We are also new to this forum and would appreciate any knowledge as to what is going on with our property: block 13, section 247, abstract 515, with any drilling, wells, or if it is part of this "new find" being discussed in the news today. We were offered $5K per acre to purchase our mineral/gas rights but turned it down thinking it might be more lucrative in the future. Currently on lease for next 2 years. Thank you in advance, J Johnston
Not part of the new find. In a really good area that is much further along in terms of development. Most of the stuff around you has already been drilled.
The new find is still in its infancy and I would caution those getting carried away. Think Cline, Barnett, Haynesville where people were offered a lot to purchase and wound up with nothing.
If you were interested in selling I would personally pay you more than double what you have been offered but you probably can't go wrong holding on to it.
You are about a mile to the east of us. I don't see any new permits in your section, though I do see an injection well there. But there is LOTS of activity around you. I certainly wouldn't sell for $5000! My SIL, who owns the same minerals we do in Sec. 185, just leased for somewhere in the neighborhood of $3500 an acre. It could have been a bit more - I don't know the exact amount. We leased a year ago at $2250, before Reeves had heated up again so much.
Our area is not part of the "new find", if you are talking about Apache's "Alpine High". But we are part of a very nice area indeed, and we are very happy where we are. Best luck!
You're north of Apache's "Alpine High" new find. You're much more in the traditional Wolfcamp area. I have seen leases in that area of between $2,000-3,500 (3 yr, 25%) and minerals go from $9K to $12K per net mineral acre (leased at 25%). If you hold on, I think you'll have very long-term cash flow streams that can last for decades. Good luck!
Thanks for all your input; think we'll hang on for now.
Brad,
In that area, who is leasing at $3500/acre? Can I get a name and number please?
Wade, sorry for the late reply. I will send you a friend request to discuss further. Thanks.