Replies to This Discussion

Permalink Reply by Jaybird on June 27, 2009 at 8:56

JT, I agree with you.

I had a phone call about 6 weeks ago for $1,600 an acre...25% Royalty 3year and he said he was working with Longhorn Resources. I called the company and they never heard of the guy. He obviously didn't return my call after the intitial call. You never know who is out there lurking in the woods!

I will just sit back in my recliner and wait too. My couch is not that comfortable. :o)

Jaybird

Permalink Reply by BirdDawg, plain ole' idiot on June 27, 2009 at 11:24

JT and Jaybird,
First off, JT, I agree 100% that the guy not giving the name of the company he represents raises a huge flag. The landowner I talked to never takes any lease for less than 1/4 royalty, and they said that was not even an option.
People like to know who they are ultimately dealing with, and when they will not tell you, of course we get suspicious. My friend feels the same way as you and I.

Jaybird,
If you recently had an offer (I think you are in the Arcadia area) of $1,600/ acre, I would have gotten excited. But I agree with you, I think he was a shyster.

I hope anyone else in this area that has any info will share it with us.

Permalink Reply by obed w odom on July 14, 2009 at 1:52

I can confirm that offers identical to the one mentioned by BirdDawg are being made, and in some cases accepted, in sections 1, 11, 12. 13, and 14 of Twp 23N, R 6W, which is about 10-12 miles due west of the Summerfield area.

Permalink Reply by Liz Cb2 on July 15, 2009 at 7:56

In your opinion, what would be the acceptable ballpark figure per acre for Claiborne Parish. 25% royalty goes without saying. I'm curious about another thing, if they're offering up to $1600 per acre and then flipping, what would you "guesstimate" would be the flipped price?

My land comes up for lease in a couple of months but I'll be pretty skeptical about things unless I can verify who's who and who their company is, and not to mention the way they pay you if you lease. Personally, I would want a check in my hands, not a bank draft.

Permalink Reply by BirdDawg, plain ole' idiot on July 15, 2009 at 8:22

Liz,
I really would hesitate to throw up a figure that someone else should take.
In regards to the $1,600/acre, that was only offered in mainly southwest Claiborne Parish, and almost no one actually got the money. I think the best thing to do would be to take what you considered to be a reasonable offer with good protection in your lease, and be sure to have a vertical pugh clause or depth restriction.

Permalink Reply by Two Dogs, Pirate on July 16, 2009 at 16:26

Liz, you don't have to accept a bank draft but this is the oil companys way of getting their title run before paying the money. Sometimes it costs thousands of dollars to run title. A lot of times the oil & gas companies are paying more to run your land title than they paid for your lease. Once the title is examined then you will be paid for what you own.

Permalink Reply by Liz Cb2 on July 17, 2009 at 3:45

Thanks for ya'll's input. I couldn't agree more with your comments. Actually, I don't care if I don't lease for quite a while. Sometimes it pays to be cautious.

Permalink Reply by Jaybird on July 17, 2009 at 5:58

Liz, this possibly could be the last time you lease your land...so I agree with you. Be very cautious. Good luck to you,

Jaybird