Eagle Ford Question

[bdog14]

We own some land and I'm interested in current pricing(a range of prices would be fine, but the land has already shown to produce hydrocarbons)
How much would mineral rights approx 5 miles from Carrizo Springs cost to lease? Buy? The land has been under a multi-year lease contract and is coming up for lease again but I think we're leasing way too low...we have an offer from another person to buy the rights but I wanted input from some of you oil guys on pricing. Thanks for any help.

[bowhntrmatt]

Don't sell your rights. Around my area 2-6k per acre is the norm, not sure about yours.

[Peyton]

How many acres? Do you own all the mineral interest? Has there been production in the past, if so what kind of wells? Is any held under production? What direction from Carrizo?

No doubt you're in the right area, but there are a lot of factors that dictate leasing price. Never sell your minerals, especially if you're in the middle of the EFS!

[kyle1974]

that's a pretty good area. A big factor is how much land you have... the more you have, the higher the price per acre will be.

[bdog14]

I think it's 900 but only 400 net...thanks and pm sent

[HuntinFrk]

do not sell your minerals. Lots of factors, is there a lease option writen into your current lease? Your in a hot area, I would say anywhere from 1600 to 5K. We are in between Charlotte and Cotulla and 2 years ago leases in our area where going for 2500. Definately shop it and don't take the first offer. Talk to land/mineral owners around you and they may be able to provide some numbers for you.