Wetzel County EQT Deductions - GoMarcellusShale.com2024-03-28T11:18:51Zhttps://gomarcellusshale.com/forum/topics/wetzel-county-eqt-deductions?feed=yes&xn_auth=noFor new lease just use the wo…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6090472014-08-07T19:19:05.913Zbungalow_stevehttps://gomarcellusshale.com/profile/bungalowsteve
<p>For new lease just use the words market price with no deductions (there is some good legal wording on this site).</p>
<p>It's when the term "wellhead" price is used, you open up a can of worms concerning interpretation.</p>
<p>For new lease just use the words market price with no deductions (there is some good legal wording on this site).</p>
<p>It's when the term "wellhead" price is used, you open up a can of worms concerning interpretation.</p> Thanks Steve. I won't be sign…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6091382014-08-07T17:42:29.270ZMarcus Hueyhttps://gomarcellusshale.com/profile/MarcusHuey
Thanks Steve. I won't be signing any more leases until this is straightened out. It seems clear that the intent was 12.5 MINIMUM.
Thanks Steve. I won't be signing any more leases until this is straightened out. It seems clear that the intent was 12.5 MINIMUM. Marcus,
Yes, but gas law usua…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6090442014-08-07T17:05:57.670Zbungalow_stevehttps://gomarcellusshale.com/profile/bungalowsteve
<p>Marcus,</p>
<p>Yes, but gas law usually interprets, for better or worse, wellhead price = market price - Gross Deducts.</p>
<p>So in your case you're getting 11% of market price but 12.5% of wellhead price, so they will claim they meet state law.</p>
<p>Some state laws now specifically say you must get at least 12.5% of market price because of landowner complaints.</p>
<p>Marcus,</p>
<p>Yes, but gas law usually interprets, for better or worse, wellhead price = market price - Gross Deducts.</p>
<p>So in your case you're getting 11% of market price but 12.5% of wellhead price, so they will claim they meet state law.</p>
<p>Some state laws now specifically say you must get at least 12.5% of market price because of landowner complaints.</p> I just got a letter from one…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6089922014-08-07T16:42:00.739ZNancy Mosleyhttps://gomarcellusshale.com/profile/NancyMosley
<p>I just got a letter from one of our lessees (assigned several times) about one of our old flat rate wells. He said that by WV code 22-6-8 they feel they are paying according to the statute. (they just started taking "owner trans" deductions last Sept and have up to now ignored my requests for clarifications). Here is the part he referred to…</p>
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<p>I just got a letter from one of our lessees (assigned several times) about one of our old flat rate wells. He said that by WV code 22-6-8 they feel they are paying according to the statute. (they just started taking "owner trans" deductions last Sept and have up to now ignored my requests for clarifications). Here is the part he referred to</p>
<p><span style="color: #393939; font-family: Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 12px; font-style: normal; font-variant: normal; font-weight: normal; letter-spacing: normal; line-height: 19.200000762939453px; orphans: auto; text-align: start; text-indent: 0px; text-transform: none; white-space: normal; widows: auto; word-spacing: 0px; -webkit-text-stroke-width: 0px; display: inline !important; float: none;">e) To avoid the permit prohibition of subsection (d), the applicant may file with such application an affidavit which certifies that the affiant is authorized by the owner of the working interest in the well to state that it shall tender to the owner of the oil or gas in place not less than one eighth of the total amount paid to or received by or allowed to the owner of the working interest at the wellhead for the oil or gas so extracted, produced or marketed before deducting the amount to be paid to or set aside for the owner of the oil or gas in place, on all such oil or gas to be extracted, produced or marketed from the well. If such affidavit be filed with such application, then such application for permit shall be treated as if such lease or leases or other continuing contract or contracts comply with the provisions of this section.</span></p> Steve, ours is a lease writte…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6089912014-08-07T16:31:27.180ZMarcus Hueyhttps://gomarcellusshale.com/profile/MarcusHuey
Steve, ours is a lease written in 1901... $300 per year for gas. It is my understanding that the 1979 WV law was written specifically to address the unfairness of these old leases and that no less than 1/8th, at the wellhead, could be paid to the mineral owners.
Steve, ours is a lease written in 1901... $300 per year for gas. It is my understanding that the 1979 WV law was written specifically to address the unfairness of these old leases and that no less than 1/8th, at the wellhead, could be paid to the mineral owners. Marcus,
It all depends on whe…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6091292014-08-07T15:23:32.010Zbungalow_stevehttps://gomarcellusshale.com/profile/bungalowsteve
<p>Marcus,</p>
<p>It all depends on whether you lease says "royalty based on proceeds received by the lessee" or "royalty based on wellhead price".</p>
<p> </p>
<p>Marcus,</p>
<p>It all depends on whether you lease says "royalty based on proceeds received by the lessee" or "royalty based on wellhead price".</p>
<p> </p> Thanks a lot for that, Jim! v…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6089862014-08-07T15:18:35.359ZNancy Mosleyhttps://gomarcellusshale.com/profile/NancyMosley
<p>Thanks a lot for that, Jim! very informative. I think I need that information...</p>
<p>Thanks a lot for that, Jim! very informative. I think I need that information...</p> Thank you Jim! EQT refuses to…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6088662014-08-07T04:45:16.846ZMarcus Hueyhttps://gomarcellusshale.com/profile/MarcusHuey
Thank you Jim! EQT refuses to budge..time to lawyer up. Will keep you all posted.
Thank you Jim! EQT refuses to budge..time to lawyer up. Will keep you all posted. Was searching for HBP/paying…tag:gomarcellusshale.com,2014-08-07:2274639:Comment:6088652014-08-07T04:26:53.525ZJim Whitehttps://gomarcellusshale.com/profile/JimWhite
<p>Was searching for HBP/paying quantity issue and ran across this.</p>
<p><a href="http://www.klgates.com/files/tempFiles/ae65b741-ef13-440e-a24f-918452993274/King_TX_Oil_Gas_Journal.pdf" target="_blank">http://www.klgates.com/files/tempFiles/ae65b741-ef13-440e-a24f-918452993274/King_TX_Oil_Gas_Journal.pdf</a></p>
<p>Talks some about WV law. In wellman vs. energy resources Inc.</p>
<p>552 S.E. 2nd 254 (WV 2001) the court held that unless it is in the lease, the leasee bears all costs for…</p>
<p>Was searching for HBP/paying quantity issue and ran across this.</p>
<p><a href="http://www.klgates.com/files/tempFiles/ae65b741-ef13-440e-a24f-918452993274/King_TX_Oil_Gas_Journal.pdf" target="_blank">http://www.klgates.com/files/tempFiles/ae65b741-ef13-440e-a24f-918452993274/King_TX_Oil_Gas_Journal.pdf</a></p>
<p>Talks some about WV law. In wellman vs. energy resources Inc.</p>
<p>552 S.E. 2nd 254 (WV 2001) the court held that unless it is in the lease, the leasee bears all costs for exploration, marketing, and transporting the product to the point of sale. Download the pdf above and go to page 184 and keep reading till you get to the royalty calculations part. Hope this helps.</p> Thanks Kyle. We have been se…tag:gomarcellusshale.com,2014-07-28:2274639:Comment:6059872014-07-28T17:25:56.551ZMarcus Hueyhttps://gomarcellusshale.com/profile/MarcusHuey
<p>Thanks Kyle. We have been sending letters to EQT...registered mail. And saving emails and writing down phone conversations. We have also filed complaints with the West Virginia Attorney Generals office. I will keep everyone posted. Hopefully others will not have to go through this.</p>
<p>Two other things EQT is doing to us...</p>
<p>Taking out "Severance" from checks for people who reside in West Virginia.</p>
<p>Not paying an increase for wet gas. Our wells are in the richest wet gas…</p>
<p>Thanks Kyle. We have been sending letters to EQT...registered mail. And saving emails and writing down phone conversations. We have also filed complaints with the West Virginia Attorney Generals office. I will keep everyone posted. Hopefully others will not have to go through this.</p>
<p>Two other things EQT is doing to us...</p>
<p>Taking out "Severance" from checks for people who reside in West Virginia.</p>
<p>Not paying an increase for wet gas. Our wells are in the richest wet gas region in America and our wells are less than 2 miles from the Mobley processing plant. EQT is making a killing from breaking down this wet gas and keeping the profit for themselves, in my opinion.</p>