Seismic permit with lease option

Hello everyone. My sister and i just found out we own mineral rights in Archer County, TX. It was a shock and we are trying to get as much info as we can before we make a decision. We have been offered a Seismic permit with option to lease. We would like to find out if the Seismic permit with option to lease is normally signed together. also they are offering $15 per acre for 12 month for the seismic permit is that good? The option to lease is a three year at $90 per net mineral acre and 1/6 royalty there is no mention of a lease bonus. Any comments are appreciated thanks.

Travis,

Is there any production or any drilling activity around your minerals area? What is the Abstract, Block, and Section # of your minerals acreage? Lets pull this up on the GIS map and see what's in the area.. 1/6 royalty and $90 is definitely too cheap nowdays for any lease. That's an insult.

Clint Liles

All we have for location is Hooper & Wade survey section 6 abstract 1107. I appreciate any help we can get thanks Clint.

Travis Seigal

Travis, I see numerous dry holes have been drilled in the past in the surrounding area. Also to the northeast, east and southeast are numerous plugged oil wells and possibly a few producing oil wells. The blue circles with sticks through them are dry holes. The green circles with 2 sticks are plugged oil wells and the green circles are possibly producing oil wells. This is a link to a well in Abstract 234:

http://webapps2.rrc.state.tx.us/EWA/drillingPermitDetailAction.do?methodToCall=searchByUniversalDocNo&universalDocNo=340464&rrcActionMan=H4sIAAAAAAAAAL1QwWrDMAz9mu5oZKctyUGHMLrz2pX1EHpwE5ManDjIDtvAHz8lY9ClO_fkp6fnpyclCYAqSZAon4jqso7W94eamgrOOPMf5qKHISjBbRGijkbETzGGVVbmwAqFK_WyO5UMswk2ZJ2zfftqqLMx7EdDXz-2ovEsWmNn4tU3R_-snWNig2TiSP3RvxlN9ZWpHOEuTRXmbkltEIMm3b1rN5o5JGcAKLK8KKZV2PBiWtuHk42TGbv9qaVa1Lf6xVj5uCOE3-W3OOjW0M2S_15EnqulbgqLMimUkDIGa4S04XfLxP3vh9zzG64NdylhAgAA

There is production in the area. Possibly someone else in the Archer County Group will chime in with some info on the bonus money per acre and the royalty percentage.

GIS Map of your Abstract # 1107 and surrounding area:


Clint Liles