On May 9, I received an offer to lease from Fillmore Energy Resources in Section 14, T7N, R3W. I have questions regarding this whole process… I returned their Offer to Lease and a signed lease on June 25. Fillmore said the lease was good except for two clauses so I removed those two clauses and resubmitted the lease. Then Fillmore said the lease was good except the margins on the lease were not in compliance with what the McClain County Court House would accept; so I redid the margins and submitted the lease again; (as a side comment, I called the Purcell County Court House to confirm margin requirements and the margins the Court House gave me were not the same as Fillmore had stated.) After submitting the lease again, Fillmore said I needed a more complete legal. I had wondered about that early on in the leasing, but they kept telling me the lease was acceptable except for the things I mentioned above; so I submitted the lease again with a more complete legal. Then the Fillmore office help supposedly became confused about which lease was the current lease and denied it again! The landman told me that all the confusion was because I didn’t use Fillmore’s standard lease. Fillmore received the final lease on July 30. On August 15 their office help finally figured out the lease they received on July 30 was the one they should be looking at, and I received an email from the landman saying “everything should be good to go now.”
I have heard nothing since…How do I know if they are actually doing anything with the lease? Do I receive anything from them? The landman told me they usually send the signing bonus check out 40 days from the date of the receipt of the lease. They received the lease on July 30 - but it took another 15 days for them to get their act together… .From the date they received the lease, would make 40 days out fall on September 8.
I have wondered if they were just using all the ‘problems’ pertaining to the lease as stall tactics. To what advantage, I don’t know. Can they legally do that?
So do I sit patiently and wait? What happens now? I don’t know if there is a lease pending or not. It all seems to be weighed in the oil company’s favor. Are my mineral acres legally tied up or could I lease to another company?
I was recently advised to never provide a lease until I had a check in hand. How does one go about doing that when one lives in another state? I doubt they would send me a check until they have a lease in hand… Kind of a “Mexican Standoff” (if you will excuse the expression) Thank you…