A couple of months ago we signed a lease with Blanca Peak Energy. The lease was to be for 3 years with a 3 year option. We have had several leases in the past which were done properly and so we had come to trust what we were told. With that said, the lease contained not one, but all four of our properties. Still not being suspicious because we are new to this, we didn't notice he had (Andy Marlette, Blanca Peak) changed the draft to 120 days instead of 90 as agreed on.
Now, that got my attention, after the fact and too late to change it. In the meantime I told my youngest brother, who is executor, that I didn't trust Andy. He told me he trusted him a lot, and he (Andy) was helping us by researching some leases from our past.
Since then my brother gave him another piece of property to lease. He agreed to 60 day draft, 3 + 3. I told my brother at the time I was not dealing with Blanca Peak again. That was 30 days ago yesterday, and no lease yet. I asked my brother about it and he called Andy, who said (again, again, again) that they are covered up and he'll get it out as soon as possible. Well, with a 60 day draft, 30 days since he said he would fill out the lease and however many days we will wait from today before we get the lease, effectively we could have our minerals tied up for 120 days with no money on the table. All this is just one story. I'm sure others have had worse things happen. I can only pray that at the end of the 120 day draft we are paid. From what I've been told often times landmen simply back down after 120 days and our minerals will have been tied up, cost free to Blanca for 6 months. We're learning. Hope the education doesn't take ALL my retirement from me.
I'd welcome anyone else's comments, lease horror stories, etc. These discussions are wonderful for letting beginners know what not to do. I believe I will have a manager from here on out.