Found out where this well is. Sec 7 10n 14w(serial #238186) There is another one (horizontal) permitted in Sec 12 10n 15w (serial #238212). This is closer to us than the proposed horizontal well north of Logansport. I think this one South of us will affect us more if it is positive.
I've been out of pocket for a few days but just discovered something that I think is what all of us in Southwest Desoto have been hoping for. Comstock had its conference call on Tuesday. They said that they started drilling a horizontal well on Aug, 4 in their Toledo North holdings below us in Southwest Desoto parish near Sabine parish. If you go to their website (www.comstockresources.com), click on presentations, you can listen to the CC and download the pdf. to see where this well is being drilled. This may take some time for the well to be finished and ip rates to come in, but I think that good results will justify a higher royalty for us.
I still haven't heard from my landman (woman). I really think they are playing games at this point. They think that we will run scared and call them and accept a lower rate. Well, I'm not playing that game. I would rather keep my minerals and have nothing than let them have them for WAY less than they are worth.
The CEO of Chesapeake in their cc Friday called $30,000 "chump change" as far as leases go for this play and what they stand to gain. I'll keep you posted on anything else I find/hear.
BTW, A friend of mine has a husband that works for Nomack drilling and she SWEARS that he says there is oil below the Hanesville. So, there may be a story within the story.
We're in the same boat - family interests on the Texas side & waiting & hoping there's something good underneath. After we saw that map with the Sabine Island reference, I had been trying to figure out if that was a good or bad thing, but never came up with much info. The only other reference I could find is a very technical geological doc (Review of Late Jurassic Depositional Systems and Potential Hydrocarbon Plays, Northern Gulf of Mexico Basin by Thomas E. Ewing). I haven't found the whole doc online or ordered a copy yet.
I've also been looking for info about Sabine Island & had asked Jay a couple of weeks ago. Unfortunately at that time he said he wasn't familiar with it. If you get any good info, please share & I'll do the same.
Yes, email@example.com is my personal e-mail. I talked with a landman from JW Porter today. I asked her to make me a new offer. I turned down 7500 six-seven weeks ago. She asked for a counter offer back then but I have been dragging my feet to allow lease bonuses to go up. I don't expect more than 15,000 because this is the most that TCB has been offered by the same group (representing Chesapeake). I am still waiting on 2nd quarter conference calls from the various oil and gas companies in the play. Chesapeake will have their's on July 31. I think that we will have much more info to work with.
Are you in sec 17, 11n, 15w? Who has contacted you? Was it JW Porter for Chesapeake. Have you been contacted by other companies? How much have you been offered. E-mail me with that info if you want.
Why do you think that the bonus money is moving south. TCB was offered 15,000 on 7/14. Have you heard something that makes you believe prices are going down? As far as activity in the area, the Chesapeake/Ellora Energy deal will not be finalized until the end of the month. Ellora Energy also owns leases in Southwest Desoto and Northwest Sabine. Chesapeak will own 65% of the deep rights to this acreage as well as Shelby County. Chesapeak will pay $350,000,000 for these rights. They will not pay this kind of money and not drill. According to an investor's sight, there are 9 more rigs that are being built for Nomack drilling (they drill for Chesapeak) All headed for the Haynesville. As far as the Comstock well, there are some very interesting things going on there. Comstock is asking for a permit for a horizontal weIl in sec. 15, 12n, 16w down to the Haynesville. They are using their earlier vertical well in sec 20 as proof that the Haynesville is there. Another company, Indigo Minerals, is asking to form 5 Haynesville drilling units in the Logansport field based on the information from the Comstock test well. If you go to this website,
you will find some very important information. The well in sec 20, 12n, 16w is a Haynesville data point well. If you will go to the Comstock Resources web page (www.comstockresources.com/) click on presentations, download 2008 first quarter results.
As you read the transcript, follow along with the visual presentation. Comstock claims that the thickness of the Haynesville (more gas, better wells) increases as you go south to Logansport and below. Here is a quote:
"On Slide 17 we have logs from four keys wells that have penetrated the Haynesville. On the north side of the play is the Chesapeake well, which has 254 feet of shale. In the southwestern portion of the play is our well that we drilled in December of last year with 303 net feet of shale. Also shown is a Petrohawk well in the northeast portion of the play with 208 feet of shale and an Encana well in the southeastern portion of the play with 127 feet of shale."
During a question/answer session the following is said:"Have you all, based on the logs you've seen, any estimate in terms of what your expectations from a porosity standpoint are in the play? And as you move toward your acreage particularly in Logansport and even further south, it looks like that Haynesville Shale thickens a little bit. Are there similar porosity characteristics from a log standpoint as you move south on your acreage in Louisiana? Ron, that's what we're seeing. It's a really interesting setup."
El Passo Energy and Petrohawk are using the Comstock well to define the play. I would say that the Logansport field area and below may be the best spots in the whole play (IMO)
Have not heard a thing about South Desoto wells. Several days ago TCB told me that she had been offered 12,000 by Chesapeake.
Quote: "Now that CHK's well info is out, I expect rates to go up. I did receive an increased offer yesterday of $12k/25% but my family will not sign for less than 15K. I am away from my home computer until next week. Please send me your email and I will email you. TCB"
Her land is located in sec 20 11n14w. I feel that we could get this amount now as her land is only about five miles from us.
Another interesting item that I have discovered is that there is a Comstock well that has been drilled into the Haynesville in sec 20, 12n, 16w. In an application, they claim that they encountered over 1400 feet in the Haynesville. You can find this into at http://dnr.louisiana.gov/CONS/CONSEREN/hearings/2008/07JUL/08-1048ap0001.pdf
This is a lot closer to us than the activity in Elm Grove and South Caddo.
There are also two EOG wells that are in sec 6, 11n, 15w (124687 and 119390). In one of Petrohawks presentations they listed one of these wells as a Haynesville data point well. They both were drilled below 11,000.
Another interesting item is that Chesapeak has entered into a binding letter agreement with a Ellora Operating to buy a 65% working interest in the deep rights in East Texas (Shelby County) to jointly explore and develop the Haynesville Shale formation. This land is in the Huxley and East Bridges field (just across Toledo Bend)
Hope this helps you to make an informed decision.
Is your land in sec 17, 11n, 15w? Have you already leased.? If so how long ago and if you don't mind my asking for how much. Are you the only one in your section that is unleased? What companies are calling to lease and what are they offering now. I am dealing with JW Porter. Last offer was 7500 by Chesapeake but at this time they have indicated that they would go more. There is so little activity in our area (i'm in sec 20) that I don't know what to ask. I don't want to shoot too high but I also don't want to get too low and loose out on $$$.
Thanks for the comment. I retained the mineral rights on 10 acres I sold in 2006 in Section 20 on Stonewall-Preston Rd. My 3-year lease for $250/ac and 22.5% royalty expires next month. Anyone in or around T15N, R14W, S20 interested in combining acreage for negotiation purposes? Also, has anyone in West Stonewall received any lease offers or inquiries? Changed my ID from "stonewallguy" to Robert Griffin.
As exciting as this is, we know that we have a responsibility to do this thing correctly. After all, we want the farm to remain a place where the family can gather for another 80 years and beyond. This site was born out of these desires. Before we started this site, googling "shale' brought up little information. Certainly nothing that was useful as we negotiated a lease. Read More