Question on the Vista-Shell deal?

For all of you guys that know so much about the gas/oil business. Would Vista receive any type of Bonus like landowners are getting, from Shell for letting them drill on their thousands of acres they hold from shallow production? If they received a $3000,$4000+ per acre bonus would Vista be required to pay all the landowners their 1/8 interest of that bonus?

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0i7okn54zwbdoPermalink Reply by 0i7okn54zwbdo on September 13, 2012 at 4:37pm

No, Vista would not be required to pay any of their bonus because that wasn't part of the original contract.  1/8 represented the royalty paid on oil and gas production, not third party sales.

Permalink Reply by james on September 13, 2012 at 4:41pm

Ok, thanks.

Permalink Reply by Samuel J. Orr on September 13, 2012 at 5:49pm

Probably not in my humble opinion; but they might do it as a gesture of goodwill.

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