We have been approached about granting a sand and gravel lease on property on Thompson Creek (E Fel Par). Does anyone have an idea for the range of royalty amounts on frac sand? We haven't had a sand and gravel lease in 25 years.
The offer we received was for $1/ton, which we think is very low. However, our adjacent landowner is receiving such amount. Apparently, his land does not have sufficient sand for the fracking operations.
Minden is a staging area for one of the frac sand companies. Don't recall which off the top of my head.
Not every type of sand will do for fracking wells. When you start meeting engineering specifications, the price should go up considerably, albeit adjusted for supply. See paragraph four below: