Has anyone had any dealings with Milestone Oil & Gas LLC? I have 12.5 NMA in 26 1S 3W to lease and got an offer from them. They want to have 45 days after we sign a lease to pay. Is that a norm? Thanks in advance for any help.
Never hand over a signed lease without payment. Your attorney or accountant can hold the signed lease and exchange it for payment. 45 days (business days) is nine weeks! Do not sign a draft payment letter. Many of these are 30 days (six weeks), but I won’t do them.
Echo has a pooling case pending at the OCC for that section. The hearing was supposed to have been August 28. When the orders come out, you only have 20 days (calendar days) in which to answer. Another problem with the Milestone offer is that discrepancy in time. If they do not get the lease filed before the pooling time is finished, you may get stuck being pooled at 1/8th since you “assumed” that your were leased, but you weren’t since it wasn’t filed while Milestone is trying to flip it. Yet, they may not find a buyer and you don’t get paid except eventually by Echo at 1/8th. Too complicated! Nothing wrong with pooling in some cases, but you want the option to choose which of the bonus/royalty pairs that you want, not the default of 1/8th.
If they only offered you 3/16ths, there are other lessees that have filed for 1/4th. Let me know if you need other names or you are just waiting for the pooling.
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M Barnes, Their offer is $2000 bonus & 1/5th. Yes, I would appreciate other names. Thank you.
BLUE RIVER MINERALS LLC P O BOX 1053 Ardmore, OK 73402
ECHO OPERATING LLC 3817 NORTHWEST EXPRESSWAY SUITE 840 Oklahoma City, OK 73112 (they will be the operator)
THREE OAKS RESOURCES LLC 301 W. BRITTON ROAD BOX 16157, OK 73113
ENECO LLC 105 N. HUDSON AVENUE #650 OKLAHOMA CITY, OK 73102
1907 LAND COMPANY LLC P O BOX 1033 Norman, OK 73070
APACHE CORPORATION ET AL 2000 POST OAK BOULEVARD SUITE 100 HOUSTON, TX 77056
These have all filed leases recently in that section.
Thank you M Barnes. I would like to private message you,