Server Time (CDT): Mar. 28, 1:30:28p

MGL No. 321

Chambers County, TX
Texas General Land Office Oil and Gas Lease Sale, April 3, 2018

AUCTION CANCELLED

Registration Status:

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Your Bid Status:

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Tract:

MGL No. 321

Gross Acres:

320.00

Net Acres:

320.00

Time Remaining:

Auction has ended

Start Time:

3/10/2018 9:00 AM CST

End Time:

4/3/2018 10:00 AM CDT

Minimum Bid:

$100 per acre

Total Tract Cost at Minimum Bid:

$32,880
(Bonus + Agency Fees + Buyer Premium)

Legal Description:

Tract Details

Lease Name

MGL No. 321

County, State

Chambers, TX

Legal Description

SECTION/TRACT 77 IN TRINITY BAY

PSF Lands (Y/N)

Yes

Gross Acres

320.00

Net Acres

320.00

Royalty

25%

Area

TRINITY BAY

Part

SW/2

Tract

77

Group Name

BAYS, LAKES, ISLANDS AND BAYOUS

Resource Management Code

CC, MA, MJ

Additional Information

LEASE TERMS AND CONDITIONS

BAYS, LAKES, ISLANDS AND BAYOUS

The royalty on bays, lakes, islands, bayous (influenced by the tides), and the Gulf of Mexico is 25% of the gross production of oil and/or gas, but can be reduced to:

  • 20% if production, in paying quantities, is established, brought on line and sales thereof are commenced within the initial twenty-four (24) months of the primary term of the lease.
  • 22.5% if production, in paying quantities, is established, brought on line and sales thereof are commenced between the 25th and 48th month of the primary term of the lease.

    If the initial well drilled is a dry hole, the lessee may receive the lower royalty rates as follows:

  • 20% if a second well is commenced and production, in paying quantities, can be established, brought on line and sales thereof are commenced by the end of the 30th month, as provided for in the lease.
  • 22.5% if a second well is commenced and production, in paying quantities, can be established, brought on line and sales thereof are commenced by the end of the 54th month as provided for in the lease.

    The primary term of the leases shall be five (5) years. The annual rental is $10.00 per acre for the second and third years and $25.00 per acre for the fourth and fifth years.

    Click here to view lease form.

    ABBREVIATIONS AND DEFINITIONS

    Resource Management Codes - Click here to view a detailed description
    AC - Acre(s)
    NAVI DIST - NAVIGATION DISTRICT: Indicates that all or a portion of the tract lies within the boundaries of a navigation district. Bidders should contact the applicable governing authority for the navigation district and the General Land Office for surface use restrictions.
    POL – PORTION OUTSIDE LEASE: Indicates that the acreage within the boundaries of the tract is available for lease save and except any portion included in a valid oil and/or gas lease. Lease information is available in the mineral file located in the Archives and Records Division of the General Land Office.
    POU - PORTION OUTSIDE UNIT: Indicates that the acreage within the boundaries of the tract is available for lease save and except any portion included in a valid oil and/or gas unit. Unit information is available in the mineral file located in the Archives and Records Division of the General Land Office.
    PT - PART: Bidders should contact the General Land Office for further information.
    TMLL - THREE MARINE LEAGUE LINE: Denotes tracts that are adjacent to the Three Marine League Line. These tracts have been submitted to the MMS for the coordination of acreage.
    WFAL - Denotes tracts that are WEST of the FEDERAL ADMINISTRATION LINE.

OFFSET ACTIVITY

Completions from the last 365 days in Chambers County, Texas

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Drilling Permits from the last 365 days in Chambers County, Texas

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Drilling Rigs on location in Chambers County, Texas

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BUYER PREMIUM

Notice: A Buyer Premium will be added to the total bonus amount cost of this lease, calculated as follows:

Tract Bonus BidBuyer's Premium
<=$50,0001.25%
>=$1,000,0001.00%

Buyer Premiums are only due for tracts which are sold and computed only on the winning bonus bid amount. The schedule offers a fixed rate of 1.25% up to a bonus bid value of $50,000 and then begins to slide linearly to a rate of 1.00% for a bonus bid value of $1,000,000. Bonus bids in excess of $1,000,000 are computed at a fixed rate of 1.00%.

SUCCESSFUL BIDDER NOTIFICATION

When the bids are accepted by the Texas General Land Office, the successful bidder will be notified via email with closing instructions, including total amount due.

Payment must be made within two business days.


CONTACT INFORMATION


Texas GLO

George Martin
Landman
(512) 475-1512
Email: George.Martin@glo.texas.gov

Robert Hatter
Director Energy Resources
(512) 475-1542
Email: Robert.Hatter@glo.texas.gov

EnergyNet

Gus Rivero
Manager of Government Lease Sales
(806) 463-3616
Email: Gus.Rivero@energynet.com

Brandon Savage
Assistant Manager of Government Lease Sales
(806) 463-3621
Email: Brandon.Savage@energynet.com

Heather Fugger
Government Lease Sales Analyst
(806) 463-3619
Email: Heather.Fugger@energynet.com