Leasing

My family has been contacted for setting up a lease in Township 7 North, Range 58 West 6th P.M.. First of all, the company Vecta has offered us $60 an acre. Does anyone have the going rate for this area as this is what Vecta told us it was as of last Thursday.

Secondly, Vectra doesn't seem to want to listen to us and get the lease correct. This has been going on since last summer and we have made mulitple contacts to them and they resent a lease to sign with incorrect information again. When we have a grandfather (Will) owning rights for certain sections that upon his death, the rights were forwarded to his three children. My father's share will be split between 4 kids. My two aunts have the other 2/3. Now, My dad (Dale) also had rights also in the same area. His rights are to be divided between 4 kids. Vecta insists on putting ALL the sections together and giving all the lease rights to Dale's kids. Vecta doesn't want to listen. I feel the rights of Will should be on one lease segregated from Dale's which should be on another lease. Am I correct?

Also Vecta registered the first lease signed by my brother even though we discovered that it was incorrect after it was mailed but before Vecta even received it. My brother told them to void this lease as the information was incorrect. They did it anyway. Because of the incorrect information, is it still valid? Is this lease binding us to this company?

My brother resides in Canada and is too busy working to really deal with it so it has been placed in my "idle" hands to deal with. Any words of wisdom would be very helpful.

Karen

Opps, forgot to mention this is in Colorado in Weld County. Sorry for the important missing info. Karen

Karen,

Your land is in a good area geologically. It would probably be a good idea to have a title company tell you what your really have to deal with. Get all the owners together then and set some acceptable guides to present to leasing agents when they come around and I think they will. In the meantime, officially void the lease with Vecta. They may be tying up land on a speculative basis and that will not be good for you in the long term.

If you get a minimum of 100 net mineral acres together, let me know and I will get you a fair deal based on the potential of the land.

Gary L. Hutchinson

gary.hutchinson@comcast.net

How do you officially void the lease?

All the family members are standing a unified front (at this time) and we have over 1200 acres. Most of the acres are in Weld County but we do have an adjoining 80 acres in Morgan County

Karen