Public School Land Winkler County Block 27 Section 28 (Haley) and Section 39 (Wadsworth). Found all references to those two pieces of land (square miles) (640 AC) using those two bits of information. The two wells I know of are API #42-495-33234 (Haley) 08-230752 and API # 42-495-33237 (Wadsworth) 08-232053-- Operated by Forge Energy.
So those are the current "semi" producing wells (gas) on the two sections of land that I know of. As in my below query what is the history of the property with respects to past wells...? Ok given a well might produce for a few years lets say 10. Then since 1945 what is the history of the 8 possible wells on the property with respects to operations, locations on the property, and their dispositions.. ?? I know the information is out there just not totally sure where it all lies and how easily it is to look at the total history of those two sections.
Our original purchase deeds on 28 & 39 are both mineral and surface rights ownership of which we own predetermined undivided interest of each section. Thus anything from my understanding that happens on those two sections all parties with ownership are entitled to some royalty depending on their purchase / deed / lease documents.
I'm just trying to build a history timeline of the two sections from 1945 to present. I already have deeds and documents related to the two prior to 1945 and some bits and pieces from then to present.
My additional information search is just who and what is happening to those two sections with respect to current and near future expansion. Are there more wells going to be drilled, by whom and are they looking at horizontal (other than or vertical) drilling.
I have been offered various $$$ amounts to buy my total interests in the two sections. Prices have over the past 3 years been from a moderate amount to as much as 10-20 times that amount.
Now If for example someone offered you a couple thousand $$$ last year and this year its 10 times that amount something is happening that these people "In the Know" know about that they are not willing to share knowledge wise.
Well.... I want to know....??
Hope this helps you and others who might have an interest in the two properties in question as to where I am going. I know there are about 40+ who are currently holding some interest in these two wells/sections who would probably also like to know what is up too.
Hi Robert, First I will comment on Block 27 Section 28. The Forge well is the first well to be drilled on this block ever. That attached plat from DrillingInfo.com (a subscription site) is centered on section 27 and shows the Forge surface location (red dot and associated API number). No other wells indicated to have even been drilled on this section (compare to offsetting sections that show well symbols).
You could have found this info on the Tx RRC site. If you are looking to learn about the O&G world and info in this area, that is the best way to do it (it if free site).
Comment on productive live of wells - these horizontal "shale" wells will probably produced for 20-30 years or more assuming good maintenance and no catastrophic mechanical failure. Note, however, that these wells wells will start out at a high rate and quickly decline over the first 2-4 years until the stabilized production is 10% or less of the original production.
That is just the way these reservoirs produce. Imagine a huge balloon and what happens when you open of the stem and let the air out.
Robert, here is info on the Section 39 area. Attached plat shows the Forge well (red dot and number). Appears to be a vertical well. Also note the two old dry holes in the corner of the section. I have not researched any details on the vintage and depth of these wells. Both were vertical tests.
Also attached is a listing for a well (42-495-03225) that is not shown on the plat but is supposedly located in section 29. This production for this well is listed as "lease" production - it is from 4-5 separate wells. This is how oil production is reported in Texas. Depth on this production is about 3000'. Well was abandoned in 1992 I believe.
Funny thing that you say that in Section 28 the Forge Well is the first well to have been drilled. I have somewhere in my recent documents where the well you speak of was drilled I believe in 2006 or 07. If that is true then for the past 60+ previous years that section # 28 has sat vacant with no producing wells. I don't have all of my information in front of me but I'm wondering how for 70 years with no wells we have gotten royalty checks from something that is not existing or producing on that section. HUmmmmmmm..
This is my reasoning for trying to put the puzzle together. Not to say you are right but how do you get paid for 60 years for something that is not there...? I'm sure the checks we have gotten for 60 years did not come from just section 39.
Curious minds want to know what is missing. GBG... ???
Oil Gas Mineral Lease 23 June 1966. Jack Russell Lease, Section 28 of Block 27 PSL survey containing 640 AC. File # A77245 DEED Record Vol. 226 Pg. 95 Winkler Co, TX.
I have a copy of the Lease with the 3 pages of fine print.
So here lies my question. If in 1966 a Lease was established between the parties of ownership in of Section 28 then surely a well was projected or even drilled or why would there be a 5 year lease on the property. I have several records of Leases of this type over the years but only a hard copy of this one from 1966.
See where my thinking lies as to what has been happening on the properties for the past 70 years...
I believe both the Forge wells were originally drilled by Chesapeake and acquired by Forge in the recent past as part of a larger acquisition in the Delaware Basin.
What company was the 1966 lease with? And with a lease, there is no guarantee that a well was drilled during the 5 year term. Leases go undrilled all the time and expire.
Back to the royalty payments - what company was paying the royalties? Any reference info on the check stubs as to well / lease / operator/ anything?
Historically this part of Winkler County has been a very low activity area. If you strip off all the horizontal "shale" wells that have been drilled in the past few years, you would not have a lot of production (outside of the big oil field that sits a few miles to the east)
Robert, I also have ownership interests in the same two sections. With the help of Rock Man and Clint Liles, I have recently done considerable research on these interests. I would be happy to have a chat with you. Caleb Small 206-612-4589
Grew up there in Winkler county. Completed several wells for Anadarko,
Exxon, BTA Oil Producers, etc in Winkler, Ward, Pecos, and Loving counties.
Before they consolidated all the producing formation names, we had
Yates, 7 Rivers, Queen, Bone Springs, Wolfcamp, Fusselman, Devonian, Ellenburger, Silurian...a total of 17 producing zones in Winkler, Ward, Pecos, Loving counties. Now they are Wolfbone and the like....but the formations haven't changed location underground.
Some of the old oilfield hands are still there in Wink and Kermit....and they know a lot about the subsurface stratigraphy of the area.
I have posted some information in the past and have spent some time gathering facts about what has been happening and some recent insights as to what is going on in Wink County. Looks like I will most likely be selling my rights there and just looking for a couple more names as to companies who are purchasing rights in this area. So if anyone here knows of any Top Dollar companies they can suggest just let me know. I have 5 companies already and would like a couple more. I'm just going to offer it up to them and the top bid will win the right to purchase. So just throw some names out here and lets see if the one's I have listed are on the list. Thanks, Steve
here is the future of oil and gas refining for the Delaware Basin: http://www.reftexas.com/media/522fc8f27343d.pdf These skid mounted mini refineries can be placed on each location or at a central hub for many locations and produce finished liquid products from produced oil and natural gas. Gasoline, naptha, diesel, aviation jet fuel, lube/motor oils.....and stored in tanks on location to be pumped in distribution pipelines or loaded on railroad tank cars to take the products to market. These can be moved around the country as needed and preclude interruptions due to hurricanes, earthquakes, etc. near Verhalen
Robert, just be careful and read the fine print on those offers. I have received some outstanding offers for my interests in Haley and Wadsworth, but they're not all for real. Some are actually option agreements that will tie up your rights while the "purchaser" attempts to flip them for a higher price to someone else, only to come back to you with a much lower offer. Call me if you want names. -Caleb
Thanks Caleb for the note. I'm going to make it plane and simple. The offer is large enough I'm satisfied with their price. This is a multi BILLION dollar market place, so parting with a few dollars cash trying to steal it is not in the books. I drive to their office with in a day or two. I meet them at their bank and they put CASH in front of me. No tie ups no delays no contracts no funny business. I sign the transfer they get the property and mineral rights, I get paid. Now if they want to sell it I have no control over the actions they do. Let me say this, I too had a written offer the end of 2016 for a price. I was talking directly to a company a few months ago and within 2 minutes after we talked they offered me over 10 times the previous written offer. Yes, I know what you are saying but in my book Money talks Bull S#*! Walks.
Public School Land Winkler County Block 27 Section 28 (Haley) and Section 39 (Wadsworth).
Can anyone shed some light on these two sections as to projections on anything on the horizon with further development, drilling, Etc. Someone said Chesapeake has these tied up but Forge Energy is in there somewhere. The two wells, one on each, are doing minimal production and I believe it was 2006-2008 the last time anything was drilled.
Felix Energy (Denver) has over 25 horizontal permits in Block 27 plus is drilling two SWD wells to support this program. There are no new permits in the two sections you mentioned but Felix is in adjacent sections. Suggest you check the Tx RRC site to see any well results for this area
Robert Everley, This link will take you to an interactive RRC map centered on Blk 27 Sec 27. Your section 28 adjoins Sec 27. Use the zoom out tool located in the upper left corner of the map. There are other RRC Map Viewer tools you can learn how to use if interested.
Robert, you are correct. It was about 2006 when Chesapeake drilled the two now producing wells, one each on sec 28 and 39. Prior to that, over the decades, there were several leases with various companies which paid a fixed amount (usually a few thousand dollars) for the opportunity to explore or drill for a fixed amount of time (usually a few years). When the lease term was up, and no oil was produced, those leases ended. Only one dry hole was drilled up to that time.
To the best of my understanding, when Chesapeake hit oil (gas actually) with the two wells, their lease automatically converted into a perpetual term for as long as the wells produce (and hence the bare minimum production today that "holds" the lease). Chesapeake eventually sold their lease to Shell Western, who in turn recently sold it to Forge Energy. Forge energy is now the lease operator, and you should be getting royalty payments from them for your fractional share of the mineral rights.
Recently, I have been getting some outstanding offers for my fractional interest, some legitimate, some not. This would indicate there is belief that these two sections still have great production potential with today's new technology. I would be interested to share this type of information, but it is not something I would post in writing.
