Just rec'd a letter from Hal C Smith&associ. wanting to acquire o/g lease at $1000 3 yr 2y $1200 option and 3/16 royalty. I am totally new to this, is this request a legitimate offer, no scams, are there any important things to know before finalizing deal.? Please help with any info Do i need to get an attorney involved ? Please help with any info you can . land in sec27 Mcclain county Thanx ACN
There is more then one section 27 in McClain Co. Should read sec 27-? n-? w
Ann, come back with the exact location and then we can tell you. First of all, if that is your first offer, it is probably low to what they will offer in the end. Hal Smith is a legitimate company. There are some very important things for you to know. First of all, you do not want the 2 year option, you will not want to use the first lease they offer you as it is to their favor and not yours. There are some clauses in there that you do not want and some that are not there that you do want.
The best thing for you to do is "breathe". Whatever they are trying to rush you with is not a hurry up deal. Read through the last six months of this McClain forum, then read through the last six months of Grady, Stephens and Garvin so you get a feel for the whole area. Pay attention to lease clauses, horizontal drilling, what forced pooling means, links that are posted. Many folks have asked the same thing you are, so you will be really smart after you read a bit. You might want to copy the links posted to an excel file or some kind of file so you can go online and look things up. Then come back in a couple of days and we will walk you through your lease. It is quite possible you will be able to this yourself without worrying about a lawyer if your title is clear. Welcome to the forum!