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Permalink Reply by Krkyoldhag on September 18, 2012 at 2:23

Wouldn't help..they won't listen.  Just as there are some who are selling their mineral rights now.  One elder one kept getting letters offering her these big lump amounts for her minerals.  I told her to toss them.  But as her checks from royalties got smaller and the offers kept coming she bit.  She seems to be getting about what one year of production at $4 mfc would bring her from those rights.

I figure her family will be mucho upset when they later discover she has done this.  But then, its not my place to tell them.  They should have called and visited her more often and been less eager for the big ticket items she bought them back in the day of $4 NG.

I also an elder one.  But tho I figure I won't live to enjoy the income from my minerals, my heirs will.  Sure not selling them.

Yes, I tried to talk her out  of it..so then she stopped confiding in me and now she has done this deal.

My point is, you can give all the good advice there is but there are simply people out there who will not listen.  They want you to tell them what they want to hear...nothing else.  And here is this CHK guy waving a big check in their faces..

I remember  a story my Dad would tell about the Kilgore days...He said honest operators (well as honest as they were back then) would make offers for minerals to farmers and they would be turned away..then H.L. Hunt would come to the place and make his offer and open up a suitcase filled with real cash money..and they signed.  The suitcases held less by far cash then the other operators were offering on paper.  But to those farmers the cash was real. 

See my point?

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Permalink Reply by Jo Ann Carter on September 18, 2012 at 2:36

I would not try and sway peoples opinion about leasing or selling, I merely want people to know that  CHK is not the hero they would like you to believe. I had no choice, I was held by production and my operator sub-leased the rights. I really think it is wrong wrong wrong for CHK to lead people to think a rainbow is awaiting them when in fact they are gonna get a screwing instead.

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Permalink Reply by Skip Peel - Mineral Consultant on September 18, 2012 at 3:43

Krkyoldhag, are you saying that your friend sold her minerals to CHK?

My point is, you can give all the good advice there is but there are simply people out there who will not listen.  They want you to tell them what they want to hear...nothing else.  And here is this CHK guy waving a big check in their faces..

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Permalink Reply by Krkyoldhag on September 18, 2012 at 8:20

No ..she already leased to them...some Barnett Shale stuff...she selling to one of those places that send you the letters (I get them all the time) they buying her already leased rights.   On producing wells.

Its crazy..but the whole point is there are people out there who do this stuff..its right there in same bunch of brain deficits that do reverse mortgages and the "do you have an annuity or settlement " its your money and you want it now bunch.
 

I would never do a reverse mortgage..or (if was smart enough to buy into one) an annuity or sell my land or mineral rights.  As I have said, although I might not reap the benefits of the royalties, the people after me will do so.

In the meantime  I still have those two huge pits and a road across my pasture to them and the pad..the road is grassing up fast and the pits are filling up with water.  Thank goodness it is way in back corner of the place.  Oh and I have this really really nice gate at the entrance.  The deer seem to enjoy the pits.  And I am not leased by Cheasepeak. See how blessed I am?

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Permalink Reply by Skip Peel - Mineral Consultant on September 18, 2012 at 8:58

Plant the pits for the deer or fill them with water and stock 'em. 

There is nothing unethical or illegal with making offers to purchase mineral interests.  Just as with the consideration of a mineral lease it is advisable to do homework and seek counsel.  My concern is that so many members call those who sell fools that we never get any feedback.  The sellers are fearful of being castigated on GHS.  Therefore the few who will sell, regardless of what members may think or say, do so in a vacuum with no way of knowing what others have been offered.  And what the fair market value of their minerals should be.  So in private, without professional help, many mineral owners sell for a fraction of what they should receive. 

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Permalink Reply by Aubrey C. Sanders, Jr. on September 18, 2012 at 9:12

Skip, YOU TOLD IT AS IT IS. SOMEONE MIGHT LISTEN. TRY CALLING THEM ONE TIME. IF YOU HEAR SQUALLING KIDS IN BACKGROUND YOU MAY BE TALKING TO SCAM ARTIST..

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Permalink Reply by Skip Peel - Mineral Consultant on September 18, 2012 at 9:31

Thanks, Aubrey.  I'd love a more substantive discussion on the subject but the site rules preclude that.  I would hope no one finds themselves in a position where they feel the need to sell because of a personal emergency but it does happen.  Then how do you find help or determine a fair market offer?  And finally how many personal attacks will you have to endure if you go public seeking that help?  I suspect it is a helpless and lonely feeling. 

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Permalink Reply by Andrew on September 18, 2012 at 10:20

We have two different issues here:

1. CHK ad - the 1st amendment protects your right to criticize companies such as CHK. However, if you make specific accusations that are false, you are not protected, and you can be sure that they will nail you on a libel suit if you set a toe over the line. Tread carefully.

2. Selling Mineral Rights - I think it is sad that anyone would be castigated on this site. GHS is tremendous resources for those interested in learning, and questions will not be asked if people are afraid of condescending responses. 

Many people feel that to sell a mineral right - ever - is a poor idea. I can't agree with such a blanket statement in any case, and certainly not with selling mineral rights. Some times it makes sense, some times it doesn't.  There were plenty of people who sold their minerals or royalties north of I-20 who made out like bandits, and will probably get the minerals back in 10 years anyway. Even some people with production under their property were overpaid - it will take a long, long time for $20k per acre to pay off in most Haynesville areas, and many sellers will be long passed away by the time that happens. That money in a low-cost index fund would make them much wealthier than their royalties.

My point is that, in the spirit of education free from ridicule, it is better to provide open-minded advice to people who are considering something like selling minerals, or anything else dealing with Oil and Gas. People who are going to sell their minerals are going to do so no matter what people on GHS say; it does those people a disservice to dismiss them rather than give advice to make sure they don't deal with scam artists and can get a fair shake.

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Permalink Reply by Krkyoldhag on September 19, 2012 at 9:02

I agree that there are times when it might be the thing to do  but only with good research and legal help.  That is not the case here. 

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Permalink Reply by RONNY on September 18, 2012 at 10:24

Jo Ann,

As long as any statements made in your ad are backed by facts then you should be okay.  Just remember who has the deeper pockets for lawyers.  Maybe an ad that says "Join gohaynesvilleshale.com to get the real facts on Chesapeake"  would do the trick.    JMO

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Permalink Reply by Jo Ann Carter on September 19, 2012 at 2:55

I know and I really would not take an ad out, it is just so wrong of them. I do like your idea about telling them to join gohaynesvilleshale for the facts though. Guess I just needed to vent.

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Permalink Reply by Greedy Landowner on September 19, 2012 at 6:21

The way our local representatives have dodged this blatant and repeated rip off of our property owners it really makes you wonder why we have them in the first place. Its easy to show up and smile for the camera at ribbon cuttings, weddings and funerals. Why not do something real for the people who elected you?

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