This may be a second request being submitted on this subject. I’ve been filling out so much paperwork in the last few days with this in my mind,p so it could easily be a second request.
I’m still learning more about this oil & gas business but when I receive possible lease negotiations with a company I’ve never heard of, I come here to ask you guys.
Antelope Oil and Gas wants to lease a lot of our wells in either Ellis or McClain counties. Before I get too far in my eagerness to lease, I have a few questions.
*Are these guys legit? Have you heard of them or done business with them?
*Do they pay what is due to the lessor?
*Is this a company that wants me to be a working interest, have me pay for certain things?
*I’m not sure what else to ask, perhaps you could give me some suggestions as to what to ask about companies I’ve never heard of.
They will not lease “your wells” only mineral acreage. If you have wells, it is already leased.
If you are new to oil and gas, being a Working Interest owner is not for the novice. One would need deep pockets, an excellent attorney and accountant and insurance. You would definitely be paying for a LOT of things. It works for those you have the knowledge and savvy, but not a good place to get your feet wet in my opinion.
Never lease separate properties on the same lease. Get individual leases for each tract. Highly recommend getting an attorney to review any leases. The first drafts are not in the mineral owner’s favor and need negotiation and edits. Always ask for what they are offering at 1/5th and 1/4th if they only offer 3/16ths. You do not want any post production charges which many operators will try to get you to pay. (Not giving legal advice)