Replies to This Discussion

Permalink Reply by adubu on April 24, 2011 at 14:53

Not had dealing with DLM but Seitel Data shot 3-D in East Texas they started with 15 I got $25 plus some extra damage after they shot. I think going rate is $25/acre. You should get 25 without much of problem

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Permalink Reply by Max on April 24, 2011 at 15:16

Thanks adubu, maybe I can poke them a little and get the price up.

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Permalink Reply by Etola on April 25, 2011 at 11:43

We also got a letter from diversified land management from San Augustine and it said $15 an acre but when I talked to them on the phone, he voluntarily told me they were paying $25 an acre so give them a call.  Actually the letter was from Seitel Data but the call came from Diversified.  I guess they are the same folks??? Is your land in the Huxley area too?

 

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Permalink Reply by MARG on April 24, 2011 at 16:08

 Max, you should be able to get twenty-five dollars per acre; you can just call and ask for it.  I feel that I have had them once or the check came from there. However, I believe two names were involved that time.  I feel that twenty-five is the max you will receive. I  had my property checked afterward by a tenant relative.  I had written some specifications also.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Permalink Reply by Buddy Cotten on April 25, 2011 at 18:11

South of you, in Orange County, we have receiving 50 per acre for a mineral permit and 35 per acre for a surface permit.

 

Tell them you will do the same thing as the timber companies will do, using their form.

 

Best,

Buddy Cotten

 

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Permalink Reply by adubu on April 25, 2011 at 23:43

Buddy--explain mineral permit vs surface permit in relation to seismic survey permit --thanks

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Permalink Reply by Buddy Cotten on April 26, 2011 at 15:33

Sure.

 

If you grant an oil and gas lease in Texas, unless specifically stated, the courts have implied that you have the right to conduct seismic operations.  Otherwise, the Permitee will need authority to conduct seismic from any of the mineral owners.  This is generally in the form of a Seismic Permit or Seismic Data License.

 

Since the mineral estate is dominant (although that is being eroded), the leaseholder or permitee has the right to enter the surface as a matter of law.  However, they cannot make use of any of the surface owner's improvements, such as roads and bridges.

 

It is common practice to permit the surface owner as well, with much the same thinking as paying the surface owner for damages to the surface of his land when you drill a well.  As of today, in Texas, that is not required. 

 

You must have authority to enter the land by either having a lease on any part of the mineral estate or a permit on any part of the mineral estate.

 

It is wise to nor have to force your way on to conduct the surface disturbances, cutting bush, laying lines, drilling shotholes, etc., so a Surface Permit from the surface owner is obtained.

 

Hope this answers your question.  Things change in Louisiana, where a threshold majortiy of I think, 80% of the minerals and 80% of the surface must agree to the seismic operastions.

 

Best,

 

Buddy Cotten

 

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Permalink Reply by adubu on April 27, 2011 at 1:09

Buddy--Is this the  reason seismic company require lessee of minerals to approve the shoot and comment payment for their share of expense to review the data I assume. In a tract I had royalty in ( Travis Peak)--- the primary operator (small independent who had no interest or money to drill deep) said NO to the 3-D seismic shoot but one of his JV partners( large company with interest in deep play) in unit desired the data therefore approved the shoot and agreed to pay for data prorated to acres he controlled. So is this the mineral permit signed off by operator Lessee and the surface owner sign off ROW for surface permit (No surface premit could be sign until operator lessee of minerals signed to pay for data). If your minerals are unleased would you be paid  as mineral owner plus they pay surface owner. I doubt mineral owner would have to pay for shoot nor get to review data.

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Permalink Reply by MARG on April 30, 2011 at 19:02

I was thinking that minerals would override the surface owner as minerals were considered the dominate.  Am I wrong? 

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Permalink Reply by Buddy Cotten on April 30, 2011 at 19:16

Marg,

 

You  are not wrong.  But here is the practical effect.  In order to enter, you will need a TRO (Temporary Restraining Order) which is not hard to get, however, you must (the seismic company) be prepared to enter and turned away at the gate.

 

Last shoot that I worked on, standby time was about $12,000.00 per HOUR.  So, it is a heck of a lot cheaper to work with the surface owner rather than having to force your way on, plus the good will of spreading around some money cannot be overlooked.

 

Marg,  I think that if you really look hard, or Mr. Elmore chooses to comment, there has been a systematic eroding of mineral owners rights in favor of the surface owner, over the past 20 years, beginning with the Getty Case.

 

Best,

Buddy Cotten

 

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Permalink Reply by MARG on May 1, 2011 at 8:09

 Thanks, Buddy!  I do not have a problem as I own both surface and minerals on my tracts.  I do have the royalties in the recycle unit, extra though and those are so small.    This is acreage that is put in various wells as they are drilled.  This causes a lot of calculations for their employees. I do not expect to get paid for those studies. LOL Recently, I helped an older lady who had maintained minerals and the surface had been skipped on payment.  She telephoned and the check is now in the mail.  I just wanted to be sure that I learned and/or remembered correctly or that it had not changed. We have to watch that change as it is constant. Anyway, both have now been paid.  Thanks for the explanation!!!  

 

 

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Permalink Reply by Max on April 27, 2011 at 5:59

Thanks to everyone for the information and a special thanks to GHS for sharing the avenue to become a voice for the average land owner.

Max

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