YEAH IT CAUGHT MY EYE ALSO ..WHY WOULD IT NEED TO BE IN THERE AS IT IS...COMMON KNOWLEDGE...I GUESS I WANNA SAY?
Quote from: JETHRO on September 20, 2009, 01:42:35 AMYEAH IT CAUGHT MY EYE ALSO ..WHY WOULD IT NEED TO BE IN THERE AS IT IS...COMMON KNOWLEDGE...I GUESS I WANNA SAY? I READ UP ON SUBORDINATION ALSO AND I JUST DONT SEE HOW IT APPLYS ...BUT I GUESS THATS WHY I HAVE A LAWYER
I LIKE THE WATER PROTECTIONS ... AND THE FENCE BUILDING FOR CATTLE IS A LITTLE TOO UNBELIEVABLE .. AND SOMEONE EXPLAIN TO ME THE THOUSAND AN ACRE UPFRONT..IS THAT AT SIGNING ..AND THEN HOW LONG DO THEY HAVE TO PAY UP? AS YOU CAN TELL IM LAZY ..AND I DONT TRUST MY OWN READING
This is very relevant to me as I want to build on my land someday soon.
I've been up all night doing a paragraph by paragraph comparison between the 12/08 version of the Wyoming County lease and the OFFICIAL Wyoming County lease as co-authored by CHK in association with the current deal. There are many, many changes, some are insignificant (to me and probably to most of you) but there are some troubling ones as well. I am trying to figure out how to best summarize the possible troubling differences. I hope to have something summarized soon, maybe tomorrow. I think the things that have changed provide the most insight into what is important enough to CHK to make them negotiate a lease change from the original version. I would not disregard ANY of their additions or deletions. We are in the Wyoming County Group and have land in Wyoming County that we had intended to sign with them given their original 12/08 lease, but now we will have to reconsider given some of the CHK lease wording changes. The price is good, but our decision is made based on the lease itself. Another fun week ahead! Big Bucks Wife
Shouldn't the word may be changed to shall ? It does change the interpretation tremendously. What do other think?Shut-In and Minimum Royalties.(a) If there shall be a well on the leased premises capable of producing gas or gas and condensate inpaying quantities, but from which neither gas nor condensate is sold or used off the leased premises for lack of a satisfactorymarket (which well is herein sometimes called a "shut-in" gas well), Lessee may pay or tender to Lessor, as shut-in gas wellroyalty, for each shut-in well, a yearly sum equal to twenty and No/100 Dollars ($20.00), indexed to the Consumer Price Index(CPI) as published for January 01, 2010, and recalculated every five (5) years thereafter, multiplied by the number of acressubject to this Lease at the time such payment is made. The first such payment of shut-in gas well royalty is to be made on orbefore sixty (60) days after the day on which (a) such well was shut in, or (b) this Lease ceases to be in force by any otherprovision hereof, whichever is later. Succeeding payments may be made annually thereafter on or before the anniversary of thedue date of such payment; and if such shut-in gas well royalty shall be paid or tendered as above provided, it shall beconsidered for purposes of this Lease that such well is producing gas in paying quantities for a period of one (1) year from thedue date of such payment, and for like annual periods thereafter; provided, however, that the payment of shut-in gas wellroyalty shall not prevent the termination of this Lease as to portions of acreage covered hereby, in accordance with theprovisions of paragraph 8 hereof. Notwithstanding the making of such shut-in gas well royalty payments, Lessee shall be andremain under the continuing obligation to (a) use all reasonable efforts to find a market for said gas and to commence orresume marketing same when a market is available, (b) reasonably develop the lands then subject to this Lease, and (c) drill allsuch wells on the lands then subject to this Lease as may be reasonably necessary to protect same from drainage by wells onadjoining or adjacent lands. All payments or tenders provided for in this paragraph shall be made to Lessor personally or to thedepository bank provided for elsewhere in this Lease.