Royalty Litigation: Here We Go Again

Royalty Litigation: Here We Go Again

Berlin believes it is about time to start chipping away at the giant iceberg of issues surrounding post-production deducts and the litigation that usually follows. This will be one of multiple posts that address the lessor / lessee relationship, the implied duty of the lessee to market the lessor’s share of production, and the responsibilities of each party to pay for their shares of post-production expenses. As you are well aware, Berlin is merely a mineral schlepping landman and her opinion should not replace the counsel of a well schooled (and likely well paid) oil and gas attorney…

Riviera Resources dice adios to the Arkoma

Riviera Resources dice adios to the Arkoma

On 11 December 2018, Riviera Resources, Inc. (“Riviera”) announced that it signed a definitive agreement to sell its interests in properties located in the Arkoma Basin in Oklahoma to an undisclosed buyer for a contract price of $68 million…

Occupational Licensing and the Landman. Are there rules?

Occupational Licensing and the Landman. Are there rules?

Occupational licensing in the United States is on the rise. It has been estimated that up to 25% of jobs now require a license. There are a number of reasons why occupational licensing is detrimental to economic growth. Licensing requirements protect incumbents by preventing new entrants in the industry through the cost to acquire and maintain a license and discourages movement from areas of lower opportunity to high opportunity as requirements are often state-specific and do not transfer easily to new jurisdictions. Now landmen may be required to become licensed…

The Money Spring

The Money Spring

Mike Shellman at Oily Stuff, pens the best blog on the oil business. He often writes regarding the unsustainability of the shale drilling business model.  In his most recent post, he commented on a recent report that Haynes & Boone released on what sources companies are using to raise capital to fund their 2018 exploration and production efforts….

A Well Proposal In Oklahoma - A Boon to the Mailman

A Well Proposal In Oklahoma - A Boon to the Mailman

Berlin's friend Bruce called her up on Friday, and after he finished ranting about planting his tomatoes before the last frost date, he got down to asking about well proposals and why he is receiving them in the mail for his Pittsburg County, Oklahoma mineral rights…

Assorted Links (and a chance to win an Amazon gift card)

Assorted Links (and a chance to win an Amazon gift card)

The Perfect Oilfield (unfortunately, not the STACK/SCOOP/MERGE..): 

Once one starts tacking on zeros to the production numbers, Berlin's former tong working brain starts to spin a bit (like chains...). It sounds very impressive and I'm sure the Bedouins of that desert preferred the sovereign didn't own the mineral rights....

Tom Ward is back and that is good news for Oklahoma mineral owners

Tom Ward is back and that is good news for Oklahoma mineral owners

NewsOK business writer Jack "in the" Money, reported a new partnership, BCE-Mach, LLC ("Mach"), that was formed earlier this year between Mach Resources, LLC, and Bayou City Energy. Bayou City Energy will be providing capital to the acquisition and development efforts of Mach Resources, LLC, that is led by Tom Ward.

This announcement should make Oklahoma oil and gas mineral owners smile (and start dreaming about purchasing a new combine...)

Splitting the Baby and the Pooling Bonus

The Oklahoma Corporation Commission has been regulating on the fly as to rule changes on multi-unit horizontal wells. One of the recent changes is that applicants now must offer a formation election if the applicant desires to force pool more than one common source of supply. Berlin thinks that this effects the unleased Oklahoma mineral owner more than the commissioners had originally intended... 

Extending an Oil and Gas Lease

It can happen to the best of us, it was three years ago and nobody was drilling deep gas in Custer. You signed an oil and gas lease with an option to extend the primary term. Now, things are different, the "macro-headwinds" have shifted. There are folks with deep pockets paying 3x what you will be paid for your option. Even though $500/acre for a 160 acre lease on the home place would make most smile, you have a yellow equipment problem...

Mark Papa's Got a Brand New Bag, and it's Weird

Mark Papa of Centennial Resource Development, Inc. ("Centennial") has made some bold statements recently regarding the future of oil and natural gas production from shale reservoirs. The thrust of his claim is that energy companies will not be able to produce as much oil and gas as they have forecasted. Berlin will not fault Papa for his statement, which could very well prove to be correct, but she believes that his arguments are faulty. Since Berlin has not interviewed Papa, all that she can analyze are his public statements. Berlin's comments are bolded and italicized after Papa's quotes:

Spudding Before Forced Pooling

Bruce was a bit pissed when he called up Berlin today. Apparently, his fence line weaning efforts cost him about 6 hours of sleep after he found the fence knocked down and the calves back with their mommas.  After he calmed down a bit, he asked why so many operators are spudding their wells before a forced pooling order has issued and what his options are as an unleased Oklahoma oil and gas mineral owner named as a respondent in the pooling proceedings...

Free Rider Problem: Fee Increases at the Oklahoma Corporation Commission

The Oklahoma Corporation Commission (the "OCC") plays a large, but often misunderstood role in the Oklahoma oil and gas industry ecosystem. The OCC is the regulator of almost all (less Osage County) oil and gas production in the state. Jack "Show me the" Money (a name destined for fame on the business desk) at NewsOK wrote a column regarding the proposed fee changes at the OCC...

I Thought You Were a Professional?

Berlin was having coffee at the sale barn this week where she ran across an ol' boy named Keith. Keith asked Berlin what she did when she wasn't raising stockers and she mentioned she's a landman. Keith looked a bit perplexed when he said "a landman? I thought you were a professional, like an accountant or doctor or some sh*t....