Unforeseen and unexpected interest and options have arisen which have caused a delay in the offering of tracts for sale. I hope to have these issues resolved relatively soon. I apologize for the delay in offering tracts for sale. Tracts should be identified and priced as soon as possible barring any prior sale.
May 8. 2012
Live Water Guadalupe River Frontage Land For Sale
March 1, 2013
Aurora Oil & Gas 40 acre spacing
November 15, 2012
November 14, 2012
Witte Unit near Hochheim
November 11, 2012
Abraxas Petroleum sells 1/4 interest in 544 acres for $20 mm ($20mm/ 544 = $37,764 x 4 =$147,058 per acre) Not bad!
Abraxas Selling DeWitt Eagle Ford Acreage For $147,058 per acre
Abraxas Petroleum today announced an agreement to sell the Company's 25% working interest at the Nordheim Project in the Eagle Ford shale to a large institutional buyer for approximately $20mm. The sale is for 544 net acres in DeWitt County, Texas. The acreage has approximately 64 boepd (56% gas; 26% NGLs; 26% oil) of net production. Abraxas will retain the rights to its Edwards production, reserves and upside across both its Nordheim and Wagner lease blocks.
November 7, 2012 2012
There are several small Australian oil companies who got in early in developing high-grade Eagle Ford acreage in McMullen County. Texon Petroleum is one of those Australian operators with a small footprint but owning excellent assets in the Eagle Ford over pressure oil window in McMullen County. Texon released an update on their operations today along with an interesting map showing wells in their lease being drilled on three different azimuths.
November 6, 2012
Burrow 2H 6,275 barrels per day near Hochheim (very near me)
November 3, 2012 The Future Is Here:
Continuous Motion Drilling Rigs full animation
October 31, 2012
Eagle Ford Is The Top Play
The Bakken and the Eagle Ford are unquestionably the two most prolific tight oil shale plays. The Eagle Ford offers operators vastly superior return on investment due to a number of factors. The advantage of proximity to refineries and pipeline transportation is well know and understood. Less understood is the much higher well expenses incurred to drill and produce from the Williston Basin. Due to the extremes of weather, very cold winters with attendant long periods of below freezing tempertature in northern climes productivity is greatly diminished. Spring brings flooding, making rig moves and pipeline and other infrastructure build-out difficult and uncertain. The lack of pipeline infrasructure adds considerable added expense to transport Bakken crude oil to the LLS market. Shipping by rail is much more expensive than shipping by pipeline. At the end of the day operators receive substantially less than the posted WTI price for Bakken crude. In contrast Eagle Ford crude is priced at a premium. Add it all up and Eagle Ford comes out on top head and shoulders. The economics of Eagle Ford crude make it absolutely the best play in the world.
October 27, 2012
October 20, 2012
Eagle Ford Moves To "Oil Factory" Mode
Eagle Ford operators have begun to focus on their high-margin projects while maintaining capital discipline through low leverage. This strategy assures ample liquidity and flexibility. By utilizing hedging to stabilize cash flows operators are able to capitalize on their exceptional long-term assets and thus accelerate growth to enhance their shareholder value.
Operators are accelerating the value of their Eagle Ford premier oily assets while maintaining capital discipline and efficiency. They have successfully de-risk the play and are now driving down cost to expand production.
The DeWItt/Gonzales County line volatile oil window is a true high-grade, top tier, premier oil field that is the envy of the world oil industry. There is quite simply no better place in the world, bar none, not even the Middle East, to drill for oil. The over pressure volatile oil window is quite simply par excellance!
September 17, 2012
DeWitt/Gonzales County Line "The Perfect Storm of Coincident Factors For Great EF Wells"
The EagleFordShaleForum had an interesting comment posted yesterday from an industry insider who explained why the area around Hochheim in DeWitt County in the over pressure volatile oil window is so mind boggling valuable. Below is the comment:.
September 16, 2012
Burrow Unit off of US 183 has a lot of acreage outside of drainage rectangle too.
The Burlington Resources W-1 plat of the Justiss C Unit near Hochheim has several acres in it along the northeast corner near the DeWitt/Gonzales line that looks like Eagle Ford drainage will not be possible. The red circle indicates that acreage.
September 15, 2012
Matador Resources has a new presentation showing the multiple pay zones in the Eagle Ford footprint.
September 10, 2012
Pressure continues to mount on operators with dry gas acreage as evidenced by the recent decision by EOG Resources to put all their gas acreage in the "vault" until better prices materialize. Dry gas will stay in the vault for as long as takes, even decades if necessary. Mark Papa went so far as to say EOG would not be drilling any new dry gas wells and is withholding their HBP acreage from sales. Papa expressed growing concern that the NGL market too was falling so quickly that EOG is now required to shift CAPEX spending from Barnett, Haynesville and Permian to the Eagle Ford due to the extreme profitability of the volatile oil window along the DeWitt/Gonzales county line. The growing importance of the Eagle Ford as the cash cow to fund EOG losing ventures like dry gas and NGL acreage and dubious other ventures like Kitimat are glaringly apparent. Were it not for the extreme economics and profitability of the Eagle Ford operators would be in dire straights. Eagle Ford, and to a lesser extent Bakken, are propping up the E&P sector.
September 8, 2012
During the Barclay's investor conference this week, Mark Papa, the CEO of EOG Resources proclaimed that only the Eagle Ford and Bakken shale plays are substantially economic. The slide below illustrates how important Eagle Ford is today and how it will grow. The return on investment and CAGR for all companies producing high value crude oil from the Eagle Ford will continue to grow in importance. The fair market value for Eagle Ford tracts in the over pressure volatile oil window is mind boggling valuable, far exceeding the $100,000 per acre paid by Aurora Oil & Gas for Karnes County acreage earlier in the year.
September 1, 2012
Eagle Ford Rig Count Rises Big Time This Week to 271 Active Rigs
The gross number of drilling rigs grew by 6 this week but more importantly the number of rigs drilling for oil increased by 14. This full steam ahead emphasis by operators going after oil is validation of the the extremely lucrative return on investment coming from the oil window. EOG Resources reported several DeWitt County wells in the Baker-Deforest Unit producing ultra high IPs of oil. Monster wells are becoming the norm in the the over pressure volatile oil window along the DeWitt/Gonzales County line.
August 23, 2012
Exerpt from the Motley Fool
Rosetta Resources (NASDAQ: ROSE) has a development program targeting the Eagle Ford Shale at the Gates Ranch project and has been testing drilling wells on a tighter density. The company reported that wells drilled on spacing ranging from 50 to 65 acres, or 425 to 625 feet apart, have performed well and without interference. Rosetta Resources has now adopted 55 acre spacing in the entire Gates Ranch area and expects the EUR on these wells to be 1.67 million BOE per well.
Although the Eagle Ford Shale is battling the Bakken for the right to be called the best unconventional oil and gas resource play in the United States, some operators have already made their decision and have focused large amounts of capital on this domestic crown jewel.
At $100 oil the 1.67 million BOE per well translates to $167,000,000 per 55 acres. If you owned 55 acres and you receive 25% royalty that would amount to $41,750,000 due you over the life of the well. With other horizons like the Austin Chalk, Pearsall, Olmos and Buda you quickly see why Eagle Ford footprint acreage is worth far north of the recent deals for $100,000 per acre.
August 18, 2012
North America Shale Basins
August 15, 2012
What A Difference A Year Makes
Volatile Oil Window See's Explosive Growth
August 14, 2012
Aurora Oil and Gas announces testing 40 acre well spacing
Readers can find the full Aurora Oil and Gas August 2012 Presentation at http://aut.live.irmau.com/IRM/Company/ShowPage.aspx/PDFs/2170-75967836/InvestorPresentationAugust2012
August 12, 2012
Rosetta has been evaluating
August 7, 2012
KKR paying $25,000 per acre for 33% Working Interest in Black Oil window Eagle Ford acreage
August 3, 2012
EOG drills "MONSTER" volatile oil wells near Hochheim
Boothe wells IP near 6,000 barrels per day of oil and condensate
EOG has captured the finest inventory of onshore crude oil assets in the entire United States
August 2, 2012
EOG Hits Gusher near Hochheim
4,820 boe oil, 972 barrels per day condensate & 2.9 Mmcfd natural gas
August 1, 2012
Marathon Oil: The case for 40 acre spacing
July 24, 2012
Aurora Oil & Gas Drilling on 350' Spacing in Volatile Oil Window "The Q3 drilling schedule includes finalising the last of the wells contributing to the initial spacing pilot program. In phase 1 of this program, 11 horizontal wells will be drilled to investigate closer positioning of horizontal wellbores. These wells will target a separation of 500 ft in the gascondensate window and 350 ft in the volatile oil window." The volatille oil window approximated both sides along the DeWitt/Gonzales county line.
July 23, 2012
China National Oil Company Makes Big Purchase of North America Oil & Gas Assets
July 20, 2012
Baker Hughes Interactive Rig Count
July 19. 2012
July 9, 2012
Important New Eagle Ford/Pearsall/Olmos/Buda/Chalk Acreage Analysis Report Here Soon: Stay Tuned To This Blog For Details
July 3, 2012
Karnes County Acreage: Aurora Oil & Gas to complete acquisition of Eureka Energy AMI
June 29, 2012
Hochheim Area To See Major Drilling Ramp-Up
Informed sources are saying the Hochheim area in DeWitt County is about to experience a significant spike in drilling activity. Recently completed wells are showing incredible economics compelling operators to fast-track field development.
June 28, 2012
Exxon CEO Tillerson say's "We are losing our shirts on dry gas"
The CEO of Exxon confessed this morning that his company is selling dry gas for less than the cost of production. That is the reason why the liquids window of the Eagle Ford will continue to see more drilling and production activity ramp up and ever higher prices paid for good liquids window lease acreage. It's a no brainer, the Eagle Ford liquids window is more economic than any other resource play in the world. It's where the money is.
June 26, 2012
Awful Conspiracy: Big Oil Conspires to Defraud Landowners
emails show extent of conspiracy
The sorted tale of the collusion and conspiracy to defraud landowners is told in detail in today's Reuters report on oil and gas shale land bid rigging. This is a cautionary tale for all landowners in all the shale basins, especially the Eagle Ford. Expect the Eagle Ford to be the next shoe to drop.
June 25, 2012
Chesapeake and Encana plotted to suppress land prices
PREDICTION: Eagle Ford Land Prices To Skyrocket Higher As Result of $14,285 per acre transaction for Pearsall Only
June 22, 2012
June 19, 2012
June 14, 2012
Magnum Hunter CEO shares Eagle Ford secrets at Enercom London Conference: says "Shake and Bake" technique of drilling and fracing and then shut-in well allows the bottom hole well pressure to hold continues to frac the formation.
Gary Evans says Magnum Hunter acreage is worth "way north of $25,000 per acre."
June 13, 2012
Aurora Oil & Gas Deal To Acquire Eureka Energy Karnes County Acreage for near $100,000 per acre
June 7. 2012
June 5, 2012
"On the Eagle Ford. All I can say on the Eagle Ford is, in my opinion in the business after 40 years, I truly believe it's easily the absolutely best asset in North America today in terms of profitability and of size and we have the very best position in the Eagle Ford. We would not trade this asset for anything else in North America, period, no matter what anybody offered. So it's just that simple, and it just get's better and better and better, And you will see other companies continue to purchase acreage in and around us for ever increasing dollars per acre."
Mark Papa at Citi Global Energy Conference 6/5/2012
you can access the presentation with both audio and slides via the EOG website at
June 3, 2012
Backyard Drilling Rig
With the intense drilling activity in the volatile oil window of the Eagle Ford we are now seeing such tight spacing of wells that drilling rigs can now be found in some landowner's back yards, like this one behind the big house on the hill on US 183 near Hochheim. The nuisance, noise, and total loss of any privacy will hopefully be rewarded down the road with big royalty checks.
June 2, 2012
Where the Eagle Ford Is Going: NUFF SAID!
May 25, 2012
RRC map of wells permitted
May 24, 2012
$65,880 PER ACRE PAID FOR EAGLE FORD LIQUIDS WINDOW ACREAGE
Aurora Oil & Gas completes acquisition of 1,442 Sugarkan Field liquids rich acreage for $65,880 per acre http://tinyurl.com/chrfuju
To keep you up to speed on this important story that will shed a lot of light on how to value Eagle Ford oil window acreage, I have linked a few stories below:
February 26, 2012
The DUG Eagle Ford conference, held in San Antonio recently, is the premier Eagle Ford event that brings together EFS luminaries who present their information to the attendees. It was my pleasure to attend and to meet the Honorable Robert M Gates, the former head of CIA and US Defense Secretary until recently.
October 25, 2011
October 17, 2011
October 13, 2011
DUG Conference in San Antonio was a tremendous success with over 3,500 Eagle Ford attendees. I will be reporting on what I learned while at the conference in the next few days. In brief, the overarching DUG theme I learned is that Eagle Ford is the best shale play in the USA and that lease acreage prices will be going up by multiples of the $25,000 per acre Marathon deal to acquire Hilcorp. We ain't seen nothing yet. Stay tuned, I will be writing much more about the conference in the coming days.
October 4, 2011
October 2, 2011
October 1, 2011
Ramp Up In Frac HP Continues Unabated
Platinum registers $300 Million offering for new equipment.
September 30, 2011
September 27, 2011
Rumor abounds that Shell may acquire a independent Eagle Ford producer.
Marathon Oil To Grow Eagle Ford 2016 Production to 100,000 Barrels of Oil Per Day
September 22, 2011
Acute Housing Shortage In Eagle Ford
Thousands of new flush workers moving in creating problems for the poor.
September 20, 2011
Magnum-Hunter Announces 2,044 boepd Well
-- The Oryx Hunter #1H which was drilled to a measured depth of 16,955 feet (horizontal lateral length of 6,687 feet), fraced with 21 stages and placed on production September 18, 2011. The initial flowing production rate was 2,044 Boepd (1,944 Bopd, 600 Mcf & 0 Water) on a 16/64" choke with 1,650 psi FCP. -- The Sable Hunter #1H was drilled to a measured depth of 15,728 feet (horizontal lateral length of 5,067 feet) fraced with 15 stages in early September and has posted a 24-hour IP rate of 1,017 Boepd (920 Bpds 581 Mcf & 0 Water) on a 16/64" choke with 1,900 psi FCP. This well went on production September 12, 2011.
September 13, 2011
September 11, 2011
September 08, 2011
September 7, 2011
Seguin To Get Rail Spur for Eagle Ford shipments
September 4, 2011
August 31, 2011
Texon Well Comes In At 1,605 Barrel of Oil Per Day + Gas
Texon said the Tyler Ranch EFS-2H well flowed at a rate of 1605 barrels of oil equivalent per day during testing, consisting of 1488 barrels of oil and 700,000 cubic feet of gas per day.
August 30, 2011
August 29, 2011
August 28, 2011
August 27, 2011
August 26, 2011
Read the Aurora Oil & Gas Report For A Thorough Understanding of Eagle Ford Volatile Oil Window along DeWitt-Gonzales County line into Karnes County
Aurora Oil & Gas New Presentation/Report
Overpressure Volatile Oil Window is bigger, better, far more productive, more profitable and valuable than previously announced. Aurora sees tighter 60 acre or 40 acre spacing. For the latest detailed information regarding the extreme economics of the play along the DeWitt-Gonzales line extending into Karnes County, go to:
Landowners Working Together In Solidarity Are More Powerful Than The Largest Oil & Gas Company
August 22, 2011
August 20, 2011
Supreme Court Overrules Motions for Rehearing in BP v. Marshall http://www.oilandgaslawyerblog.com/2011/08/supreme-court-overrules-motion.html
Texas Supreme Court Ruling:
Lawsuits Fly Over Pipeline Eminent Domain
August 18, 2011
“Second only to the oil and gas lease and the assignment of an oil and gas lease, the farmout agreement is arguably the most widely used instrument in the oil and gas industry.”
Eagle Ford Pushes East Into Fayette & Lavaca Counties ZaZa Energy Sheds More Light On Hess Eagle Ford Program
July 26, 2011
Meyer Unit across the road from me on US 183
July 22, 2011
July 15, 2011
July 12, 2911
Crazy Jim Cramer Mad Money interview with CEO of Carrizo Oil & Gas
July 11, 2011
July 5, 2011
The Shale Oil Story Is Huge
CNN Money, Billions of barrels of untapped U.S. oil, March 9, 2011,http://money.cnn.com/2011/03/04/news/economy/oil_shale_bakken/index.htm Geology, Assessment of Undiscovered Oil Resources in the Devonian-Mississippian Bakken Shale Formation, Williston Basin Province, Montana and North Dakota, 2008, http://geology.com/usgs/bakken-formation-oil.shtml
Energy Information Administration, Proved Oil Reserves,http://www.eia.gov/dnav/pet/pet_crd_pres_a_EPC0_R01_mmbbl_a.htm
The New York Times, Shale Boom in Texas Could Increase U.S. Oil Output, May 27, 2011,http://www.nytimes.com/2011/05/28/business/energy-environment/28shale.html?pagewanted=2&_r=2&nl=todaysheadlines&emc=tha2
Fox News, New Drilling Method Opens Vast U.S. Oil Fields, February 10, 2011, http://www.foxnews.com/us/2011/02/10/new-drilling-method-opens-vast-oil-fields/#ixzz1QVQAt28i
The Washington Examiner, Three thousand new oil wells to be drilled in Texas within the year, May 31, 2011,http://washingtonexaminer.com/blogs/beltway-confidential/2011/05/three-thousand-new-oil-wells-be-drilled-texas-within-year
The Wall Street Journal, America Needs the Shale Revolution, June 13, 2011,http://online.wsj.com/article/SB10001424052702304432304576369140191493636.html?mod=WSJ_Opinion_LEADTop
The Washington Post, Obama’s focus on visiting clean-tech companies raises questions, June 26, 2011,http://www.washingtonpost.com/politics/obamas-focus-on-visiting-clean-tech-companies-raises-questions/2011/06/24/AGSFu9kH_story.html
The Wall Street Journal, America Needs the Shale Revolution, June 13, 2011,http://online.wsj.com/article/SB10001424052702304432304576369140191493636.html?mod=WSJ_Opinion_LEADTop
Salon, Everything you’ve heard about fossil fuels may be wrong, May 31, 2011,http://www.salon.com/news/politics/war_room/2011/05/31/linbd_fossil_fuels
June 20, 2011
June 29, 2011
How To Frack A Well In Pictures
June 28, 2011
Magnum-Hunter CEO Claims EOG Has Hit 4,000 BOE Well
During his presentation at The London Oil and Gas Conference yesterday, the CEO of Magnum-Hunter Resources, said that he had learned that EOG Resources has recently began producing a Eagle Ford well that came in at over 4,000 barrels per day. This 4,000 boe well was drilled on acreage near the Gonzales-DeWitt County line between the Eagle Ford and Buda formations according to Evans. Evans also mentioned the $25,000 per acre paid by Marathon Oil for Eagle Ford as a good investment. A 4,000 barrel per day oil well generates $400,000 per day income with WTI at $100. Take the time to listen to the entire presentation with slides at:
Bloomberg: Water Is The New Texas Liquid Gold
Oil Companies That Need Water For “Fracking” Wells Compete For H2O
"MIND-BOGGING” LEVELS OF NGLs COMING FROM EAGLE FORD SHALE
The “mind-bogging” levels of natural gas liquids production coming out the Permian and Eagle Ford Shale areas of Texas has already tied up pipeline systems in the region, Energy Transfer CEO Kelcy Warren said.
$27 million Pipeline Extension Announced
Swiss Public Radio Eagle Ford Report Aired
SM Energy sold 15,400 acres of land to a mystery buyer for $225 million. The $14, 600 per acre price is somewhat confusing because the acreage being sold is by some accounts a mix of marginal NGL acreage and no oil window acreage is included in the deal. This transaction comes in below the $25,000 per acre Marathon Oil recently paid Hilcorp for a 65% working interest in 141,000 acreas in the volatile oil window. This transaction further validates the importance of location, location, location when it come to Eagle Ford acreage. The volatile oil window stands head and shoulders above all other acreage in the Eagle Ford.
June 12, 2011
June 10, 2011
Part of the Company strategy is purchase of leases with new development potential in the surrounding areas. As companies explore surrounding land, the valuation of the owned property increases and offers the opportunity to resell this property at a higher valuation.”
June 8, 2011
Enterprise Products To Extend Eagle Ford Shale Oil Pipeline“Enterprise Products Partners L.P. plans an 80-mile extension of its 350,000 bpd Eagle Ford Shale crude oil pipeline in southwest Texas that would allow the partnership to serve growing production areas in the southwestern portion of the play.”
June 5, 2011
June 4, 2011
June 2, 2011
DeWitt County Judge Daryl Fowler
June 1, 2011
Question from FuelFix reporter: Does this deal mean the Eagle Ford will become your signature asset?Answer from Executive Vice President of Marathon Oil Upstream Dave Robert
"we do believe the Eagle Ford is the premiere unconventional play in the United States. This will be the cornerstone asset we have in North America"
CEO of Marathon Mr. Clarence Cazelot answering question about the price paid for Eagle Ford acreage from Hilcorp and KKR
"I’d also note that in the heart of trend in December there was a publicly traded company that was already a partner in all of this that made an additional investment in about 5,000 undeveloped acres at about $24,000 an acre. So it’s not unheard of. The people that know this area and know the trend see the value."
May 24, 2011
May 19, 2011
May 15, 2011
100 Percent Successful Completion Rate to Date NO DRY HOLES
- Wells Will Produce 40% of Reserves in First 5 Year