Mr. Smith, I would assume that is their attempt to get you to agree to the pooling clause as written by them. If you do, then the royalty percentage would stay the same. But the size of the area covered could be vastly enlarged. Most pooling agreements start out this way. The Company that holds the lease wants to drill a horizontal well. It is not legal to drill through someones mineral rights without their permission. Therefore, they cannot drill a horizontal well out side the boundary of the mineral rights they have leased. Once you are in a pooling agreement, You share with others in the pool the proceeds according to your share of the pool. This is the way it works. Probably your acreage will be divided into different Pools. Divide your acreage in the pool by the total acreage of the pool. That will give you the percentage of the total that your lease is worth. Since your interests are already leased for some percentage of proceeds you then multiply that percentage by your interest as defined in the original lease. So; if you own the total mineral rights to what is covered in the original lease and your percentage is 12.5% and you had 100 acres in the pool and the pool was 320 acres it would go like this: 100/320 = 0.3125*.125=.039063 Therefor for every $1 paid for the oil/gas/other products you would receive $0.039063. However, if their are others who own a share of said mineral rights, you have to reduce the amount you would receive by multiplying by the percentage of mineral ownership you own. And there are other things that can effect what you actually get. Fortunately this website can calculate all this for you. Go to the NATURAL GAS ROYALTY CALCULATOR and/or the OIL ROYALTY CALCULATOR AND ENTER THE ABOVE AMOUNTS AND IT WILL CALCULATE YOUR INTEREST. Something of interest that I have not seen addressed here is the fact that the larger the pool the better for the operator, but not necessarily for you. If the size of the pool is doubled, the amount of production must also double for you to break even. Ask your Lawyer why you should not just sign and return. Ask what other options you might have.
A.W. Robinson would probably be a first or second cousin of my Grandfather. I can’t remember which. However, I would have none of the mineral rights to that property. A.W’s Grandkids and Great Grandkids would be the logical owners of those mineral rights. If your property borders H. G. Robinson that was my Grandfather and we would probably be in the same pool.