North Dakota Lease Form

General Mineral Rights Discussion
1

Every since I have been a member of this forum, I have heard horror stories about how Lessors were treated concerning the non-payment of bonus dollars.

I have listened and perhaps have a solution that is workable. To see the full effect, I am attaching an edited version of my form. You really need to add an Exhibit A and the language in highlighted in teal, if your lease form reads like a normal form.

If you have any comments, please let me know. I am certainly willing to listen to constructive criticism.

2

Mr. Cotten:

Thanks for taking the time and effort to create this document. This highlighted procedure should solve the problem regarding reciept of bonus dollars. Hopefully, this problem will be resolved in the future as multiple lease renewals and top leasing will probably occur in this North Dakota area.

3

Thanks, Charles. After I had the idea, it took less than 30 minutes.

4

That’s neat how you attached that form. Guess I could do that with RRC O&G maps for Texas as well?

5

Hi Buddy,

Yes the Exhibit A is great.

I think I recall a couple months back, that you'd posted something about a scale for down-payment according to number of days that a company takes to make payment. Something like this:

30 days or less=no down payment

31-45 days= XX% downpayment

46-60 days= XX% downpayment

61-90 days= XX% downpayment

91-120 days= XX% downpayment

and anything beyond XXX days, is XX more per day.

Question here is, do you still have that format, and what was the terms and has that been applied and accepted by a company that doesn't want to pay within 30 days?

6

Timothy:

Not trying to interfere with your posts but here is Mr. Cotten's email: http://www.cottenoilproperties.com

Timothy W Houston said:

Buddy, I am a mineral owner with several active leases in the Eagle Ford Shale. My percentage is small but there are worth having. In the past year I have received 4 lease offers. I have an Inventory, Appraisement and List and List of Claims from a deceased relative that has the location, etc of these leases. There are many other properties listed as non-leased, non-producing. All the locations are in the Eagle Ford Shale area. I don't know what to do with this list as to checking on possible leases. The document is from 1994. I need some professional help and advise. Please send me your email address...........thank you......Timothy Housotn