Replies to This Discussion

Permalink Reply by Ed Hill on August 20, 2008 at 4:03

Amy,

If their offer is significant enough, you can consider selling a portion of your royalties. You can then put the money that you received from the sale of your royalty to work now for you.

Should you decide that you want to sell your royalty, I would caution against selling no more than one-half (1/2) of what you currently own. For example, if your existing lease calls for a royalty of 1/5th (20%), you would be selling to the royalty buyers a total of 10% but keeping 10% for yourself. The royalty buyers will never get more than what you get but they are hoping that the royalty that they buy from you will make them more money down the road than what they paid to you up front.

If you decide to sell, make sure that you don't give it away for a song and dance. Seek advice from someone who is experienced with royalty purchases. Also, remember that when you sell royalty in Lousiana, it is for a term of 10 years (or longer if there is production). See if you can't set a certain time frame for the royalty deed to be in effect or see if you can't tie it any sales to just a specific lease.

• ▶ Reply

Permalink Reply by Dusty on August 20, 2008 at 9:47

heard from a good friend (her dad is oil & gas for years and has good friends that keeps him updated) that Shell bought out petrohawk and all negotiations made up to that point will be paid out but anything further will be at much much much lower $$$. Chesapeak now has no competion now and will not be handing out thousands of dollars for mineral leasing anymore! This was straight from someone that was in the board meeting room!!

• ▶ Reply

Permalink Reply by Grillin' - MmmMmm on August 20, 2008 at 9:51

Don't think Shell has "bought out" Petrohawk. Unless I'm missing it and that's generally not the case on deals like this. As a shareholder of HK, I'd love it. But I also have a good surveillance network within the A&D world and I haven't seen it yet. But maybe while I was at lunch??

• ▶ Reply

Permalink Reply by RAY on August 20, 2008 at 11:17

and I plan on buying out Shell, want a piece of the action?

• ▶ Reply

Permalink Reply by insomniacnla on August 20, 2008 at 11:34

I don't know if it will help anyone but in the last 3 days, I received calls from Chesapeake, XTO and J-W Operating. It seems as if the landmen have gotten busy again. The only call I made was to follow up with Petrohawk to see if my section was among those that Petrohawk still had an interest in leasing. I am supposed to call the PK landman back in a few days, after he receives a map from PK of the areas where leasing is to continue. I will keep following up on the map and post the results.

• ▶ Reply

Permalink Reply by M. Mcwilliams on August 20, 2008 at 12:54

insomniacnla, is that the same Petrohawk landman whose name you provided to me? Glad to hear the good news. Who has contacted you from Chesapeake?

• ▶ Reply

Permalink Reply by M. Mcwilliams on August 21, 2008 at 6:48

Hooray for y'all! I'm ready, too, and should do as well, since they're unitizing these sections near me and near you at the same time. thanks for the info.

• ▶ Reply

Permalink Reply by insomniacnla on August 21, 2008 at 7:12

Are you going to the pre-hearing conference? I think it is on the 5th. I am sure that they are not happy with me since I think I am the only landowner that requested it. If no one requests the conf, they can skip it and proceed with the Hearing.

• ▶ Reply

Permalink Reply by M. Mcwilliams on August 21, 2008 at 7:18

I really had not given it much more thought. I'll email you separately and maybe we can brainstorm on this.

• ▶ Reply

Permalink Reply by Aubrey C. Sanders, Jr. on September 13, 2008 at 19:00

insomniacnla, Just came accross this and wanted to compliment you. Everyone reciving notice of pre-conference hearing should immediately call contact party and ask that pre-conference hearing be scheduled. And attend if at all possible.

• ▶ Reply

Permalink Reply by b. davis on October 22, 2008 at 7:44

I received a letter regarding force pooling and when I contacted the atty to say that I did in fact want the conference, they have called me back several times to "answer questions I may have" instead of having the conference. They are treating me as if I'm the only one that wants it and I know this to be untrue. I'm not sure what to do....

Permalink Reply by insomniacnla on August 21, 2008 at 6:05

Chesapeake's Office in Oklahoma (405) 848-8000, call and they will speak with you or assign a landman. Ask for the leasing dept.

XTO's office in Texas, (817) 870-2800, ask for leasing dept. They have in-house landmen or they will assign you to a landman.

Petrohawk landman is (318) 548-6933

J-W Operating, landmen Tonya Allen 227-8191 or Mr. Allen 227-9213

• ▶ Reply

• ‹ Previous
• 1
• …
• 6
• 7
• 8
• 9
• Next ›
• Page