March 19, 2020
I have received a royalty interest lease offer within the past week from a Houston, Texas company for Section 35-Township 10 West- Natchitoches Parish for a five year lease term. Has anyone else received an offer recently (from March 19, 2020) in this region ? If so, what type of comparable amounts are we looking at per acre. I am a bit leary given the economic circumstances now regarding the Coronavirus outbreak in Louisiana.
Thanks in advance.
Tags:
How much was the bonus $ per acre? What was the royalty % and for how many acres?
$220,000.00 per 40 acres ; letter did not state a royalty % yet; future production if any for a five year term lease. Thanks.
Natch-man, are your sure it's a legit lease and not some sort of outright purchase of your minerals? That looks like a bonus of $5500 per acre, which is darn good these days (I think), unless there's some sort of major confirmation of production target (I suspect). Plus, if it was a legit lease, the offer should have included what you'd be paid per a % of future royalties. So, a quick bit of advice would be to ask questions and nail down some answers first. Please, don't sign anything until you clear up all of the details. Also, I'm sure Skip with chirp up and offer your some advice soon. In other words, for that acreage and for the amount of money, you very much need to talk to a good O&G lawyer. It'd be well worth it. Skip can point you in the right direction. Conversely, if it's an actual mineral buy, then the particulars get much more fuzzy/complicated. The name of the company making the offer is key, somewhat. Therein, hang in there, wait for feedback from the pros on GHS, and make a smart decision. For these types of things, there's never any reason to rush forward, i.e., there's absolutely never a reason to sign anything until you fully understand what you're truly dealing with. Bottomline, it's an interesting offer if it's a true lease and if the royalty percentage is somewhere about 20% to 25% (along with good lease clauses). I'm guessing Jay, a solid insider, would advise you that a 25% royalty is the go-to desired sum. Others might vary in their advice. Still, the huge bonus is a wow eye-catcher. So maybe there's something off-kilter or maybe you're in a darn-good sweet spot and you have the potential, with the help of a good lawyer, to ink an excellent "lease." Don't rush it.
THANK YOU VERY MUCH .... I know there were some abstractors in the Clerk of Court, Natchitoches Parish, La. about 3 weeks ago.
What Range?
Sec. 35, Township 11 North, Range 10 West, Natchitoches Parish ....near I-49
Your location description is missing a Range. It should look something like this: Section 34 - Township 10 North, Range 10 West. No need to be leery. It would help to know the company offering the lease and the general terms: royalty fraction, length of lease term, bonus per acre...... Indigo Minerals is the operator active in the area that I think you are trying to describe but most of their leasing, of which we are aware, occurred about a year ago. The company is still drilling in the NW corner of the parish and south along the parish line with Sabine.
Thanks ....Section 35, Township 11 North, Range 10 West, Natchitoches Parish, La. ..... 5 year lease....no royalty fraction stated, no bonus per acre stated in letter ... Just $ X.XX amount for 40 acres. I always thank you for your input and have followed you since 2008-2009 on this site. Thank you for what you do to help us.
Your welcome. That sounds suspiciously like an attempt to buy your mineral rights. Indigo Minerals permitted a well that will produce from Section 34 on 3/16/20, three days ago. If you are not leased, you need to be talking to Indigo. You also need to check to see if the public records of Natchitoches Parish clearly show your ownership interest in Section 34. I suspect Indigo would have already offered you a lease unless that just fell through the cracks.
SERIAL |
WELL NAME |
WELL NUM |
ORG ID |
FIELD |
PARISH |
PROD TYPE |
SEC |
TWN |
RGE |
EFFECTIVE DATE |
API NUM |
HA RA SUW;RUSS 2&35-10-10 HC |
002 |
011 |
10N |
10W |
03/16/2020 |
17069204600000 |
PRMT DATE |
SPUD DATE |
STAT DATE |
ST CD |
03/16/2020 |
03/16/2020 |
SCOUT INFO
REPORT DATE |
WELL STATUS |
MEASURED DEPTH |
TRUE VERT DEPTH |
DETAIL |
03/16/2020 |
01 |
22000 |
327' FNL & 296' FEL OF SEC 11-T10N-R10W. PBHL: 1850' FSL & 440' FEL OF SEC 35-T11N-R10W. (REPERMIT OF SERIAL #251493-EXPIRED) |
Click on 60005 under ORG ID to find contact information for Indigo. And by the way, pay no attention to lee.
I have a lease with: Indigo in Sec. 35, T 11 N, R 10 W.
Lease offer from: Live Oak Royalties, Woodway Dr., Houston, TX
THANKS !
That's not an offer to lease. That is an offer to buy your royalty interest in the new well. And any additional wells that get drilled in the future.
298 members
52 members
258 members
87 members
361 members
© 2021 Created by Keith Mauck (Site Publisher).
Powered by
h2 | h2 | h2 |
---|---|---|
AboutAs exciting as this is, we know that we have a responsibility to do this thing correctly. After all, we want the farm to remain a place where the family can gather for another 80 years and beyond. This site was born out of these desires. Before we started this site, googling "shale' brought up little information. Certainly nothing that was useful as we negotiated a lease. Read More |
Links |
Copyright © 2017 GoHaynesvilleShale.com