This has been touched on a little bit lately, but I believe it deserves a great deal more attention. I have seen Chesapeake and other operators cussed and discussed on this web site hundreds, maybe thousands of times. However, the one operator that few people talk about, but should probably have more disdain by the mineral owners of Northwest Louisiana IMHO is Shell Oil, you know......ROYAL DUTCH SHELL.......one of the largest international oil companies in the world.......probably the company with the deepest pockets of any company operating in the Haynesville....you know......that company operating under the code name SWEPI ( if I had their track record, I'd want a code name to operate under too) We have 10,000 or so members on this web site. I'd like to pole the membership to find out how many members (and non-members too for that matter) have actually received a royalty check from this company. I would like to know how many members are proud of leasing to
Swepi. I would like to hear from the folks who are happy with the way Shell Oil is developing their mineral estate. I would like to hear from people that think taking over a year to lay a pipeline to a well in their section is a bit much since the other operators seem to be able to do it in a matter of weeks. I would like to hear from folks who think it is rediculous to take 4-6 months to drill a Haynesville well, while he other operators have cut the time to drill down to 40-45 days. I would like to talk to a mineral owner who doesn't think that Sir whatever his name is over in Europe should fire the whole team in charge of the Haynesville and replace them with a group who has some idea what they are doing. My personal perspective is that Shell (SWEPI) should either get serious about developing the Haynesville or sell it to Encana and get the hell out. Who out there even knows where Shell's Field office is anyway? Do they even have one? I've never walked a picket line in my life, but in an effort to embarrass this large International Oil Company based on their incompetence, I'd be willing to walk that one!..............if I knew where they were!
I did not lease to SWEPI, having worked for Shell many years ago. However, one of my tracts got included in a SWEPI unit. NOT ONE well drilled and completed by SWEPI has been connected to a pipeline and delivered NG to the market.
SWEPI is the worst lessee, or unit operator in the HA. Shale.
I've been a consistent commenter on SWEPI on this site, but I'm willing to be patient, and wait a bit.... This may turn out well for the mineral owner. All those SWEPI leases could expire, in which case the mineral owner got free money and may re-lease to someone else. Also, SWEPI might be waiting for the price of gas to rise, in which case the mineral owner would benefit by selling gas for $5, rather than $2.50. Being a large company, SWEPI might have the financial reserves to wait for gas prices to rise, unlike some of the smaller companies. SWEPI has almost 100 units in the southern half of the play that are do noy yet have permits. Their leases will either expire eventually, or be sold to someone else who will drill. Although I don't know their strategy here (and it is very different from all the other companies), I'm willing to wait and see. They didn't get to be a huge multinational by being stupid. You raise a lot of good concerns, and I'd like to hear what anyone else knows about their ops. But for now, I'll not judge them (yet) -- I'll wait a while.
I want to pretend they have a strategy, but I have been dealing with them too long. No checks here!! It has got to the point that I won't even refuel at their gas stations. We have no one to contact, but a secondhand landman that knows less than us.
Crunchy, I don't know if these numbers will help you but, generally, if you contact the company directly, you will eventually get some helpful information.
Contact Information *** Questions related to your CheckStub may be answered by referring to the FAQ. ***
Contact Name Phone Number Email Address Contact Description
Royalty Relations Fax Number 281-544-4006
Fax Number for Royalty Owner Relations and Division Orders
Royalty Relations Hotline 281-544-2600
firstname.lastname@example.org For questions regarding your royalty interest
Thanks Bacon. I contacted the Royalty Relations. They said that they were just in book keeping. They could not tell us what was going on "on the ground" so to speak. Out of the 2 times I have contacted them they told us what they knew, but both times it changed. My landman goes to a meeting once a month. He comes back with spotty info at best. I wish I had a liason on the ground. This has dragged on for so long...I have lost hope of Shell ever sending anything to sales.
Guess it is probably time for another call. I can't give up.
Might you receive shut-in payments for this non-production? There was another discussion on this topic yesterday, and Harold Korman suggested that some mineral owners ought to be receiving shut-in payments. I don't know. But it would be nice to know what they are doing...
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