Good morning! My husband and I have been offered a $1700 per acre lease bonus and 18.75% royalty on our 1 and 1/3 acres in Cleburne. The term of the lease is three years. Just wondering if this is a fair offer. Thank you for your help.
Hello Michelle. Here is some info on the last 3 leases I was involve with. All were city lots, .25 +/- acres. Dec. '09, Burleson behind WalMart, 2500.00 3/2 year, depth clause, idemnification of lessor, gross royalties.
Feb. '10, Cleburne-Granbury St. & Woodard Ave. area. Same as above.
July '10, Joshua behind Wacovia Bank, 2500.00 3/2 year, gross royalties, no additional clauses.
These were all with Chesapeake.
Joel
Joel King said:
Hello Michelle. Here is some info on the last 3 leases I was involve with. All were city lots, .25 +/- acres.
Dec. '09, Burleson behind WalMart, 2500.00 3/2 year, depth clause, idemnification of lessor, gross royalties.
Feb. '10, Cleburne-Granbury St. & Woodard Ave. area. Same as above.
July '10, Joshua behind Wacovia Bank, 2500.00 3/2 year, gross royalties, no additional clauses.
These were all with Chesapeake.
Joel
Joel, thank you so much for the information. Do you know what the terms of the royalty payments on these leases might be? We have been offered 18.75%. Our previous lease was for 1/5 of production. This is also an offer by Chesapeake. Thanks again for your help, Michelle
Oops, I left that out. They were all 25% cost free.
Michelle Hathaway said:
Joel, thank you so much for the information. Do you know what the terms of the royalty payments on these leases might be? We have been offered 18.75%. Our previous lease was for 1/5 of production. This is also an offer by Chesapeake. Thanks again for your help, Michelle
Thank you for the reply, Joel. I really appreciate the information.