Replies to This Discussion

Permalink Reply by Land Rover on March 31, 2010 at 18:11

Oh, my... I wouldn't be so quick to call the comments of others "ridiculous", as the two of you appear to be the leaders (so far) in that category. Again... EDUCATE... LEARN... and DO NOT call attention to your own cluelessness by constantly criticizing landmen. They, unlike most landowners, are at least educated (in mineral rights acquisitions), and are simply providing a much needed service while supporting their families. And, they do not reap NEAR the benefits of most landowners. Thank you for listening. Have a nice day...

Permalink Reply by Rick on August 4, 2009 at 14:03

Hi E & E, thanks for the supporting facts. As I stated I have been off the site awhile but there were a few jerks on here before and there appear to still be some now but I thank you, Insom, and Henry for your response. It is a shame that some folks think that landowners who got no upfront money and have had gas produced from under their property without anyone even as much as asking their opinion, is doing something wrong when they ask the producer to comply with STATE LAW and pay the unleased mineral owner their due part. Wonder why they don't accuse Chesapeake of doing something wrong by ignoring and breaking every code that has applied to me in this case.
Thanks to KB and Les I have information they gave me months ago and have compared the codes to what has happened to me and every single applicable code has be ignored and not followed. Certified letters did not even get a response until I carbon copied 3 state offices and then some woman that Kevin McKotter pawned me off on sent me a letter with no detailed information and told me they knew I was here and when the well had paid out $7,539,000.00 I would start drawing revenue.
Insomniacinla, it's good to hear from you and thanks for you effort in figuring the amount. I had tried to figure it as close as I could but since the state allows the producers to lag several months behind on production figures I had used average estimates for May, June, & July but my figures came out closer to $7 million. I am about to prepare another letter and let them know I want more information.

Does anyone know anybody that has had to challenge a producer and got an attorney who would seek his charges from the gas company. I know an attorney that has a gas attorney friend and my friend said that since the state code says an unleased mineral owner has a right to be paid without unnecessary cost to him, the gas attorney could seek fees from the gas producer so that the landowner would not be out a lot of money unnecessarily.

Permalink Reply by Skip Peel - Mineral Consultant on August 4, 2009 at 14:29

Rick. In short, my advise is to get a qualified O&G attorney as, IMHO, your circumstance warrants that expenditure.

Permalink Reply by Henry on August 4, 2009 at 23:57

Rick,
Good luck. Chesapeake often seems to operate with disregard for the law, when it comes to dealing with the little guy. They know that it is expensive for the little guy to hire an attorney. It just seems that they try to drag things out, or make it so difficult for you to collect what is rightly yours, that you will give up in frustration and go away. So far, they don't seem to have been punished for this strategy.

Permalink Reply by J B Nabors on August 5, 2009 at 5:10

We are currently preparing suit against Long Petroleum; and perhaps Chesapeake as well. A court case can be quite expensive (if one loses), so we are fortunate to have a couple of family members with fairly deep pockets.

Permalink Reply by Rick on August 5, 2009 at 8:37

Hey JB, thanks for your response. I worked in the Mansfield area for about 20 years and I'm familiar with the Nabors name and if you come from that bloodline then you're right, there are some ddddeeeppp pockets and I congratulate you on having that on your side. Keep us posted on how things go. I had hoped that Chesapeake would just do the right thing and honor their obligation to follow state codes and their obligation to respect the landowners, but they probably didn't get as big as they are by being fair and honest. And there is no obligation unless the state offices that our tax money fund don't step up and enforce the codes.

Permalink Reply by cocodrie man on January 9, 2010 at 11:14

J.B.,

. . . have entered suit against River Rouge? It is said that some such suits have been filed.

Permalink Reply by Olivia on January 27, 2010 at 15:33

Our group (a bunch of cousins w/undivided interest) is about to file against them. River Rouge was all sweet and nice when we contacted them and pointed out that we had an interest in the land and that they couldn't just lease with one cousin. We got Chesapeake leases & Chesapeake's checks double quick. When we reminded River Rouge that they had been pumping off an old well for many years without paying and explained that they were legally bound to pay us for what had already been pumped they suddenly claimed that they needed extra time (after four months and a lease???) to figure out well interest. We went from gaining respect to feeling shafted again. They just gave our cousin some guff about needing another week, so I'm calling a lawyer tomorrow. Oil & gas lawyers will often take cases on contingency, and it doesn't hurt that our family has a connection with the LA supreme court. We're about to call in every favor we have to get this resolved. I hate to say it, but sometimes a lawsuit is the only way to get their attention.
Good luck with everything!

Permalink Reply by J B Nabors on February 16, 2010 at 10:56

Olivia, I'm not a lawyer, but ...

Before you cash any check that RR may give you for "delayed or forgotten" royalties, see a GOOD O&G lawyer. Non-payment may be sufficient grounds to break the lease.

Permalink Reply by J B Nabors on February 16, 2010 at 10:53

Hey Cocodrie!

No, my *immediate* family has not filed suit against River Rouge, though I believe some kinfolk have. When I was doing my Aunt's Estate back in 2003, we went to see River Rouge...
They had been holding back all royalties for a period of several years. We allowed them to pay us the back royalties and that was it. I would suspect that if they treated us that way, they did others as well. And there may be legal implications if they did. Get a good lawyer!

Permalink Reply by Ms.Dragonslaya on January 27, 2010 at 20:18

What's the problem with Long Petroleum? Maybe I can help. Initial lease was with Long Petroleum who sold out to Exco Production. What did they try to pull on you guys??????

Permalink Reply by BARBARA'S MA on August 5, 2009 at 11:42

Hey Rick,

How I wish I were like you and had not leased! I just found out yesterday that a well in my section was permitted 2/13/09 and spud on 5/31. I have received no notice of either from Chesapeake, however Cajun is still after me concerning seismic for Chesapeake. Monday they asked for a "verbal agreement" over the phone. SURE!! There is a specific amt. of time the co. has after production to issue royalties. Here is one website with info on the $ difference for leased & unleased minerals: http://www.docstoc.com/docs/3104752/Understanding-the-Oil-Gas-Lease . Towards the end is info. I have also read about a 200% penalty assessed unleased owners. If you google "unleased mineral interest in LA" the third site is www.loga.la and it clarifies bill HB 1128. Do a YAHOO search "unleased mineral interest in Louisiana" and click on the third site, go to section III. INTERPRETING PROVISIONS OF THE OIL AND GAS LEASE. This site should give you enough searches to keep you up for many late nights These guys work TX and LA. I have maybe 500 hours of research and lots of info buried in word files, so I have seen specifics out there on what costs are actually applicable to you and the type owner you are as related to unleased ownership. So don’t take the O&G co.’s word for it. If the guy who first replied to your post thinks ANYONE gets something for nothing on the royalty end, he’s never signed a lease or received royalties! It’s a ton of work getting correct info, learning your rights, protecting them AND your property, and finally the fight to keep the big guys from raping you financially, not to mention the weight of a landowner’s obligation to do these things right for the sake of our children who will inherit this mess, all while bearing gratitude to our loved ones who worked and suffered so that we could inherit. If he were billed for MY hours of research (for all the above reasons) and had to foot the bill for attorneys to enforce MY rights (this goes for leased and unleased owners) his thinking wouldn’t be so shallow. He needs to read the homepage “about this website” so he can find out whether he should even be on it…"this site is made up of individuals who have worked hard for that little yard we call home, or that farm on which blood, sweat and tears have fallen...How excited Grandmother and Granddaddy would be to see the potential impact the farm may now have on generations to come. Never in their wildest dreams had they ever considered such a thing. However, if we never lease, we'll continue to come to the farm to enjoy the rural setting, the off-road trails, the pines, the pond and of course, our family". NOW I feel better!

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