Was contacted today about signing for a 3D seismic shoot. I am leased. Was offered $15 per acre plus any damages. He said that was standard price everyone was being offered unless the lease stipulated different. My lease Exhibit “A” has the following statement: “No seismic survey shall be conducted on the lease premises without further permission of the Lessor, which permission shalll be subject to further requirements”. There is a water well testing clause, but in my case that is n/a.
Not looking to hold out, just want to make sure I’m getting a fair offer. Anyone care to elaborate on my position (lease language), anything I may need in the seismic contract, and what is a fair rate.
They will use the vibroseis in conjunction with the shot holes were possible (i.e. along roads). Much less expensive process to get similar data quality.
Thanks RM for clearing that up for me. That’s how I understood it. But when you asked which type they were going to use; I was confused and didn’t know how to respond. Thanks again.
They're bad about slipping an option to lease into a seismic contract. That would be on their terms. It will cost you dearly. Avoid an OTL at all cost, even to the extent of telling them where they can shove it.
It has happened because I have seen them recorded as written within seismic contracts. It is not common, but never is it surprising, either. It doesn't seem to be happening in the current merry-go-round, however.
Think Bathgram. Fine print. Raked over the coals. Skewered.
Thanks B Z; but not in my case. Already leased anyway.
THANKS for clearing the air CM,,, ive been waiting on that response......whewwww.......
Most seismic companies are working on behalf of the companies that have leases on the acreage they want the seismic to help define. I would not want to shoot seismic over an area that I did not have a lease or an option on. Those landowners that do not allow the seismic company on their property because they are not leased are called no permit areas and will be shot around. I know the groups that are shooting seismic in the LA AC and they are reputable and are working on behalf of the exploration companies. They would not attempt any lease Options in my opinion.
Jay do you know what parishes they are doing the seismic survey on? Obviously we know Evangeline but was wondering if you could post the other areas.