When I google Montana Oil and gas it brings me to the Montana board of Oil and gas. Is that what you are referring to when you mention Montana Oil and gas website? I don't seem to see the same information you reference but I may not know how to navigate the site as well.
Jason:
Go to the Montana Oil and Gas website; click on Weekly Activity Reports at the top of the page; a list of dates will apperar and click on the 2/3/12; these pages will show permits, etc. which have been handled by the Montana Board of O&G during the past week; scroll down to "Completions" and you should find what I posted. I am somewhat confused on what formations are being targeted in this area of Sheridan County.
I must be doing something wrong. Here's the website I get when I google Montana oil and gas: http://bogc.dnrc.mt.gov/. The only tab at the top that is even close is "Annual/weekly reviews/map" which does not contain the information you mention.
Jason:
When you click on the "Annual/weekly reviews/map" the next screen should be a list of things; look on the right column and find "Weekly Activity Letter"; click on this and this list of permits, etc. will appear and scroll down to "completions" . I probably wasn't clear in my post but I do this so much, sometimes it's hard to tell someone else. Let me know if you still have problems.
Got it!
thanks
Jason:
I look at this weekly update every Friday. It is usually posted around 10:00am and you can keep up with the new permits in MT along with the completions. Hopefully, this site is going to get alot more active this year. I have heard all sorts of predictions for both Sheridan and Roosevelt Counties so guess we'll just wait and see what happens.
They say the biggest delay in activity is the lack of manpower and machinery. There are limited sources to drill and all the love is still going to N.D.. My brother works on a Gas drilling platform in Colorado but lives in California. That goes to show you what they have to do get workers.
Jason:
I realize that the migration of activity is slowly moving to the West from ND but it seems like it is really slow. I have minerals in Williams County ND and a permit has been issued on one of my sections. My area is located just across the border of MT into ND but the activity hasn't really got underway in this part of ND. Good thing for the mineral owners is as leases expire in MT, the terms of the new leases will definately be in the favor of the mineral owner since bonus and % royalty rates have got alot higher since 2008/2009.
I have a five year lease that was signed March 9, 2007 so the lease is up next month. It wasn't recorded until April 6th. I was wondering if i should contact the lessee to see if they are going to do something or just wait until the end of the term? I am assuming that the date on the lease is the revelvent date.
Jason:
You could contact the lessee but do your homework in regards to the terms of the new lease. I would check around and see what rates in this area are currently going for and be prepared to possibly market your minerals with others. Where are your minerals located? Mine are located in T31;R59E;Section 31. Currently, Marathon has us temp spaced and per their company rep., they plan to develope this area in the near future. Who knows, I will believe it when the rig is on site and drilling. I've been at this game too long.
Jason:
The Diomedes is the name of the developement in which Marathon is involved in the Sheridan County MT area and the NW section of ND in Williams County. We will all hope that seveal good wells occur in these areas which will possibly kick off the drilling activity and also make our mineral interests worth alot more.
We never leased last year, as I wanted money up front in escrow before releasing the lease, (so to speak) since the lessee was also a front with no visible assets. Anyone seeing any new leasing activity with legitimate companies?
Originally offered 300/acre with a 16% for 5 years.
34N 54E sec 12
Duke:
You might google "Eser.org" and put in your location. A map of your area will appear and you can identify operators with wells in the area. You could contact their land departments in regards to their interest in your area. Again, as activity picks up in the area, they will most likely contact you and possibly a better lease will be negotiated.
We are in 35N 54 E and 36N 54E. We accepted a top lease from the orginal leasor at 16
5 and 400 per acre for 2 years with 20% now and the balance at the original expiration date in March of 2013, but prices are all over again. I have heard of offers around 150 to the west. The Bolster well will determine a lot of the pricing for the near future in this area.
That was supposed to be 16% royalty.
I'm at 31N 57E section 34
I used the ESER website and nothing much was happening around me.
Jason:
Since no activity is occurring in your area, then the bonus amounts will be on the "low" side most likely as compared with others in the more active areas of Sheridan. The way I see it is you have basically two choices, market your minerals for the lower bonus rates or play the waiting game and hope that some good wells are drilled in your area. If you decide to lease at the current bonus amounts, I would definately get 20% on the royalty with a three year lease and no extension clause.
Just got a call from a land man today.
It take long for people to find that my mineral rights were expiring.
He offered me $400 per acre and 18% for a 5 year deal.
I told him I wanted a 3 year with a 2 year option.
For that he offered me $350 per acre for the 3 year and $400 per acre of the option. Same royalty.
I am assuming that if nothing happens during the first three years and they exercise their option I get a second check for the two year extension?
Just make sure you deal with reputable party or get bonus in escrow before releasing the lease to them.
Jason:
I would ask $400/acre; 18% royalty; with a 3 year lease; no option. These would be minimums. If he refuses, shop around and market your minerals. If this area heats up and I feel it will, over the next couple of years, the bonus amounts and % royalty rates will change accordingly. If you agree to an option, they will most likely put your acreage on the back burner for drilling and enjoy an extra two year lease at a steal for bonus amounts. This individual may be scouting ahead of the future developement in order to pick up some acreage at a steal and then flip it. In conclusion, if your mineral lease expires, there are numerous landmen in the County Clerk's office daily and you will most likely be contacted on a routine basis. Don't be in a hurry as you will sell yourself short.