I have received a lease request from Canyon Creek that they are proposing the drilling of a horizontal woodford well. They are paying 3/16th for a 3 year plus 2 lease. Has anyone leased to Canyon and the question is whether I should? First activity in a long time for my lease (I inherited 5 years ago) and new to whether I should lease or not? Any advice?
Thanks!
There are many sec 25s in Coal. What is the Township and Range?
Do not do the two year option. Ask what they are offering for 1/5th and 1/4th.
The terms of your lease are much more important than the bonus money in the long run. The standard lease that they will offer you is usually almost all in their favor. Everything is negotiable and you need to make some significant changes to the lease to put it in your favor.
Proposed drilling is at a surface location of 343'FSLx325' FWL of Section 13-2N-9E to a proposed bottom hoe location at 1,930' FSL x 660' FWL of Section 25-2N-9E. They are covering Sections 24 and 25, Township 2 North, Range 9 East.
I leased to Canyon in 1N 8E. I refused the 2 year option.
I have received another lease offer that is better than what Canyon is offering. I was told by the landman representing Canyon that it is better to sign a lease with the operator. Is that correct? The other company is Mineralmen Land Co out of Amarillo. They are offering a 22% royalty.