Replies to This Discussion

Permalink Reply by Ann Ticopa on July 12, 2011 at 1:53am

Say you did sign a lease this close to when the seismic will be done.  What would prevent them from doing the seismic and then deciding - based on the results - they weren't going to accept the lease and pay you the bonus?  Instead they pay you the going rate for seismic, $5/acre.

Permalink Reply by Lynn Wigglesworth on July 12, 2011 at 2:06am

Because I'd make sure that I didn't give written permission until the money was in my bank. I understand that they can get you paid FAST if it is to their advantage. The only legal way they can do testing  without my written permission is if I'm leased, so then they'd better pay up or I'd make a stink (I will make sure the landman knows that). Gas cos don't need any more bad publicity around here; I understand they are being very careful to stay on the right side of the laws.

Permalink Reply by Ann Ticopa on July 12, 2011 at 4:50am

The lease ERM was offering last year included this term:

"Acceptance - This lease contains all of the agreements and understandings of the Lessor and the Lessee respecting the subject matter hereof and no implied covenants or obligations, or verbal representations or promises have been made or replied upon by Lessor or Lessee supplementing or modifying this lease or as an inducement thereto."

 

In other words, all that matters is what's in the lease, not what the landman may have told the landowner ... or v/v.  Since the landman's primary interest is in getting a signed lease, there is no guarantee he/she would pass on  a landowner's condition(s) anyway.    And afaik, there is noting unlawful about a gasco deciding not to accept a lease a landowner has signed. What I don't know is what can happen in the "grey" area, between the date the landowner signs the lease and the gasco signs the lease and pays the bonus.  Or what the landowner's recourse would be in the case of a violation.

 

 

 

Permalink Reply by Lynn Wigglesworth on July 12, 2011 at 5:14am

I haven't seen their new lease, but I've never believed anything a landman says, and if he didn't pass on my conditions, oh well. The company would certainly say that the lease isn't in effect until they sign it, since they have the right to back out, but that has to work both ways...if it's not in effect, they can't use any of the 'rights' given to them in the lease.  I probably couldn't win a lawsuit over it, but I could sure scream loudly enough for the world to know that I got ripped off.

Permalink Reply by Robin Jackson on July 12, 2011 at 3:16am

Seismic is only 5 bucks an acre..2 bucks an acre on some older leases..

Permalink Reply by Lynn Wigglesworth on July 12, 2011 at 5:16am

The East lease I have a copy of (2-3 years old) doesn't pay anything for seismic if you are already leased. It's one of the 'rights' you give the gas co when you sign the lease.

Permalink Reply by Robin Jackson on July 12, 2011 at 3:15am

They do but you can tell them not too..They re adjust to your property needs..

Permalink Reply by Lynn Wigglesworth on July 12, 2011 at 3:28am

How close together to they need to put the shot-holes to get a good 'picture'? 25-30 of my 42 acres are wooded, much of the rest is too close to buildings (mine or my neighbors) to plant charges. If I don't want them in the woods, there isn't much else they can do here.

Permalink Reply by Robin Jackson on July 12, 2011 at 2:55pm

I actually have the measurments on paperwork..I will get that info to you tomorrow.

 

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