The "Western Haynesville" is a quickly evolving play based on the deep Haynesville and Bossier geological formations.  Comstock Resources was the early mover and Aethon has followed suit.  Both companies have built large leasehold positions and drilled impressive wells.  Other major unconventional O&G companies are joining them as the play area expands.  Mitsui E&P USA has built a large position and Expand (Chesapeake) is heavily rumored to be leasing. There may be more major operators…See More

Is there a way to estimate expected royalties based on what a company invests?  Surely companies do this when calculating whether to invest in searching and drilling for minerals.Example 1: A company provides a $100,000 lease bonus. They obviously expect to pull more than $100,000 out of the ground over a certain period of time. But can you estimate their expected royalties payments during, say, the most-productive period of time (which I understand is perhaps the first three years)?Example 2:…See More