A few questions - GoHaynesvilleShale.com2024-03-29T08:32:16Zhttps://gohaynesvilleshale.com/forum/topics/a-few-questions?commentId=2117179%3AComment%3A4035097&feed=yes&xn_auth=noOk thank you all sincerely.
n…tag:gohaynesvilleshale.com,2022-10-29:2117179:Comment:40349422022-10-29T02:49:54.043ZQuattrohttps://gohaynesvilleshale.com/profile/Quattro
<p>Ok thank you all sincerely.</p>
<p>negotiating now.</p>
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<p>This is inherited property/rights for my wife. She has some no cost in another section that was very good for her parents.</p>
<p>Trying to get best deal possible.</p>
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<p>Ok thank you all sincerely.</p>
<p>negotiating now.</p>
<p></p>
<p>This is inherited property/rights for my wife. She has some no cost in another section that was very good for her parents.</p>
<p>Trying to get best deal possible.</p>
<p></p>
<p></p> In most situations, I would t…tag:gohaynesvilleshale.com,2022-10-29:2117179:Comment:40350082022-10-29T02:31:11.194ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>In most situations, I would take a 22.5% royalty with a no cost clause over a 25% royalty without. The question here is that of the language in the clause. Many mineral owners accepted leases with "no cost" language supplied by the lessee that turned out to not stand up in court. Their operator deducted post production costs from their royalty revenue. The wording of a no cost clause must be such that it is based on established case law. I would want an experienced O&G attorney to…</p>
<p>In most situations, I would take a 22.5% royalty with a no cost clause over a 25% royalty without. The question here is that of the language in the clause. Many mineral owners accepted leases with "no cost" language supplied by the lessee that turned out to not stand up in court. Their operator deducted post production costs from their royalty revenue. The wording of a no cost clause must be such that it is based on established case law. I would want an experienced O&G attorney to draft or review the language such that the lessee knew it was enforceable in court</p>
<p></p> Every situation is unique. T…tag:gohaynesvilleshale.com,2022-10-29:2117179:Comment:40350972022-10-29T02:23:40.041ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Every situation is unique. Those with significant acreage positions have more leverage. Those with surface ownership where operators need surface use have more leverage. The one situation that provides the most leverage is competition for leases. This late in the play there are not many large unleased acreages that are located well within the fairway. Most leases I see have 20% or 22.5% royalty offers which reflects lack of competition and the fact that the play has matured. A quarter…</p>
<p>Every situation is unique. Those with significant acreage positions have more leverage. Those with surface ownership where operators need surface use have more leverage. The one situation that provides the most leverage is competition for leases. This late in the play there are not many large unleased acreages that are located well within the fairway. Most leases I see have 20% or 22.5% royalty offers which reflects lack of competition and the fact that the play has matured. A quarter royalty is still possible in the right situation however it is not a given.</p>
<p></p> But cost free lease equally i…tag:gohaynesvilleshale.com,2022-10-28:2117179:Comment:40350932022-10-28T23:56:40.882ZRock Manhttps://gohaynesvilleshale.com/profile/MarkP
But cost free lease equally important
But cost free lease equally important Absolutelytag:gohaynesvilleshale.com,2022-10-28:2117179:Comment:40350902022-10-28T23:56:13.197ZRock Manhttps://gohaynesvilleshale.com/profile/MarkP
Absolutely
Absolutely I assume a 1/4 royalty is sti…tag:gohaynesvilleshale.com,2022-10-28:2117179:Comment:40350052022-10-28T23:54:55.067ZQuattrohttps://gohaynesvilleshale.com/profile/Quattro
<p>I assume a 1/4 royalty is still a reasonable target? </p>
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<p>I assume a 1/4 royalty is still a reasonable target? </p>
<p></p> Unleased mineral owners don't…tag:gohaynesvilleshale.com,2022-10-17:2117179:Comment:40341862022-10-17T01:35:30.925ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Unleased mineral owners don't get well invoices. Their proportional share of production is applied to their proportional share of well costs until such time as a well reaches payout. That is tracked by way of the quarterly production reports that operators are required to provide for UMOs upon demand. After that point, they receive 8/8ths. (100% since they don't have a royalty burden) of their share of production less lease operating expenses. There are a number of producing Haynesville…</p>
<p>Unleased mineral owners don't get well invoices. Their proportional share of production is applied to their proportional share of well costs until such time as a well reaches payout. That is tracked by way of the quarterly production reports that operators are required to provide for UMOs upon demand. After that point, they receive 8/8ths. (100% since they don't have a royalty burden) of their share of production less lease operating expenses. There are a number of producing Haynesville and Bossier wells in the township. This is close to the southern edge of the defined Haynesville shale fairway which extends another six miles south based on current development.</p>
<p></p> Thanks again.tag:gohaynesvilleshale.com,2022-10-17:2117179:Comment:40341852022-10-17T01:02:58.150ZQuattrohttps://gohaynesvilleshale.com/profile/Quattro
<p>Thanks again.</p>
<p>Thanks again.</p> HA RA SUQ in the Converse Fie…tag:gohaynesvilleshale.com,2022-10-17:2117179:Comment:40342942022-10-17T00:48:31.380ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>HA RA SUQ in the Converse Field only has the original unit well drilled in 2012. It cost almost $15M and has just now produced 4 BCF so it likely has not paid out and might never considering the low natural gas prices 2012 through 2014 when the well produced 75% of it's Estimated Ultimate Recovery. The good news is there is economic Haynesville and Bossier reserves in your section, so room for eleven future wells total. If I was a landman for Comstock, I would want you under lease as…</p>
<p>HA RA SUQ in the Converse Field only has the original unit well drilled in 2012. It cost almost $15M and has just now produced 4 BCF so it likely has not paid out and might never considering the low natural gas prices 2012 through 2014 when the well produced 75% of it's Estimated Ultimate Recovery. The good news is there is economic Haynesville and Bossier reserves in your section, so room for eleven future wells total. If I was a landman for Comstock, I would want you under lease as opposed to remaining an Unleased Mineral Interest (UMI) in the unit. The ball is in your court. Suggest you get some help from an experienced O&(G attorney before you make a decision on how to proceed.</p>
<p></p> 20-10N-14W
This was relativel…tag:gohaynesvilleshale.com,2022-10-17:2117179:Comment:40342932022-10-17T00:27:00.865ZQuattrohttps://gohaynesvilleshale.com/profile/Quattro
<p>20-10N-14W</p>
<p>This was relatively recently inherited </p>
<p>Found out about the existing well a few months ago and realized there was no lease and nothing being paid</p>
<p>The conversation with the land man as to the new wells was as of Friday and he was like “oh”…. Once I mentioned the existing well. The operator has not acknowledged anything directly.</p>
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<p>20-10N-14W</p>
<p>This was relatively recently inherited </p>
<p>Found out about the existing well a few months ago and realized there was no lease and nothing being paid</p>
<p>The conversation with the land man as to the new wells was as of Friday and he was like “oh”…. Once I mentioned the existing well. The operator has not acknowledged anything directly.</p>
<p></p>