SOUTH TEXAS LAND OWNERS BEWARE OF THE HUGE ROYALTY PROMISED
I AM FIFTEEN AND THEY HAVE RECENTLY DRILLED A OIL WELL ON MY FAMILY'S LAND. I DONT WANT TO SAY WHERE FOR NOW. MY SWEET GRANDMOTHER OWNS THE LAND. SHE IS 80.
MY DAD SAID THE COMPANY PROMISED 1/5 - 20% OF ALL OIL PRODUCED - THAT MONEY WOULD COME TO MY GRANNY.
THEY HAVE BEEN HAULING TRUCKS OF OIL OUT OF HERE FOR A MONTH OR MORE. BUT MY GRANDMOTHER HAS NO PAYMENTS SO FAR AND CANT GET ANY INFO FROM THE COMPANY EXCEPT THEY WANT TO DRILL ANOTHER WELL RIGHT AWAY. WHEN SHE SUGGESTED THEY WAIT UNTIL THE CHECK STUFF IS IRONED OUT, THEY SAID NO AND WOULD GET A COURT TO FORCE US TO LET THEM IN TO DRILL.
THEY CANT SEEM TO GET THE DIVISION ORDER DONE. DAD THINKS THEY HAVE DONE IT AND WONT TELL US WE GET 2% INSTEAD OF 20%. I SEE GRANS FACE AS THE OIL ROLLS OUT AND THE MONEY DOESNT COME BACK AS THEY SAID IT WOULD. I DONT SEE HOW THIS COMPANY CAN OPERATE LIKE THIS. CAN THEY REALLY FORCE US OFF OUR LAND SO THEY CAN DRILL?
:)
TECHIE FARMGIRL
DADS INPUT - LAND OWNERS BE AWARE OF THESE TACTICS - FIRMS WILL OFFER YOU A 1/5 ROYALTY AND TELL YOU YOU GET IT ALL! AND IT MEANS NOTHING - BUT SOMEWHERE AWAY FROM THE ROYALTY PARAGRAPH THERE IS THIS LITTLE SECRET -
'ALL ROYALTYS WILL BE PAID FROM THIS LEASE AGREEMENT'.
SO THEY GET 80% NO MATTER WHAT. THEIR PART IS NEVER DIMINISHED, YOURS IS.
AND THEY DONT TELL YOU THAT.
THEY BURY THE PART ABOUT IN A DIFFERENT PLACE IN THE AGREEMENT. MINE WAS IN A SECTION UNRELATED TO ROYALTY.
FORCE THEM TO TAKE ALL OTHER ROYALTIES FROM THE COMPANIES 80% INSTEAD OF YOUR 20%.
IM TELLING YOU THIS BECAUSE OF MY MOTHERNLAWS RECENT EXPERIENCE AND THE MISINFORMATION AND MISREPRESENTATION SHE WAS TOLD.. SHE TOOK A SMALLER BONUS AMOUNT TO GET THE 20% ROYALTY PAYMENT AND A COMMITMENT TO DRILL. THEY DID AND ARE HAULING ALOT OIL OFF HER PLACE
HER 20% IS NOW 'SIGNIFICANTLY LESS' ACCORDING TO THE DRILLERS DIV ORDER WHICH WE CANT GET TO SEE UNTIL 120 DAYS AFTER PRODUCTION. IT COULD BE 15 OR IT COULD BE ZERO. OTHER RI'S TAKE PRECEDENCE ANDS SHE COULD END UP WITH ALL THE ROYATIES GOING TO OTHER PEOPLE AND NONE TO HER.
THEY HAVE TAKEN OVER $1 MILLION IN OIL OFF HER LAND, AND SHE DOES NOT HAVE A DIME OF IT. AND MAY NEVER SEE IT
WHEN WE ATTEMPTED TO DISCUSS IT WE WERE TOLD GET A LAWYER. NOT MANY AS THEY ARE EMPLOYED BY THE FIRMS TO QUELL LANDOWNER ANGER BY INTIMIDATION.
IMTIMIDATED IS NOT THE WAY I WOULD DESCRIBE FOLKS WHERE SHE LIVES. SHE IS NOT AFRAID TO CONFRONT THEM. AND THEY SHOW SUCH DISRESPECT FOR HER AND THE LAND...
AND YOU WONDER WHY THIS INDUSTRY HAS THE REPUTATION THAT IT DOES...AND HOW THIS COMPANY CAN FACE THEMSELVES IN THE MIRROR.
SUGGESTIONS BESIDES GET A LAWYER?
Tags: ALERT, LANDOWNER, ROYALTY
Views: 309
Replies to This Discussion
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Permalink Reply by sgt whitwell on
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my apologies for the typo - the lastline should read
God bless Texas...
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Permalink Reply by Two Dogs, Pirate on -
This sounds like a lease with no Pugh Clause (Freestone Rider). Did grandmaw sign the lease without any consultation from others in the family? I would never take a lease on some 80 year old woman without first talking with others in the family.
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you sir have more integrity than the folks she signed with...
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Permalink Reply by Phillip Briggs on
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Can you divulge details now? If you're Granny's been taken to the cleaners, why not 'fish' for some free advice. If Granny's getting only 1K a year, you could easily spend many many years worth of royalties on lawyering fees.
What the division order say? Did Granny not own all of her minerals? Were here minerals unitized with other minerals? Was only a portion of her acreage added to a unit???
What is the name of the Unit? (Quick check of RRC online records is quick and easy).
Which county? La Salle?
Without hard and fast facts, your spinning your wheels talking to the AG, Comptroller, or Rangers. Put it in 4wd and hire a landman to research your problem.
The world isn't out to get you... if you can prove your case, on paper, documented with courthouse records, the oil company will do the right thing. At that point, if they stonewall you, having an attorney send a letter will get their attention. I've solved many a 'dispute' on paper, and having a lawyer in town reiterating 'my facts' to the oil company, with a threat of lawsuit if they don't resolve it quickly, cleared things up. If your owed money, you will be paid. But only hard facts (document and page) count... not what you think has happened... and not what some truck driver said.
Good luck...
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Mr Briggs - do appreciater your polite advice. gathering the facts is where I am right now...
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Permalink Reply by robert minton on -
people with different backgrounds of understanding sometimes wind up with false understandings, but fail to realize such. EXAMPLE (old story): Deacons of church met to discuss the purchase of Chandeliers. Chronic objector objected to purchase--said that the church needed some lights more than it needed chandeliers! I suspect such is this case! Best not to play in game where you don't know the rules.
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Permalink Reply by king john on
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this is one of the strangest threads i have seen on this web site. it keeps going without NEW or SUPPORTING information. here is an example...
"HER 20% IS NOW 'SIGNIFICANTLY LESS' ACCORDING TO THE DRILLERS DIV ORDER WHICH WE CANT GET TO SEE UNTIL 120 DAYS AFTER PRODUCTION. IT COULD BE 15 OR IT COULD BE ZERO. OTHER RI'S TAKE PRECEDENCE ANDS SHE COULD END UP WITH ALL THE ROYATIES GOING TO OTHER PEOPLE AND NONE TO HER."
if you haven't seen it, then how do you know what it says? also, drillers don't make division orders. is she already receiving payments without the division order in place? the only thing i am aware of that could change her decimal intrest is one of two things and they have both already been stated...
1)overriding royalty interest
2) a bigger unit has been formed than you are aware of
a logical step in this process would be to hire a land company to run title on her place and have an attorney double check the decimal interest on the division order. also the texas railroad commission has a website where you can check out, unit plats,well status, and well production. do yourself a favor and find this web site and learn how to use it. it can be very helpful.
kj
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Hello and thanks for the advice. I really appreciate your kind words about this being a strange post. I am simply trying to warn landowners of pitfalls and thieves I have encountered in looking into this. To specifically answer KingJohn -
I used driller as a possessive - it should have probably been oil firm's land department.
She has a div order which she will not agree to without changes. Changes the oil firms land department will not agree to. changes her attorney suggested.
There are bigger ri than she was aware of.
There are no untis formed bigger or smaller.
an attorney was hired and paid for a title search.
No information other than permit and drilling are on the RRC site. no completion, no production. they show the well as completed thats it. I have other resources to discover production, severance taxes etc. I am well versed in the TRRC site asn I designed portions oif it.
sorry to contridict your assertion -
There is plenty of new and supporting information...and you will get it all right here in due time.
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