I came across this while reviewing documents on land access. It appears to be a mortgage loan for up to 300,000,000. It was filed on 3-24-14 in Washington County, Ohio and states it is a third and amended restated credit agreement.

The exhibit attachment at the end of the filing is interesting. I wonder if any of the O/G professionals on this site can shed any light on this and any potential implications.

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Hey J.D - was there a document or link to go along with this?  I may be missing something here....

Sorry, no there wasn't. Don't have the ability to include a link. There is a PDF of the document on Landaccess, Washington county filed by Triad on 3-24-14. The mention of the Farley well at the end also was interesting.

Sounds like Magnum Hunter/Triad is taking a page from the Chesapeake Energy (CHK Utica LLC) play book. CHK's mortgage was for $500,000,000.00.

Do you know if any of Magnum Hunter/Triad's Leases have a clause prohibiting from having a lien/mortgage against it?

The leasehold interests held by a gas company may be subject to a lien if the gas company decides to borrow against their assets.  The loan on the leases in no way affect the landowners

fee (title) interest in the land, no one can borrow money on assets they do not own , unless

the landowner agrees to subordinate their interest in their land to allow such a loan to have a "first position" against the land.

Please, if you are ever presented with a "subordination" agreement of any sort, run do not walk to your attorneys office, or cheaper yet, just tear it up.

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