The suit is recent and I have heard no scuttlebutt on the specific cause of action. I suspect that the Messengers may be tired of being HBP'ed by a vertical well with limited production. Then again it could be an attempt to enforce a depth clause as the Messenger well is said to be producing from perforations shallower than the Haynesville Shale, CV and BO particularly. The Janet Messenger well was the first far south HA well drilled and generated a lot of discussion as it was quite productive at the time for a vertical which boded well for a very productive horizontal. Which has yet to be drilled.
On April 12, 2010, Encana filed of record a "Notice Of Extension To Oil & Gas Leases". Three Delta Lands Exploration leases were covered in the notice, one being the Janette Lewis Messenger lease which was extended in force until 5/13/2012. A quick review of that lease shows that clause 22. of the Exhibit page grants the lessee the right at its option to extend the Primary Term for an additional 2 years from the expiration of the primary term by tendering lessor the sum of Fifty and No/100 Dollars per net mineral acre. In effect turning a five year lease primary term into a seven year term. The lease form is quite comprehensive in the lessees favor and the Exhibit page is short. The royalty is 3/16th.
As exciting as this is, we know that we have a responsibility to do this thing correctly. After all, we want the farm to remain a place where the family can gather for another 80 years and beyond. This site was born out of these desires. Before we started this site, googling "shale' brought up little information. Certainly nothing that was useful as we negotiated a lease. Read More