This is our archive page for articles that were originally posted on the home page
Friday, September 26
The Mystery of the Disappearing Signs
Many of our members have reported that BC-MRC signs are disappearing from the local landscape at an alarming pace.
We don't believe it is the work of thieves, pranksters, rival gas companies, political candidates or even a local chapter of SOS (Save Our Signs), and we are sure the mystery will be solved shortly.
We have ordered a brand new batch of signs to replace the missing ones in the meantime.
LOOK FOR THE NEW SIGNS SOON!!
Thursday, September 25
We are told that it will be very helpful if you bring your deed to the signing session. In certain cases of older deeds, these are not online and have to be obtained at the courthouse,
so bringing your deed to the signing session will save a lot of time. Now is the time to start collecting that information, because once we have a deal, things will move very quickly.
Tuesday, September 23
Try the coolest lot size calculator we've found so far. Just enter your address, then zoom in on your property in the aerial photograph, click on the 4 corners of your property,
including 1/2 of any adjacent streets or easements you may be entitled to, and look at the bottom for a rough approximation of your acreage.
Thanks to our Area 2 Coordinator Bernie Metz for finding this for us.
Monday, September 22
Question of the day: With all this talk of financial crisis, why don't I just throw in the towel and accept the lease I got recently from XYZ company?
Answer of the day: How much money will you lose if all your neighbors in the coalition negotiate a different lease with ABC company, and XYZ company decides not to drill in this area at all?
Friday, September 19
The leadership team including 7 area coordinators met last night to review the status of discussions with potential energy partners.
Serious negotiations are underway in an effort to reach agreement on lease terms and other matters, and we expect to be able to provide further, more specific details in the very near future.
BC-MRC now controls approximately 80% of the acreage within its original boundaries, and has become one of the largest coalitions in the area in the shortest timeframe to date.
We thank you for your support and ask for your continued patience just a little while longer....
Thursday, September 18
This weekend, why not dig out your mortgage papers and find your survey or plat showing the size of your lot.
Or at the very least, step off the width and length to get a general idea of how many square feet you own.
Use one of the lot size calculators to determine what fraction of an acre you own.
Then talk to your nextdoor neighbors and encourage them to join BC-MRC.
If they aren't members, we won't have any way to notify them when we do finally have a deal.
September 9th
Patience Pays Off for Big Coalition
Southwest Ft. Worth Alliance (SWFA) recently announced that they had accepted an offer from The Caffey Group and Vantage Energy relating to a mineral lease for oil and gas produced from lands owned by their 22,000 owners, which includes over 6,600 acres. Some neighborhoods within the Alliance had been seeking lease offers for more than a year, so the Caffey-Vantage terms of a $27,500/acre bonus and a 23% royalty were a significant improvement over prior offers. Details are at www.sfwalliance.org.
August 21st - The headlines scream as bonuses hit…$22k…$23k…$24k. What they don’t explain is why that is the case. Sure, part of it can be due to increased competition, but there are many other factors that can come into play: an existing drillsite and acreage coverage, access to existing infrastructure, speed of the permitting processes, lack of environmental hazards, etc. It is particularly important for the coalition to select a partner who can turn an undeveloped lease into a productive drilling unit, because that increases the likelihood that royalties will be paid on production. Royalties can be a key component of Barnett Shale production, because dry hole risk is nominal, while technological improvements and cost reductions are likely to increase the life of the field.
We have noticed a dramatic pickup in landmen and leasing activity within portions of the BC-MRC since announcing its formation. This is not unusual, and actually underscores the benefit that having a coalition provides. We have asked companies to be respectful of our process and to honor the representation that the LOIs provide to us. Until our organizational efforts are complete some companies may feel this gives them a "last shot" at picking off individual homeowners or smaller groups on terms that will be most advantageous to them, or a chance at locking up acreage that may serve to eliminate competition. Be particularly wary of lease agreements that contain terms with setback and/or other provisions in conflict with city ordinances. Companies often attempt to include such provisions to get homeowners to waive their rights provided by those ordinances designed for homeowners' protection around expected drillsites. At a minimum, these rights may contain value above and beyond a standard bonus amount and will be included in whatever deal is discussed between us and potential partners. Know what they want you to sign, and if you don't, join the BC-MRC to let us help and protect you.
If you are approached by a landman, please politely inform him or her that you are or wish to be represented by the BC-MRC. Any reputable leasing companies and their agents will honor that desire. If you experience tactics you don't feel are appropriate, please let us know; we believe that the vast majority of landmen are honest, hard-working people trying to do the best job they can.
Abuses to a process designed to conduct business in a respectful way will not be tolerated by us. As a coalition, we don't have the goal of drawing out negotiations or making unrealistic demands. We want a good deal, we want a fair deal, we want a deal that protects our environment and the way of life within our area, and we would prefer for it to be done tomorrow. Unfortunately, deals like this take time; we will do what we can to accelerate the process, but not at the expense of our community, our future or the futures of our children.
Please use this opportunity to join the BC-MRC---now, more than ever, PROTECTING YOUR MINERAL RIGHTS!
July 30th - A slant on some interesting thoughts.
A slant because sometimes, especially in the organizing phase, there aren’t many startling new developments to be posted. How many times and twists can be put on, “We’re knocking on doors and signing up members”?
On the other hand, during the early going there are things people may enjoy hearing about. And usually they are the ones that are good to know as members get further into an oil and gas world full of jargon and new concepts. We’re going to present a different one every week or so. Apologies if you already know the following.
The Texas Railroad Commission is a good starting point. How did a Railroad Commission get to be the czar of the state’s mineral estate, anyway?
They were somehow, at the right place at the right time. Most railroad track had been laid when, in the early/mid-twentieth century Texas’ great good fortune hit. But, civically speaking, Texans didn’t handle the windfall very well. Most of you have seen pictures of oil towns, Kilgore most famous, with derricks clogging Main Street superimposed one on the other in a mad rush to get to the black gold before the next operator.
The state politicians at that time looked around and said, “Enough.” They also noticed that the Railroad Commission had pretty well wrapped up their appointed work. The result was a marriage made in heaven (at least according to Austin). In time the Railroad Commission developed a body of complex regulations with the force of law and with two main purposes. (1) Produce from the oil field in the most efficient manner and (2) Don’t let it make too big of a mess on the surface. An important concept to grasp here is that one comes before two--use of the mineral estate is superior to the surface estate. This surprises most people. Unless you’re an oil company it seems it should be the opposite. And of course everyone hears of spacing and set-back rules which imply the extraction of minerals is a granted privilege. Not so. It is a reasonably regulated right. Ever wonder why a no drilling ordinance has ever been enacted? Same reason a no adult book store one ever has. The right to conduct the activity exists, but it can be reasonably controlled, i.e. distances from homes, schools, churches, etc.
Enough on the Railroad Commission. Suffice it to say it pretty well controls mineral extraction in Texas, but not the related terms our coalition negotiates. The R.R. commission doesn’t worry about streets, noise, price, or payment terms. Those of us involved do that ourselves, or the oil companies dictate.
July 24th - Mark Nastri has been retained as attorney for the coalition. Mark is a shareholder partner in the Dallas law offices of Munsch Hardt Kopf & Harr, P.C.. He has spent over 27 years in and around the oil and gas business, including 7 years as a petroleum landman with a large Dallas-based independent oil and gas company, then 18 years as an attorney handling oil and gas transactions and litigation. He practices in state and federal courts throughout Texas in general commercial litigation, oil and gas, contract and warranty litigation, real estate and construction disputes and products liability. His experience as both an attorney and a former petroleum landman gives Mark a unique base of insight into all aspects of oil and gas law.
Mark has negotiated 1000’s of oil and gas leases in the Barnett Shale gas play. He has represented hundreds of individual property owners and subdivisions in various cities throughout Tarrant County, and dozens of commercial property owners, apartment complexes, shopping centers, and industrial properties.
“My landowner clients view my insight into the oil company side of the equation as invaluable in lease negotiations. Likewise, the oil and gas companies appreciate the value of my knowledge of the whole equation. They know that I will not put forth something that is unachievable.”
Mark earned a BA in Petroleum Land Management at The University of Texas at Austin, then a law degree at the SMU Dedman School of Law. He’s a active member of the Energy Law section of the Dallas Bar Association, and the Oil, Gas and Mineral Law sections of the State Bar of Texas.
July 22nd - Congratulations to our neighbors in the 360NW coalition! You can read the details of their agreement here
July 20th - A nice article in the Northeast section of the Star-Telegram this morning. We made the front page, above the fold! The most interesting parts of the article? XTO declined to comment on their own lease offers, "because the company is still working on leases". Sounds to me like they know they've got the wrong lease offer going door to door. We meet with them this week. Also, Dale Resources community affairs director, David Buchanan says that the company has a site in Bedford, but drilling is a low priority for the company. I didn't know that Dale Resources has become a production company! Sounds like Dale is bluffing this hand, making you think they aren't interested. Chesapeake, the production company, might have a different thought.
July 18th - Several groups around our coaltion, that have been negotiating for several months are nearing completion. This is good news for us as each agreement raises the bar for us. Please be patient as we work to ensure better settlements and better terms for our leases. Check some of their sites on our new "Nearby Coalitions" page.
July 16th -
This is a very telling newsletter from another great coalition, it tells you the length that some of these companies will go to to get your signature!
