build 8 ponds just for water hauling, about 2-4 acre ponds just to sell water. I was getting about 75 cents a barrel (1 barrel =42 gallons, average frac job back then was about 5 million gallons of water I think) and got nice gravel roads through my properties out of it. Im not sure what the going rates are today though. From my experiences, these people are great to work with. If they need your water, Id look at your surrounding sections to see how many wells they have filed to be drilled in the offsetting sections to know what kind of cards you are holding and then approach it accordingly. Selling water is a great source of income for a farmer, better than any pecan, wheat, cattle years that Ive ever seen
I know that this same company has offered approx. 15k/acre for land use and 150/day for water 2 miles from this site. What I don’t know is if that is a low price or not. I received more than you mentioned for land use more than 10 years ago and 100/ day for water. This whole area is rural and the whole site will be on decent cropland which I will be losing the crop production on more or less permanently.
Like I said above, I wanted them to install a new fence more than anything so I took less on the pad sites so I wouldnt have to mess with it. But it sounds like you alreaady knew the going rate for pad sites in the area, so not sure why you asked to begin with as most posters on a mineral forum dont deal with pad sites. $150 a day for water isnt to bad if they have 1 water truck hauling 3-4K gallons at a time, if they have multpile trucks running, then youre definitely getting the short end of the stick by not selling it by the barrel/gallon. Crop land is hard to define the value of since it varies drastically per harvest and a 3-4 acre crop lost isnt going to amount to much, but Im guessing you already know all of this.