I have heard if you don`t sign and wait you can eventually get 100% of your royalties. Is this correct and what are the provisions? I have also heard you have to wait until the well is paid for. Thanks

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Is that $4.50 gas as published in the paper (NYMEX or Henry Hub)? If so, you need to subtract $0.50 to get it back to HS prices. Then you also have to subtract $1-2 for operating costs. So that nets you $2-3 per MCF. Assume the well cost $9MM, then it would take 3-4.5 BCF to pay it off. Now assume the well averages 6 MMCF/day (as most are choked back due to pipeline restrictions) and that gets you to roughly 1.3 to 2 years to payout. Assuming the prices and costs stay the same and the rate stays that high. Probably all of those assumptions are going to change!

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GoHaynesvilleShale.com (GHS) was launched in 2008 during a pivotal moment in the energy industry, when the Haynesville Shale formation—a massive natural gas reserve lying beneath parts of northwest Louisiana, east Texas, and southwest Arkansas—was beginning to attract national attention. The website was the brainchild of Keith Mauck, a landowner and entrepreneur who recognized a pressing need: landowners in the region had little access to…

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