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Maybe there is other permissive language elsewhere within your agreement ?
Lots of seemingly double talk going on (seems to me) from what I've read here on these pages and elsewhere.
Good luck neighbor.
Money,
Go to the below link to theOhio Channel and watch Rob Sanders Argue Post Production Costs before the Ohio Supreme Court.
http://www.ohiochannel.org/video/case-no-2015-0545-regis-f-lutz-et-...
Chesapeake is using the Legal System to try alter our leases to allow Post Production Costs in Ohio.
The decision has not yet been made by the Ohio Supreme Court.
Listen to Rob when he explains that sales at the Well Head ended with Deregulation. With a few exceptions, well products are sold downstream.
Listen to Chesapeake's lawyer repeat over and over "Just Read The Contract". This is something that Chesapeake refuses to do, yet their lawyer has the nerve to tell the Honorable Justices something his company will never do without legal intervention.
Handing off well products to your own company is not a Sale let alone an Arms Length Transaction. The "Hand Offs" have all been below Fair Market Value. I
I was receiving the same approximate royalty regardless of volume of well products taken. This is a Fraudulent royalty payment since it isn't connected to the volume of well products moved on paper to CEMI.
Our ALOV and SURE leases require that we share in all profits made by Chesapeake from the well to the end user. Has anyone been paid an NGL Roylaty? No, not one.
Can our NGLs legally be stored in the Ohio Valley Proposed Salt Dome storage? Absolutely Not!
Thanks for the link Ron.
Any findings / ruling yet that you know of ? ?
Money
Natural gas is not sold at the well head. In order to come up with a "wellhead price", they must do a "net back" calculation which starts with their sale price for finished gas, then deducts their costs all the way back to the well head. Good leases are not based on gas value at the well head. Your lawyer should have helped you with that.
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