We received a Certified letter from Chisholm today regarding a Well Proposal in Kingfisher County.
They say they intend to drill, list the cost and state their records indicate we may claim to own an interest and that will be determined by title examination.
They offer 4 options:
1 Participate with your interest in the drilling of proposed test well. 2, 3, & 4 options say we will leave or assign our interest to Chisholm and each offers a cash amount reserving a 1/8, 3/16th or 1/5 royalty and a % net revenue interest.
They go on to say they will file a pooling application listing as respondents all who have not reached an agreement with them.
They say if we choose to lease/assign our interest they will send more paperwork and dismiss us as a respondent to pooling.
Then they say if we elect to participate our interest is subject to pooling order for us to be considered and to respond in a timely manner and prepay our proportionate share of the completed well costs. Does that mean they want us to pay our share of 4.5 million?!