Oil Lease offer from Pointer Oil

Oklahoma Mineral Rights Carter County, OK
#1

We have received a lease offer for $500 per acre bonus and 3/16 royalties for our holdings in sections 5 & 6-4S-1E from a Ryan Newport I think he said he is a Land man with Pointer Oil. I looked at the Carter County clerks records (Just the free part) and it looks like Continental is doing the leasing down in that area. I was just curious if anyone else has had any offers recently. $500 per acre and 3/16 royalties is what we got during the last and only lease we have ever had on the holdings in that area, in 2014. I know for a while things were pretty thin on the leasing front down there, and I have read a few of the topics in the form where people are getting about the same offers. I was just curious if anyone had gotten anything better. We will ask for depth released clauses and release from any cleanup associated with environmental damage. Any other suggestions?

Thanks

Chuck E.

#2

Continental is generally looking to drill horizontal wells. I always ask about 1/5th and 1/4 just to see what they say. I do not see any recent leases in those sections (using two different sources). I see some in 4S-1W. If you have not leased recently, I suggest that you find a good oil and gas attorney to look at the draft lease. Most of the recent leases I have seen have needed about ten changes to the main body of the lease and ten to the Exhibit A. Draft leases are almost always in the favor of the operator and not the minerals owner. You do not want post production charges of any kind. (one of the 20 items to check).