Good morning,
My 85 year old mother was visited by a young man requesting an approval to lease her property for &500.00 an acre with a 1/4% royalty for five years. He is with WildHorse Resources d/b/a Antrim Exploraion, llc. We need to know if we should trust these people and sign or should we talk to a lawyer first. Would appreciate any help on this matter.

Views: 6835

Reply to This

Replies to This Discussion

It is always wise to seek the counsel of a good O & G lawyer, even if someone only owns a few acres. Seems to me to be a reasonable offer, but still it is the "opening" offer, which possibly could be negotiated up a bit per the work of a savvy attorney. Most insiders would probably counsel taking the offer. Some insiders would also tell your mother to make sure she has her lawyer negotiate in the sweet addendum clauses into her lease contract.

Dot  See a lawyer, but that is a good offer, and I think Wildhorse is reasonably well regarded when it comes to owner relations.  They have an excellent track record on making good wells.  

dot, the Schoefflers have been leasing for Wildhorse for some years now under the name, Schoeffler Energy.  If they were not doing so in a professional manner I suspect we would have heard of such by now.  Antrim Exploration is not Wildhorse doing business under a different name (d/b/a).  Antrim is a different business entity by the Schoefflers and is an independent land company out of Lafayette which Wildhorse is employing to acquire leases which is a usual and accepted practice in the industry.  The terms, as far as you have revealed, are aggressive.  Antrim has not recorded any leases in the public record but I suspect that they may be leasing mineral rights inside the city limits of Ruston. 

It's always a good a idea to consult with an O&G attorney however if you own a small interest you may have a difficult time negotiating the bonus and royalty.  There are other protective and beneficial lease terms that an experienced O&G attorney can explain to you.

Here's the SOS registration for both corporate names.

ANTRIM EXPLORATION, L.L.C.

Limited Liability Company

LAFAYETTE

Active

 

Previous Names

Business:

ANTRIM EXPLORATION, L.L.C.

Charter Number:

37066329K

Registration Date:

6/8/2009

 

Domicile Address

 

224 RUE DE JEAN

 

LAFAYETTE, LA 70508

 

Mailing Address

 

224 RUE DE JEAN

 

LAFAYETTE, LA 70508

 

Status

Status:

Active

Annual Report Status:

In Good Standing

File Date:

6/8/2009

Last Report Filed:

5/12/2014

Type:

Limited Liability Company

 

Registered Agent(s)

 

Agent:

TODD PAUL SCHOEFFLER

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

Appointment Date:

6/8/2009

 

Agent:

JEANNE SCHOEFFLER

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

Appointment Date:

8/1/2012

 

Officer(s)

Additional Officers: No 

 

Officer:

JEANNE SCHOEFFLER

Title:

Manager

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

 

Officer:

TODD SCHOEFFLER

Title:

Manager

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

_______________________________________

SCHOEFFLER ENERGY, LLC

Limited Liability Company

LAFAYETTE

Active

 

Previous Names

Business:

SCHOEFFLER ENERGY, LLC

Charter Number:

40707881K

Registration Date:

1/5/2012

 

Domicile Address

 

224 RUE DE JEAN

 

LAFAYETTE, LA 70508

 

Mailing Address

 

224 RUE DE JEAN

 

LAFAYETTE, LA 70508

 

Status

Status:

Active

Annual Report Status:

In Good Standing

File Date:

1/5/2012

Last Report Filed:

1/5/2015

Type:

Limited Liability Company

 

Registered Agent(s)

 

Agent:

JEANNE SCHOEFFLER

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

Appointment Date:

1/5/2012

 

Officer(s)

Additional Officers: No 

 

Officer:

JEANNE SCHOEFFLER

Title:

Member, Manager

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

 

Officer:

TODD SCHOEFFLER

Title:

Member, Manager

Address 1:

224 RUE DE JEAN

City, State, Zip:

LAFAYETTE, LA 70508

It's

Thank you all for the infomation. Good to know I can always get the help I need in these matters.

You're welcome, dot.  I would be helpful to know where your mother's mineral interest is generally located.

Her location is section 27-18N-03W in Lincoln parish.She was surprised since she lives in town and in a subdivision. Ha! Hope this helps.

It's exactly what I expected, dot.  Thanks for confirming it.

dot, considering your mother's particular circumstance, I don't consider a five year primary term unreasonable. 

Dot,

  I lot of folks don't take all of the facts into consideration when they are giving advice.  Some people on here may have 100 acres in the core of the Haynesville and be giving you advice based on that criteria.  

  For someone with a small tract of land that won't have to deal with roads or pipelines on their property, there is very little downside to lease.  Unless, of course, the trip to retrieve mailbox money is a long distance, LOL.

wow scary that landman actually visited an 85 year old widow....to buy a lease....even the royalty mailers do not actually visit folks or tie them up to a chair and get them to sign up....how dare them to actually show up in person and have her sign such confusing documents;

It is a common means for offering leases.  And there is nothing wrong with it if the landman conducts themselves in a professional manner.  There is nothing in Dot's posts to indicate that the landman's conduct was out of line.  And her mother was right to seek her help to perform a search for additional information and not to get into a rush to sign. 

In pre-internet days leases were only ever bought in person it only the last decade that has changed and with elderly that is still sometimes the preferred method since they may not be able to deal with them otherwise.

RSS

© 2020   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service