Can anyone help explain this to me?

I received this today, from Gleason Oil & Gas. However, . I signed a lease 10/3/17 with Continental Resources, for this section. What does this mean 1-20171114_143157.jpg (390 KB)

From the Hx you presented ’ and from the wording in that letter - I’d concluded That Gleason doesn’t know about Lease with Continental. Maybe it would be best to find out if Continental has filed or will be filing your signed lease. Others here may have a better understanding and know more

Gleason just doesn't know that you've already leased-a lot of times companies don't get their OGL filed for a few weeks or even months. I don't like Gleason's threatening language-they are trying to scare you with the term force pooled-for people not familiar it sounds intimidating-like they're forcing you into something you don't want to do. Oklahoma force pooling really is a good thing-you get to make a choice about how your interest is treated-they basically give you the highest lease bonus-royalty % in that section. You don't need to concern yourself with it though as you have already leased to Continental. Good luck-hope you get a good well drilled.

Michelle,

Beware of these letters. Note that they want to buy your interest. Because of your lease to CRI your interest is a right to receive royalty. If you sold that interest your royalty interest would be reduced to 20% of what it is now and based on acreage adjustments that are major. I've had experience with this practice in Texas where the offerers have been taken to court.

It could be that this is an innocent, computer generated letter; most are, but why take the chance. You have leased to the most knowledgeable operator in the area.

Gary L Hutchinson

Thank you! I have heard good things about CRI, and you just helped confirm that. I’m fairly new to all this, and just trying learn as much as I can!

Thank you!

It would guess that Gleason didn't realize that you already leased to Continental. Likely because the lease wasn't recorded prior to them sending the offer letter.