Conoco pocketed 286 million dollars and decided to keep a secret. (Allegedly) I remember rule number one when negotiating with oil company's--THEY CANNOT BE TRUSTED (Allegedly)
Colorado Land Management handpicked five oil company's to bid on the 21,000 acre Lowry oil & gas lease. Who knows where this lawsuit is headed. My opinion is this may be an advantage in developing those leases already acquired by Conoco. It makes good business sense to develop the leases where your most heavily invested. Clock is ticking towards the option clause. Why would you drill on a lease which was acquired for $25.00 per acre before a lease of $6,500.00?, except for royalty payment differance of 12.5% versus 20%. Many early leases in Arapahoe & Elbert were signed for $25.00, 12.5% royalty, 5 years. Maybe Jason can jump in with his insight.