Martha my lease is with Longfellow Energy. Do you think they will use their option for the 2 year lease extension at 400.00 per acre??
Quentin, It might not be necessary but could be a good idea to hold minerals in a Limited Liability Company (LLC) even if you don’t intend to participate. I’m overly safe when dealing with independently owned companies.
I think I just answered my own question. I see now that “participating” is an alternative to leasing the rights so the insurance would not apply to leasing. Again, all still new to me!
A leasing offer I just received from WhiteStar states that participants should return a certificate of their well control insurance and that WhiteStar “will not be carrying any insurance on behalf of of other participants.” This is my first leasing offer so I’m wondering if this is standard operating procedure. I have no clue what well control insurance is.
I feel better now! Still haven’t got Division order on first two that started producing on 2/13. Also waiting to see when the second two (Caroline 9 18N 2E 1 and 2wh) get their Drilling Permits.Thanks for the info Martha.
Saudis are working on Aramco IPO but low oil prices will hurt the IPO. No one wants to buy stock in a company that can’t profit in a low price environment. Hopefully Saudis will cut production to raise the price.
Yep. I can wait for the long run rather than instant gratification. This, and other offers, will go into my special repository named “Recycle Paper Only” 
Martha, will the AEP shut down have any affect on those of us that have current, and soon to be drilled wells in Payne? Did our lease automatically roll into White Star when they took over AE Woodford? Thanks for any advice, information. Jimmy
Jimmy, White Star now independently owns AEP’s lease holds and I will be very surprised if they don’t drill your wells.
Jimmy, You should get DO’s and royalty payments for the first 2 in the next 3 or 4 months. Let us know when you get your DO. Don’t sign anything until you completely understand it.
What is the going rate for leasing in Payne County Ok in 26 18n 3e?
Jimmy,
The National Assoc of Royalty Owners (NARO) recommends using this (NADOA) Division Order http://www.nadoa.org/forms/div_ord.pdf and include this statement:
THIS INSTRUMENT DOES NOT MODIFY OR AMEND THE TERMS OF ANY OIL AND GAS LEASE. ALL ROYALTIES DUE AND PAYABLE UNDER ANY OIL AND GAS LEASE SHALL BE CALCULATED AND PAID AS PROVIDED IN THE LEASE. THIS DIVISION ORDER IS EXECUTED WITHOUT CONSIDERATION AND MAY BE REVOKED AT ANY TIME.
Thanks Martha. Have a wonderful weekend. After yesterday’s 2 plus inches of rain, I hope we have a “dry” one.
Martha, just got an offer in mail from Corwen Energy to buy my rights for $1,800 an acre. Apparently they send these out without checking status of activity. If they had, they would have seen I have interest in two producing wells and two about to drill. Why would anyone accept such a money-losing deal? I will make more in the first year of royalties on just the two that are currently producing than the total of the $1,800 X acreage owned. Just curious Jimmy
Thanks again Martha. I already have a copy of NARO’s NADOA Division Order printed and in well files and have studied it pretty intensely. Jimmy
Good morning Martha. Just got the “official” word from AE Woodford Owner Relations that all assets will automatically roll into White Star.
Jimmy, Good luck with your next 2 wells.
Steve: the notice that came with my April 30 check said We are now White Star Petroleum, and I took that to mean only the name had changed. Hope I was correct.
Thanks Martha. I’ve done research on the DO’s. I already have the decimal point calculated for my percentage. I’ll ask for your advice if anything looks odd. Jimmy
Jimmy, It takes years to recover all the oil and gas and those who don’t want to wait will except a few more pennies now for a whole lot of dollars later.