Oil and Gas Lease Offer

I recently received an Oil & Gas Lease Agreement from ILG Energy - does anyone know if they are legit?  They are offering $3,000 per acre bonus, plus15-1/2% royalty, and $4,000 per well drilled on your property.  I have 32 acres in Center Twp.

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09bp5t05myjl3Permalink Reply by 09bp5t05myjl3 on August 12, 2011 at 12:07pm

Lou, I am not an expert, but have attended like 5 different meetings, the swiss hills landowner group has signed with ILG. They are not drillers they are a company that looks & buys leases & then resells @ a higher price, Was at a meeting yesterday where some people were saying that their is concen with their abilty to pay the upfront fee, and if they can't sell & pay the Bonuses within 90 days tthe leases are voided, bottom line is they tie up your property for 90 to 120 days which they have to get you your bonus money. If they sell or have the money your good otherwise your back to square one, I understand it is safer to sign with the Driller/ oil co. like XTO exxon or Chesepeke, Also there have already been contracts Signed @ $3700 per acre & 18% Royalty as I hear it.

JUst my opinion but if you haven't signed I'd wait a little longer, I joined a landowner grop yesterday, Eastern Monroe landowners led By John Lusk on this site,

 

Tom

 

Permalink Reply by Brad Ady on August 18, 2011 at 3:34pm
No hurry , just my opinion.
Permalink Reply by John Lusk on August 21, 2011 at 3:40pm

Lou, I agree with Tom and Brad this is a shoot gun approach on ILG to bail there self out. Plus there contract is not land owner friendly.

Our Oil & Gas Reserves is a valuable commodity we must market them as such. They want them they must deal with us. All this is going to take time to develop. Don't rush into this. Get informed time is on are side join a group in number we can help each other and we become stronger.

thanks  John

 

 

 

Permalink Reply by chris bauer on September 1, 2011 at 12:09pm
Wishguard offer thru Bonnie cuntingham and Nals at centerville 31 Aug was 3850 18% royalty
Permalink Reply by Monroe Co Landowner on September 1, 2011 at 1:06pm
Were is centerville located.
Permalink Reply by chris bauer on September 1, 2011 at 1:09pm
On route 9 below St clairsville Belmont county
Permalink Reply by Sharon on September 1, 2011 at 4:35pm

Is this offer good in monroe county as well?? Is this really true, 3850 at 18% ? Is this the

gross off top for the royalty? thank you

Permalink Reply by chris bauer on September 2, 2011 at 2:34am
Real offer 18% with market enhancement. Signing at se nior center. Was the school 2 sept contract not that good but better than ILG contract
Permalink Reply by John Lusk on September 2, 2011 at 3:11am

Did you sign a contract with market enhancement? That like 9% royalty. That company? Now much bonus?

 

 

Permalink Reply by chris bauer on September 2, 2011 at 3:15am
Didnot sign contract not good enough for me
Permalink Reply by Monroe Co Landowner on September 2, 2011 at 3:15am

Chris

Good information, what is the unit size of this contract?

Permalink Reply by chris bauer on September 2, 2011 at 3:21am
5ooo to 10000

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