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Author Topic: Mineral Rites Owners Association for Northern Michigan  (Read 2210 times)

moleman

  • Posts: 1071
Mineral Rites Owners Association for Northern Michigan
« on: April 03, 2013, 12:34:36 PM »
Meeting in Hillman on April 20th from 3 to 5 PM for anyone interested in oil and gas development and want to know more about this association. There is no obligation to join.

A Membership General Meeting will follow from 7 to 9 PM for those who are and those wanting to be part of this new group . As this group is just in its early stages of development, much needs to be discussed and formulated. This will be a most important meeting .  Both meetings will be held at the Hillman Community Center.  This group has been discussed in earlier posts . All are Welcomed !

This has been in the works now for a few months and is finally coming together . MM

hobojo

  • Posts: 616
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #1 on: April 03, 2013, 04:22:34 PM »
moleman........GREAT to have you back up and running.

Blueflame

  • Posts: 11
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #2 on: April 06, 2013, 08:03:25 AM »
Sounds interesting.   I'll have to look up the address  and find a notebook or something......

leviely

  • Posts: 112
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #3 on: April 24, 2013, 03:33:05 PM »
Latest news just out.  The Hillman group has expanded to 12 counties.  Now meetings will begin in multiple locations outside of Montmorency.  I attended that last meeting and I can tell you we intend to join -- for sure.  We just have a few loose ends to tie up before turning in our paperwork.

By the way one can get in for free and leave at any time.

The most exciting thing to me is they have computer programs to value the likely minerals under ground.  The program and technology is proprietary to them -- yet they don't charge for it.  One has to be a member to get the information.

I would not have known what a good deal was or was not if I didn't have a group like this working for me.  They have PhD's on staff, Chemists, measurement experts in the field of hydrocarbon measurement.

I learned another thing!  These wells are producing valuable minerals other than hydrocarbons.  The oil company is getting those for FREE!  Why?  Nobody thinks to write them into the contract because they don't know they are there!

But this group knows how to detect them, measure them and get paid for them.  This alone is worth tens of thousands to most of us.

One has to be really uninformed to sign a lease without checking these guys out.  One one that signs the Industry Standard Lease has to be a $%^&&&&ing Idiot!

edwards

  • Posts: 274
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #4 on: April 24, 2013, 03:50:46 PM »
Check them out.

Frederick W. Miller ll  636 209 4404   fwmiller46@charter.net
Lewis Crawford   989 742 3414  aft. 6 pm.
Tom Young  989 785 3770  tcyoung41@gmail.com

moleman

  • Posts: 1071
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #5 on: April 25, 2013, 05:17:36 AM »
 I attended the meeting in Hillman and was impressed with the direction the group is headed . By using public domain records and professionals in the the field of geology and others , we are going to be another  " oil and gas company " in a sense. To make good and prudent business decisions you surround yourself with folks and ideas applicable to your business model and take a chance.
Just to clear up a few things posted on another string pertaining to this group.

 The figure that I have in my notes on the acreage to date is 20,000 Acres . Presently the idea is to assess members $1.00/Acre for major bills like lawyer fees . Another assessment for minor fees like stamps , mileage for group functions , etc. to be determined at a later meeting. All to be properly billed of course.
No lawyers have been retained as of the meeting, which was part of the discussion at the beginning. The group will do much of the foot work and decision making on how the lease documents should be drafted. Lawyers will be retained but won't be the tail wagging the dog .

A propriety data base is being developed by the group to better understand how and where oil and gas development is occuring in the state . There are data bases that you can buy...one I believe was $ 14,000 to purchase....We are going to create our own using talented people...there is a reasonable cost to develop the data base which will be absorbed by the group on a per acre basis. There are other ideas that I think are quite unique.
There is a treasure trove of information...a lot of it from this great forum for example .
The contact folks posted on this string can give anyone interested more information

I think this group is off to a great start. I'll post the date of the next meeting when it's available   MM

ranchland

  • Posts: 187
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #6 on: April 25, 2013, 06:58:04 AM »
I think groups like this are a great idea. The caveat is whether there is a "market" for the "product" they are going to produce. I think long term there will be. In the short term, not so much. With countless acres already under lease, many at bargain sale prices, I don't envision many private land leases taking place except for a few puzzle pieces to complete units. Most of the land leased already is going to expire undrilled and I highly doubt many of them will be renewed if they leased at any kind of premium. As stated at the beginning of 2013, this will be the year that paints the rest of the picture for near term oil/gas in MI. My take thus far (after the first quarter) is that it's a bust. I would like to proven wrong however and I still hang out on this site with the other optimists.
On your mark, get set, get set, get set, get set....

hobojo

  • Posts: 616
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #7 on: April 25, 2013, 08:06:57 AM »
ranchland.......Well stated, and agree. Good luck to all., but must add a caution. I can see that there may be room for a Trojan Horse in this Association, just saying.

moleman

  • Posts: 1071
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #8 on: April 25, 2013, 09:10:41 AM »
Screening measures and security of proprietary property is being implemented and will be updated when necessary..... point well taken

leviely

  • Posts: 112
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #9 on: April 25, 2013, 09:25:01 AM »
Good points about the Hillman Group! I am impressed with their progressive thinking. 

One point I heard about the cheap offers currently being made to mineral rights owners is that some of this is due to people wanting money right away regardless of whether it is fair.  Another portion is due to lack of education about what the mineral rights are really worth.

Drilling continues in Michigan.  It won't stop until all land with hydrocarbons of practical value are under contract.  Whether it is next year or in 10 years an astute mineral rights owner should maximize their return.   The sheer education value in these programs can not be understated.  When others place true value as to what is a fair and reasonable contract price some of this 'Rush to Sell' at any price will/should moderate!

As they said at the meeting right now it is a problem of Supply and Demand.  All property in Northern Michigan has excellent oil and gas potential!  When all properties in these massive shale layers are nearly identical by large portions of any county the cheap contracts will be bought up first by the oil companies.

Fools are separated quickly from their money - minerals!   [include in that group The State of Michigan]

Regarding the Trojan Horse comment -- I think the group would gladly welcome spys from other landowner groups!  Spys from the industry would most likely find a cold shoulder reception. 

As this group's objective is to Keep The Money in Michigan, outsiders are encouraged to come listen and discuss topics.  By the way -- myself -- I did not know the there is a bunch of valuable minerals removed from each well that are not hydrocarbons, are not on the lease, and to which the landowner is never paid for!

This group has a way of detecting and measuring those and intends to change that.  Plus they intend to monitor compliance and audit oil producers after production with penalties in place for non-compliance.  I have never heard of that before!  The State of Michigan can not do that today!

isurus

  • Posts: 203
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #10 on: April 25, 2013, 11:21:16 AM »
As this group's objective is to Keep The Money in Michigan, outsiders are encouraged to come listen and discuss topics.  By the way -- myself -- I did not know the there is a bunch of valuable minerals removed from each well that are not hydrocarbons, are not on the lease, and to which the landowner is never paid for!

This group has a way of detecting and measuring those and intends to change that.  Plus they intend to monitor compliance and audit oil producers after production with penalties in place for non-compliance.  I have never heard of that before!  The State of Michigan can not do that today!

Really?  What are these "valuable" minerals?  You're not thinking of things like sulfur, which has to be removed from sour crude, or nuisance elements like uranium or vanadium, are you? 

leviely

  • Posts: 112
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #11 on: April 25, 2013, 04:05:26 PM »
A PhD on staff as a volunteer from the U of M and from one of Michigan's biggest companies is on board.  He donates his time and his studies.  And there really are plenty of non-hydrocarbon minerals/chemicals that come out of these wells.  [Not thinking Uranium or vanadium.]  Please remember that I am not an expert just a member preparing an application.  I do not know all of the chemicals [minerals] that the study found.  I doubt if the main group wants to share everything with the world as this is just one of many reasons to join and not even the most important.  But one big example that many already know about is Nitrogen.  I looked it up after the meeting and big fertilizer plants are being built near the wells in the Dakotas to make fertilizer.   The oil companies sell these minerals but typically do not include them in lease contracts. 
This scientist has presented his studies to the State of Michigan but it fell on deaf ears as they didn’t want to hear about it.  I do!  He has made a study of the Dakota’s and has verified that this is the case in that state as well. 
This group has a proven method of testing that which is extracted from each and every well plus they can measure it.  Mighty handy when one realizes so few oil companies have ever passed a Michigan State audit and have under reported amounts.
To be clear about what my notes say about assessments -- At the moment there are none.  To moleman's comments I think he is very close on the topic but not quite.  The $ amount for the first assessment was so small it was not levied at this time.  My notes indicated that by their estimate it will be something less than 20 cents per acre will more than cover the year.
It may actually be less as the running costs are split by acreage and I hear that the acreage is swelling as of this week according to one member.  My guess is that it won’t be close to $1.  If it was $1 I would still find it worth the cost.   I think Moleman’s report of about 20,000 acres currently in the fold is quite close according to my sources.  But people like me are still scrambling to get all the relatives on board and turn in final paperwork.  It seems that every time they have a meeting two to four weeks later membership grows. 
I too thought this was too good to be true but when you meet the main figures one realizes that they have been benefactors of our region for generations.  I just want to get on board and help where I can in my small way.  Posting here is one of those ways. 
So attend a meeting and see for yourself! 

leviely

  • Posts: 112
Re: Mineral Rites Owners Association for Northern Michigan
« Reply #12 on: May 16, 2013, 03:32:45 PM »

Mineral Rights Meeting Scheduled This Weekend For Landowners   handclap

WILSON TWP HALL    FRIDAY MAY 17 at 7 PM

3746 KING SETTLEMENT RD., ALPENA, MI

 

POSEN SENIOR CENTER       SATURDAY MAY 18 at 1 PM

6520 DARGA Hwy., POSEN, MI

 

LONG RAPIDS TWP HALL         SATURDAY MAY 18 at 7 PM

5310 M-65 N., LACHINE, MI

 

SANBORN TWP HALL                    SUNDAY MAY 19 at 2 PM

12205 US Hwy. 23 S., OSSINEKE, MI


 


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