from two different good sources-- Anadarko is leasing in Rusk County in the Caledonia area near were Panola, Rusk,and Shelby countries join--- Rumor is deep Oil play in 20,000 feet depth initial offers in $500/22.5%R
Well, Im in the home stretch now with Anadarko negotiations so I guess I can talk a liitle bit about this deep oil rumer going around in SE Rusk County. I emailed Anadarko over a year ago about some unleased minerals I had in the Caledonia area where my farm is located. Told them of an old capped well that had produced oil until shut-in/capped during the 80's oil bust.
Anadarko proceded to lease-up the immediate area & surveying out units etc..Between asking around to several folks I knew in the industry and some quality info/emails on the subject of this deep oil, its obvious (to me and several others) that The Smackover formation is going to be drilled in SE Rusk County Tx.
Here's some information shipped my way, the lone well in SE Rusk County on the Smackover map is the same well I emailed Anadarko about on my place:
Brent---What page is the Caledonia area high lighted? I do not see it nor your well? What is APC offer to lease? What survey are you in? Congraulation if you get a oil well:)
Page 13, you'll have to zoom in to see the dot in s.e. rusk county and the map discriptions at the bottom.
Oh sorry, Jesse Loose survey.
Brent--- I see the dot but no ID so did AP
In a nut shell, the Travis Peak and Rodessa oil production in SE Rusk County Tx is from the migration of oil (from Smackover Formation) to pathways within the Mt. Enterprise Fault Zone . The old timers suspected this decades ago. Its taken this long for the science to catch up to the old timers good intuitions.
The fault line is just a migration pathway for the deep oil to arrive at Travis Peak & Rodessa formations, thats what the USGS says anyway. They've found "Smackover formation tops" under those TP/R wells.
I'll know one way or another as far as my deal with Anadarko goes... I'm about ready to take the 100% royalty route (told'em this last week) and forgo any bonus money. My initial royalties go toward the rig cost etc.. After its paid off in 8-12 months or so, ITS ON! ha..
Thanks for sharing the info. It could make a lot of area interesting.
Be careful, unless you are on a drillsite tract they can draw the unit around you and cut you out completely. Even if they can't manage that, a 20,000 foot well that is one of the R&D wells in a play could be very expensive and never break even. Just look at the early Tuscaloosa Marine Shale and Eagle Ford Wells - terrible economics until the industry learned how to drill.