Oh, ok I understand now…call me, it’s just too much to type back and forth…lets have a verbal dialogue…but basically we are a start up company, lack the major capital, but have tons of experience working at the RRC on our side and relationships with industry players. Just trying to make the entrepreneurial dreamm become a reality.
I have some property in Ward County, TX that I am interested in leasing. The property is located at Block 34, H&TC RR Co. Survey Section 213: SE 30.000 acres of E/4N/4. How can I contact a Landman for this area? [email protected]
Cimarex offering $1,250 nma and 1/4 royalty. Is this a fair lease bonus and royalty? Own 2.8 nma.
Jim I emailed you my suggestion!! Good Luck!! We have been very happy with that ohtfit!! Let me know how you come out!!
Jan, Royalty is okay. The bonus depends on where you are located, keeping in mind your leverage decreases for smaller tracts.
Larry Clover,
Wow! interesting; where is you property in Ward County in relation to the Pecos River and Section 1, Block 1, W.& N. W. Ry. Survey. There is a gas plant located off County road 160 with numerous gas and oil lines running to the plant.
You are in an area unknown to me about leasing land to a gas company for a plant. I know Southern Union Gas Services operates several pipelines in the area an are the primary gas service company in the area.
You definitely need an attorney for this one and a one time offer is bogus as they are trying for a cheep deal. I would negotiate for annual land leases, percentage of royalty for all gas processed in the plant and everything else you can negotiate. Remember that Texas has the right of eminent Domain so you need to reach an agreement if they really want the property or I think they can take it and pay you a low going rate.
My thoughts,
Mike
Just got an offer for a gas plant on our property in Ward County to process the oil and gas from three wells they drilled. Does anyone know the going rate for pad sites, or gas plant sites in the area? They are offering a one time price for the property.
Larry Glover,
not an authority on subject, but, relative of mine sold 10 acres for 1,000,000 in 2010 in the Eagle Ford area… I don’t know if that is good or not. Just thought I would mention it… The 10 acres was for a refinery to process oil and gas, or some such… Hope this helps… Louise
Our property is in Sec 32, Blk. 1, W & NW Ry. County Survey.
Thanks for the input.
Larry
We have just been contacted by Shaw Interests, Inc. Anyone have experience with that Landman company? We didn’t even know about the inherited property until they called us. It’s in Ward Co., Sect 6, Block 5. Apparently we only have mineral rights as we didn’t know about the property and haven’t paid property taxes.
Shaw has represented several major drillers. If you ask them who they are representing, they will probably tell you.
Yes… I only have about 40 net mineral ac… so not too big… thanks for the input…it’s appreciated!
I have mineral rights in S/4E/4 Sec. 15, Blk 5, H&TC RR Co Svy which is apparently part of the Shipley Queen Sand Unit. I recieved an offer of $300/ac, 3/16ths and 3 years… I have no other property in Ward County… anyone know if this sounds about right for this area?
Thanks!
@ N Case - Seems to me you should at least get $1000-$1300/acre in that survey. I know for a fact others have gone that high, if not higher and got 1/4 royalty. However, it may depend on the acreage you’re leasing. If it’s a small amount of acreage then you may not be able to command a higher figure. Others in this group will probably have a differing opinion since they may have a lot more experience than me on the topic.
I have 1.3333 acres in Section 15, Block 5 in Ward Co. Just received offer/lease of $200/acre bonus, 5 year paid-up primary term and a 3/16th royalty. I don’t know what paid-up primary term means. We have such a small bit that I don’t know that it’s worth alot of haggling…
Any ideas?
@Wade – do you know who is leasing in that area (Sec. 15, Blk 5) ?
MDC Energy in Midland, TX…landman co is Shaw Interests. So you think that’s way too low for our tiny tract? I found out that the 5 yr paid-up means that what we get is it as to the lease…no annual payments. Just one time bonus and then royalty if it hits.
Roxanne, Yes, too low. Austin, The difference is the amount stored in the tank battery at the end of the reporting period. It should be sold and included in next month’s check.
Our statements list the amount of gas/oil produced and our share amount with totals less tax’s for the net amount. Each company has their own reporting system.
We deal with Cimarex Energy, they pay two months in the rear. This months check was/is for January 2014. The accounting system is always in question by me. No month is typical, it varies over the chart. There are six 500 barrel storage tanks on the site and they do store oil and wait for the commodity prices to reach the high point then sell or sell once tanks reach capacity. Cimarex is always adjusting prices and recalculating all amounts on items and may go back for months. I consider it a shell game with their accounting system.
If anyone has knowledge of how to obtain the actual production records and keep the oil companies accountable I am interested.
Where is your location in Ward County. My dealings with Cimerax have always be satisfactory and friendly.