Hi my name is William Austin Pugh 111, or the 3rd, I have a fair amount of Mr,s in Reagan county & just wondering if & when "the “” powers that be are going to re do some old wells & drill for deeper formations ?? I am new at this & any help would be great, as I have had some substantial offers to sell my mineral rights! Best regards!!
William A Pugh 111…
William, do you have a legal description of where your minerals are located in Reagan County?
Yes I do, they are T&P TS5 SE4 &N2 A-554,B-1,S-183,T&P T5S,T&P T5S S2&NE4 A-,B-1,S-199, not sure what all that means?? But thank U kindly!! Best regards William A Pugh 111…
My intrest are fractional to 4.8+% on one of the 160 acre tracts!! Davidson 5 is what its called! Thanks David… Best regards William A Pugh…
Hope those are the descriptions ya need David?? I don’t know a lot about how to read them, I just copied what was on one of my offers to purchase!. Best regards William…:). Have a great day & thank U for checking it out for me!..
Oops Davidson 5 is wrong!! Lol wrong county!! Scratch the Davidson 5 part!! Thanks!..WAP111 …
William, those descriptions were helpful, and I was able to verify them with the tax records. It looks like Discovery Natural Resources (formerly FIML Natural Resources) is currently operating on Section 199. Last month Discovery Natural Resources filed for, and received, a permit to drill a very large horizontal well (two mile long laterals), in Sections 151 and 174, which are just 3-4 miles away from your Section 199 property.
Depending on a number of factors, such as the language of your lease, the leaseholders of the other interests in your section, the leaseholders of the sections bordering yours, etc... it is reasonable to assume that at some point in the future Discovery or somebody else would want to pursue additional development on your Section 199.
Your other property, Section 183, is being operated by Arkland Producing Company. Based on my limited Railroad Commission research, it looks like Arkland hasn't drilled a new well since the year 2000, so it is unlikely that they will do anything, but that doesn't necessarily rule out future near term development. Both properties are in a very active area of the Permian Basin, and a lot of small oil companies will sell certain depths or percentages of their leases to larger operators that have the capital and expertise to properly develop a property.
Long story short, your properties are in a very good area, and you will continue to receive purchase offers in the mail. Unfortunately, it is impossible to say when there will be future development on the properties, but it is safe to say that when there is...it will be impressive. If you are interested in selling a small percentage of your minerals, there are a number of folks I could send the property description to for review and to gather some bids. Otherwise, I'd hold on to them and see what happens. If you have any other questions, feel free to send me an email: [email protected]
Oh thank U so much David! I really really appreciate U!! I will definitely stay in touch & thank U so very much for the info David!! Have a great day!! Chat soon !! Best regards William A Pugh 111…