Replies to This Discussion

Permalink Reply by Port city landman on March 28, 2022 at 15:01

Were you offered a lease originally?

Permalink Reply by Skip Peel - Mineral Consultant on March 28, 2022 at 15:25

Maybe by Twin Cities?  In the West Pines Addition #2?

Permalink Reply by Port city landman on March 28, 2022 at 16:19

Probably, JPD had some of that area of W. Shreveport too I think. I was just trying to figure out why she isn’t leased. I guess she is either not the mineral owner or the well isn’t pulling from her neighborhood because it sounds like she hasn’t been approached to lease. 

Permalink Reply by Skip Peel - Mineral Consultant on March 29, 2022 at 1:13

Mammoth may have just missed her.  Hopefully Mary can provide additional detail to tie down her location.  Mary, do you know your location by section-township-range?  If you have a copy of an old lease, that information may be on it.

Permalink Reply by Mary Hall on March 29, 2022 at 10:19

Right thats what I was thinking...but it appears from my location section 7 isn't  being worked after Skip answered my message.

Permalink Reply by Mary Hall on March 29, 2022 at 2:31

It was Nickel River Royalties and a letter from Eagle Land Service they both were only interested in purchase

I'm section 7, Township 17, Range 14, HA RA SU83; but not sure about anything with West Pines...I'm on Jefferson Paige rd between I 220 and Pines rd if that helps

Permalink Reply by Skip Peel - Mineral Consultant on March 29, 2022 at 3:42

Mary, there is nothing going on in Section 7 although there is development activity to your immediate west.  That activity is a little sketchy currently as the leases and units are owned by Mammoth Minerals.  Mammoth looks to be a speculator that invested in leases and formed drilling units with the intention to flip them to a capable operator.  There were no takers for whatever reason.  As Mammoth's leases were nearing expiration, they made a deal with Goodrich to drill a unit well that would hold the leases in two sections.  Likely their oldest leases about to expire or require an additional investment to extend.

I don't know Eagle Land Services but I do know a little of Nickel River, enough to avoid doing any business with them.  There are a lot of buyers out there who aren't as familiar with the Haynesville Play as they should be.  Many were mainly buying in west Texas before natural gas got popular with investors and the price of an mcf took off.  They not only don't know the Play, they don't know Louisiana mineral law or how to do proper research to inform their attempts at acquiring mineral rights.  Sellers beware/

Permalink Reply by Mary Hall on March 29, 2022 at 10:17

Thank you Skip....I think you this must be true since I have not gotten any more activity to lease or purchase.  Even the agent with Nickel River said the unit with Mammoth was not what they had expected.  As you say sketchy.  I did not get a good vibe from either Nickel or Eagle but of course I'm uninformed.  If there is no activity in section 7 that explains everything.  Thank you so much for this information.  

Permalink Reply by Skip Peel - Mineral Consultant on March 29, 2022 at 10:30

You're welcome, Mary.  As long as you are evidenced in the public records as an owner of property in Section 7 you will likely be on an Interested Party list for notification letters should a company apply to form a unit including you.  Applying to the state to form a drilling and production unit is the first development step and may include a request for state approval for the spacing of multiple horizontal wells.  This will be something that is in the public record and will be seen by companies looking to acquire mineral rights.  If/when that happens you will receive numerous letters seeking to buy your mineral interest.  Hopefully you will already have been approached with a lease offer.

Mineral buyers that indiscriminately send offer letters without performing basic due diligence should be ignored. 

Permalink Reply by Mary Hall on March 29, 2022 at 10:07

No lease offers only 2 letters to buy....but Skip Peel answered below...I think he is probably right with his answer.  Even though they have a well drilling west of me my section 7 as he says is not in play.  And the well next to me is sketchy I can believe that. Thank you for your interest.