Charles:
Interestin video on you tube…just type in… anreport bakken shale. Shows wells drilled so far in 2010 in a video
Charles:
Have not done that research yet, but if it is anywhere it would be logical to me that it is on a Montana gov website. Have you tried the bogc.dnrc.mt.gov site that David Peterson mentions above **“Check out the Montana site for well information”? ** I have not checked it yet but I think it would be a good resource. Of course it may not and only show the operator of the well. It may take courthouse work to find the owner BUT, many companies only record what is called Memorandum of Oil & Gas Lease.
Charles:
Thought I would drop this to you. As you will probably have your attorney go over lease language before signing, you might want a clause about grantor being notified on any assignments that are made.
Richard:
I really have never thought about adding that clause but it is a good idea if you are interested in what company holds the lease. One scenerio might be that the company who holds you’re mineral acreage will participate in the well being drilled on the spacing unit but this operator does not hold the majority of the acreage in the unit.
Everybody:: BE SURE your leases say that a well must" have a rig on it and the drill turning to the right" on all future leases. SPUDDING is not enough; ours was spudded two months before drilling; a “drill” is not enough; they can park one with no power unit and call it “HBP”,so heed my warning. My consultant has learned new lingo each month!!
The hawkings isn’t producing yet?
The Hawkins is drilled, a small rig has been “perforating” the casing, getting ready for “Fracing” I hope it gets fraced by the end of the year! There is still a shortage of Frac units and Halliburton has the contract with Brigham to do all of wells they drill!
Yes, According to a friend of miine in the Culbertson area of Roosevelt county, with all the oil activity and all wells doing in excess of 1000BPD Initial Production, the appraised value for purchase should be around $4,000 per acre. I suspect Bridgepoint would not want to pay that much…lol. I hope no one sells unless they get a lot more than $1,000 at least!!
I believe if the mineral owner is keeping up with what is going on in this area, they will not sell unless the money is really needed. I am not an advocate of selling minerals as in the past, I have seen many instances where the mineral seller regretted the sell. Dctex, do you know how many active rigs are currently in the Eastern Montana area?
Just got 4 letters from Bridgepoint Aquisition offering to purchase my minerals in T30N;R58E area. I have recieved offers from them before but it is interesting that in early 2010 they offered $300/acre, now they are offering $1000/acre. I know several wells have been drilled in the area during this time and I’m very optimistic about the future of this Eastern Montana area (Roosevelt/Sheridan).
Dctex99:
Thanks for the info regarding the new pipelines. Sounds like a workable idea and probably a cost effective way of transportation. Just hope no leakage occurs as this could get to be a tricky cleanup. My minerals up in T30N;R59E area will be expiring in the start of 2013 and thus far, not much activity in the area. I still believe that the Eastern Montana area will see much more drilling activity in 2012 as the ND area leases are slowly getting lease holds. Keep me informed.
So… this confirms there’s a lake of oil not embedded in rock?
I don’t know the count, Charles, I know they are waaaay behind on their drilling schedule for 2011. On a side note, Brigham/Statoil is going to put in a private pipeline; 4 pipes stiacked vertically, that will serve 6 wells and countiing in T28n R57E. The bottom will be oil, one will be salt water that they will pump DOWN the old Vertical Alexander#1 in sectgion 26, one will be for fresh water so they can put water in ONE place and have it go to many wells, the input area will be the closes to Culbertson. The very top pipe would also be oil for future use when they get enough to need two pipes. They are negotiating with land owners now for it and expect it to start in the spring of 2012. Certainly a great idea with the Keystone XL put on the back burner by the Obama Administration. Stay tuned; I have an in with the progress of this!!
For now Eastern Montana is producing about 1/2 as much from a well as ND, but it will take just one big prodicer with many fracs to really get Montana rolling in 2012!!
Our interests are primary leased by oasis oil…and…when i talked with their landman yesterday, he pulled out the new drilling schedule and every section we have the mineral rites to are on the drilling schedule for next year, based upon when the leases expire. Thus, if our experience is at all normative…Eastern Montana is now becoming a hot bed for drilling.
In addition, I read through the most recent minutes from the Montana Board of Oil and Gas meetings…and they state that they believe that there is much more money to come in royalties than in leases. Thus, I sense the encouragement is DO NOT SELL unless ou absolutely have to.
DO NOT SELL because the activity is heating up big time in our county and because even the board believes these wells will produce some pretty good royalties in the next months and years.
This is my take on the converstions I’ve had and the readings that I have done.
Dtex99:
I was reading an article yesterday from a local Eastern Montana newspaper, may have been the Sidney Hearld, and it was talking about the increased activtity in the Culberson area in regards to newcomers and the increase in the value of housing in the area. The general jest of the article, is things are beginning to change in the area. I believe you are correct and 2012 could be Montana’s year. As I’ve stated earlier, alot of these leases will be expiring in 2012 and early 2013 so this just might be another factor in increased drilling activity.
CHarles…we are in 28N 57E (southeast sections) and 28N 58E (southwest sections) and there is drilling all around us…to the east, north, south, and west!! Another way to check it out is to go to the Montana Board of OIl and Gas website…and check out the weekly reports. I’ve found that when Oasis receives a permit for drilling, that means that this well is on the drilling schedule. This has been true for 100% of the sections we have an interest in. The web address for the Montana Board of Oil and Gas is: http://bogc.dnrc.mt.gov/ Note that they come out with a weekly report every Friday…and this lists the permits, name of section, name of oil company, and more. It’s very informative. In addition, you can click on the On-line data button and then the Live Data access…and look up the progress on the wells throughout that area…either by name or by company or by…there are a number of choices. Very informative and kind of fun to watch and learn from.
David:
Your area is South of my minerals and hopefully some of this drilling action will move North into our area in 2012. I know that numerous acres will be expiring in late 2012 and early 2013. The section where our minerals are located has several P&A’d old verticle wells and also one active verticle well. As I said earlier, 2012 will be a very interesting year for Roosevelt County especially if a great producer is drilled in the area.
Charles…that would make sense. I know there are a number of abandoned vertical wells in our area as well. The website mentioned before will show them as well as the new activity. AFter you click on “on-line data” and then click on “live data access”…click on GIS and a map of Montana will appear. Put your "clicker over the section you want to view…drag the mouse to make a square of this area…and there are all the wells in that area…old and new. It’s kind of fun to look at the different areas and then find the various wells. Then, I take that well data and go back to the well information page to see what they produced and when they were shut down.
David:
Do you remember what area (Townships/Ranges) in Roosevelt County that Oasis will be drilling?