We seem to have struck out again, first with Vine and now with Indigo. We signed all the paperwork in May and have been getting one excuse after another about why the check is (NOT) in the mail--but with assurances that it's coming. Has anyone else had this experience? I've lost faith in Indigo as well as Ruffin out of Lafayette.

We are in 16 11n 15w (McCoy well, Logansport) and 27 12n and 15w (Collins well, Grand Cane).

It's been so long since I've looked for documents in Sonris, can someone point me to where I'd find if they've sought a permit, or whatever? I do know that they restarted the McCoy well, after Chesapeake stopped production.

(They promised this week and it's Friday, but my mail hasn't come yet. My well of hope is no longer springing eternal.)

Thanks.

Gayle

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Yes, it has and everything is in order.

Al

Thanks for clearing that up and for being willing to engage here on GHS.  I wish we had more input from industry members willing to explain the processes required to establish title and correctly pay royalties. 

I have an update, a conclusion, I hope, to the Indigo saga. We received our checks last week, but after several conversations and apologies from Indigo and the landman company. "Perfect storm," etc. It took 7 weeks from when we finished the lease. Here's what was shocking to me. The person at Indigo actually admitted to me that Indigo had started producing the well BEFORE they had the lease. Chesapeake "sold" our minerals to Indigo AFTER they had lost the least due to nonproduction--it wasn't theirs to sell--and Indigo began producing the well way before we signed with them. I asked the Indigo rep about this, and she changed the subject. I said, "No, I'd like to understand what happened," and told her my assumption. She actually said to me, "You are right. Our guys in the field--you know, engineers--sometimes do things without checking with our land department." I'm afraid I said that I wasn't very impressed with Indigo's business practices. I said it nicely (didn't have the check at that point, after all), and she apologized profusely, saying that they consider their owners very important. We ended on a cordial note. I asked a friend in Louisiana who deals with the gas business how that sort of thing could happen, and he said, "Gayle, nobody cares." 

Thanks for the additional information, Gayle.  The problem here is Indigo, not Ruffin Energy.  I don't completely agree with your friend but understand why he fells the way he does.  I think a lot of mineral owners care but just don't know the basics of managing their mineral interests.  Yours is a cautionary tale for GHS members.  When royalty payments stop, they need to find out why.  And if production has ceased and does not resume for three months, they need to seek a release of their lease.  Lacking some specific language that keeps a lease in force when production stops for an extended period of time after the primary term, the lease rights expire.  Send a certified letter demanding that the operator file a release in the public record within a reasonable period of time, say 30 days.  This should get you a reply that let's you know whether the operator agrees or does not agree that the lease has expired.  If they claim the lease remains in force they should provide a reason.  That is when mineral owners should seek the assistance of an experienced O&G attorney to determine if the reason provided is legit, or not.  Taking no action can lead to just this type of situation.

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