I had two offers for McClain County Section 20-06N-03W. I sent signed lease back to one party and they gave me some story about about the IRS being after them so they could not act on it. I sent signed lease back to the other party and they eventually sent back a termination letter saying there were economical risks and issues with the validity of the lease. Why would they make offers and then not follow through?
Depending upon who offered to lease, they may not have had the financial backing to pay you. There may be a problem with the title and they did not want to risk it. For the future, never send away a lease without getting a check in the handover. Lots of independent folks lease and then flip to someone else for a higher price, then pay you with that money if you delay. Safer to get yours upfront. There are still producing wells in that section, so possible that you are not free to lease. Which quarter section are you in?
Just curious- was either company Charter Oak by chance?
Sounds like both parties were unsuccessful in “flipping” your lease
No Debbie_Brake_Downey neither was Charter Oak.
NE/4 SE/4, E/2 SE/4 & S/2 S/2 NE4 Thank you so much for the helpful response M_Barnes!
There is an active well in the SE4, but looks like it is in the west half. Older spacing was at 80 acres, but not sure if it was stand up or letdown. If it is laydown, it might affect you. Are you getting any royalties?
I don’t believe I am receiving anything at this time.