Reeves - AB 3460 BLK 58 SEC 19

[Robert_E_Sullivan]

All-

Ever so often, I ask if there’s any new activity near our parcel–AB 3460 BLK 58 SEC 19 PSLSW/4

Thanks in advance for any information you may have!

Robert

[David_Z]

I have a parcel in Blk 59 Sec 17 and have a similar curiosity.

So, I looked at the GLO Land/Lease Viewer and it shows a Lease Sale Nominated Tract next to you in BLK 58 Sec 17 and 18. But, I am not sure exactly what that means. It says Price Per Acre of $1,500. I assume the State (right?) is trying to lease these parcels - - - but what exactly are they trying to lease (surface and / or mineral)?

Does the sale of Lease Sale Nominated Tracts bode well for an area? Does the $1,500 Per Acre hint at some value or lack thereof of the area? Any input would be appreciated!

David Z

[TennisDaze]

GLO regularly has oil and gas lease sealed-bid auctions on open minerals that are state-owned. Oil companies will nominate tracts and the list is posted in advance. You can find the information on EnergyNet website. The bids are opened on the specified date and the highest bid for each tract is accepted. GLO sets minimum bid terms, in this case $1,500 per acre, and all are 25% royalty, 3 year primary term, delay rentals for 2nd and 3rd years and State lease form. There could be one bid or ten for any tract. All bids are posted, winners and losers, with company identified. Some tracts may get no bids. You can view the results of prior lease auctions on GLO website.

[Charles_Emery_Tooke_III]

Hey, Robert!

I remember that smile and blue shirt from a couple of years ago. Glad to see you are still here with us on The Forum.

If you will take a look at the attached, you will see that there haven’t been any Life Changing Events occurring in your area of Reeves County lately.

And I wasn’t able to find even any Lease Activity in the area since 2017.

What Wells have been Completed in the area over the years haven’t been particularly impressive, but they have only been Completed in a handful of Formations. Maybe there are others you can look forward to in the future.

Wish I had better news.

Again.

[SEC 19, BLK 58 PSL, REEVES CO 2021 01 04.pdf|attachment]

(upload://8VcUYdbGptyXbwrVJ9yuHS6ohjb.pdf) (166.0 KB)

Keep The Faith!

[Robert_E_Sullivan]

Thanks, Charles! That’s is me and I know that someday we will get some action on the parcel. We signed a lease in 2017, so I guess our’s has or will soon expire. Hope springs eternal!! Happy New Year and thanks again!