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Ross Downs Residents
Gas Lease checks ARE being processed
Ross Downs residents started receiving checks last week from The Caffey Group. From personal experience, local banks are not very capable of properly processing drafts – my bank took almost 6 weeks to get this done. As was announced previously, you should have funding of your gas lease within 30 banking days after your bank submits it to The Caffey Group bank (Frost Bank) and it is received by them. If has been longer than that since your bank’s draft to Frost bank was received, you may want to contact The Caffey Group at (817) 348-9766. However, make sure your bank has properly processed your draft before you do so.
Earlier this week, The Caffey Group reaffirmed they were committed to honoring signed leases with CAMRA. You may have heard a few groups in Tarrant County that had their leasing company pull-back from the announced lease signing. This is NOT the case with the CAMRA group, which Ross Down's residents were offered a gas lease from The Caffey Group. See the separate attachments titled “Gas Lease Draft Update – Oct 1” below.
Sites of Interest: Activity Journal
August 10, 2008
PLEASE GO TO THE "GAS LEASE INFORMATION" TAB FOR FINAL INFORMATION --- PLEASE NOTE THE ROSS DOWNS SIGNING IS TUESDAY, AUGUST 19th FROM 4 - 8 pm. PLEASE GO TO THE FREQUENTLY ASKED QUESTIONS (FAQ) ATTACHMENT FOR YOUR QUESTIONS.......
August 4, 2008
CAMRA ENDORSES TITAN / CAFFEY
On August 4th, the Colleyville Area Mineral Rights Association ("CAMRA") announced its endorsement with The Titan Operating, LLC & Caffey Group ("Titan/Caffey") on a comprehensive mineral lease, culminating six months of organization and negotiation efforts. The lease was unanimously endorsed by the leadership of more than thirty-five subdivisions, neighborhood associations and landowners that comprise CAMRA.
Titan/Caffey have agreed to the environmental protections, business terms and superior economics CAMRA aggressively sought. Our lease is far superior to the terms offered by the other gas companies we negotiated with (including Chesapeake and XTO).
Highlights of the CAMRA - Titan/Caffey lease include:
This lease offer is available to all property owners within the CAMRA coalition boundaries who have not yet signed an oil and gas lease.
The lease signing process is being finalized with Titan/Caffey and will be detailed on August 5th. Check the CAMRA website www.camra76034.zoomshare.com for the signing schedule and answers to frequently asked questions (FAQ’s). Drafts will be given at lease signing and subject to verification of mineral rights title and will be paid within a thirty (30) business day (i.e. up to 5-6 weeks of calendar time) after signing.
TITAN/CAFFEY
Overview Our partners are made up of Titan Operating, LLC and The Caffey Group, LLC. The primary partners of Titan Operating are Hollis Sullivan, Mark Schumacher, and Chris Hammack. All three are well-respected in their industry. Together they have drilled over 300 Barnett Shale wells which have been both in the rural and urban settings. Their staff is well-qualified to run the operations of a project of this magnitude. Additionally, The Caffey Group's president is Mark Caffey, who has more than 28 years experience in the oil and gas business. It is easy to say they are financially and technically experienced in the oil and gas business. Their principals have been very successful in the Barnett Shale play.
Titan/Caffey’s philosophy for urban drilling projects is to be able to develop a program that satisfies both the neighborhood and the oil and gas company. It is this symbiosis that brings us together and makes for an environment where all can benefit. The most difficult part of these projects is getting all of the landowners together. Therefore, it is valuable for an organization such as CAMRA to bring the families together so that a common goal can be reached. It is always better to speak to a chosen few that represent the masses, instead of speaking to each family individually. After all of the leases are signed, we can then move to harvesting the natural gas that lies beneath with little disturbance to anyone’s way of life. Titan/Caffey has done many residential projects and intends to do several more urban programs and will create the same relationship with other neighborhoods as done in the past. They make it a point to get involved thorough various community programs, such as charities and donation drives. Titan/Caffey has had several urban leasing programs that have met with great success. As you can see from their dedication to this proposal, they know the benefits to creating a good relationship with neighborhood associations. It is their ability to create this partnership that has established them as the operator of choice.
Titan/Caffey will use sub-contractors along with their own teams in order to accomplish our drilling plans. Titan Operating, LLC exclusively uses New Tech Engineering Services for project development in the Barnett Shale. New Tech is a large consulting company that works in the Barnett Shale and all around the world and has drilled over 800 wells in the Barnett play. As in all of their projects, they will indemnify the landowners as to any liabilities that may occur related to their operations. Titan will use a number of key proven land and drilling sub-contractors to achieve our success.
Financial Profile
The financial profile of Titan/Caffey is in remarkable standing. Titan has been involved with drilling/funding of over 100 wells in the Barnett Shale and The Caffey Group has been or is associated with such companies as XTO, DTE Gas Resources, Petrohawk, and Aspect Abundant Shale. Each company has been in business for many years and intends to be for many years to come. On July 22nd it was announced that XTO Energy paid Mr. Sullivan $800 million for 12,900 acres of producing properties in the Barnett Shale. Additionally, Riverstone Investments in New York is an equity firm that has a strong financial relationship with Titan/Caffey.
Principals
Hollis R. Sullivan
Mr. Sullivan is chairman of Titan Operating, LLC in Fort Worth, Texas. Mr. Sullivan serves in an advisory role and heads up business development for Titan Operating. Mr. Sullivan has served for 18 years as president of Hollis R. Sullivan, Inc., a small independent company based in Wichita Falls, Texas. Hollis R. Sullivan Inc. has drilled over one hundred wells in the Barnett Shale. Mr. Sullivan served as chairmen of the Texas Alliance of Energy Producers from years 2004 – 2006. He received his BBA in accounting from Midwestern State University.
Mark D. Schumacher
Mr. Schumacher is President of Titan Operating, LLC in Fort Worth, TX. Prior to Titan, Mark was Team Lead, Fort Worth Basin, for EnCana Oil & Gas (USA) Inc. in Dallas, Texas responsible for the Company’s Barnett Shale development. Prior to EnCana, he held various engineering and managerial positions with Winchester Production Company, Stroud Energy, Fossil Bay Resources and Union Pacific Resources (16 years). Mark has over 23 years of industry experience in drilling, production and reservoir engineering management, operations and business development in East Texas, Austin Chalk, Barnett Shale, Mid-Continent, the Rockies, the Gulf of Mexico, Latin America and Canada. He received his BS in Petroleum Engineering from the University of Oklahoma.
Christopher L. Hammack
Mr. Hammack is Vice President of Operations for Titan Resources, LLC. His responsibilities include managing all of the Company's drilling, completion and operations activities. Prior to joining Titan Resources, Mr. Hammack was Vice President of Drilling and Completions for Range Resources, where he managed a nine rig drilling and completion program for their Barnett Shale Division. He was one of the original founders of Stroud Energy, Ltd. which merged with Range Resources in June of 2006. At Stroud Energy Mr. Hammack served as Vice President of Operations and was in charge of all the companies’ operation activities. He was responsible for the drilling and operation of over 300 wells, most of which were located in the Barnett Shale play. Other of his past assignments included working as the operations engineer over Eastern Austin Chalk, South Louisiana and East Texas. His experience in horizontal well technology, tight gas reservoir stimulation and operation, along with his diverse experience in field operations helps keep Titan Operating on the cutting edge of technology. Mr. Hammack received a BS in Petroleum Engineering from Texas A&M University.
Mark Caffey
Mr. Caffey is President of The Caffey Group. He is originally from Arlington, Texas, attended Lamar High School and has lived in Colleyville for a number of years. He has been in the oil and gas business for over 28 years and has leaseholds in various states. Mr. Caffey has directed lease acquisitions of over 1,000,000 acres representing acreage in the Barnett Shale (Texas), Fayetteville Shale (Arkansas), Marcellus Shale (Pennsylvania), and New Albany Shale (Indiana/Illinois).
A NEGOTIATIONS UPDATE
Working To Finish!
July 29th 2008 - I want to provide you with and update. Our Negotiation Team is working hard as we speak to get this wrapped up. The Negotiation Team met Sunday and again last night. At this point timelines are driven in large part by our potential Partner’s ability to react to our requests. The Negotiation Team will meet again on Wednesday evening.
Our side is driving to have this wrapped up this week.
Some of you are starting to see what you believe is a high offer but is really a “low offer” being sent out especially in the areas around all of the proposed well site locations. I want to remind everyone who might be close to a proposed well site that regardless of which company our coalition selects, the company that owns the proposed well site is going to want to negotiate for your “release” if your home is less than the minimum distance a City Ordinance requires. This “release” is above and beyond anything else you would be offered. So be cautious of what you receive in the mail or comes knocking on your door. Stay informed.
We all appreciate your support as we work through the final stages.
Regards
Grady Walker, CAMRA
Another Mass Mailing
DON’T SIGN ANYTHING!
July 19th 2008 - Well XTO/Colt Exploration decided to send out another mass mailing to many of our Homeowners that are close to the new proposed well site just off of Shelton. Some of you are receiving their (XTO/Colt’s) lease with their (XTO/Colt’s) terms and conditions. In addition, you are being offered a lower bonus rate than the White Chapel group or the Timarron homeowners. We don’t understand why XTO/Colt wants to waste your time and their time.
WE WANT TO REMIND OUR MEMBERS, CAMRA HAS NOT ENDORSED ANY LEASE OR ENERGY COMPANY AT THIS TIME. So we recommend you don’t sign any lease that you receive. It is NOT a CAMRA endorsed lease. When we have selected a Partner and finalized our contract we will get the word out. In the mean time you can line your “bird cage” with the lease. If you receive a call or someone comes knocking on your door, just tell them:
“I AM PART OF CAMRA AND IF YOU HAVE ANY QUESTIONS CONTACT THE CAMRA NEGOTIATION TEAM.” They can start with me.
If you receive a letter, offer or call from any other Exploration Company the same message applies. The Production Companies see the value our Coalition brings and are hoping to break up or break off our homeowners so they can limit what they have to negotiate for. So I would suggest that you toss the lease in to the “round can”, “file 13” or line the “bird cage” with it. Also let your neighbors know. Send them an e-mail, give them a call or send them to the web site. They will appreciate you letting them know. If you have any questions please reach out to your Leadership Team or you may drop me an e-mail.
Regards
Grady Walker
July 16th 2008 - Time for a quick update on our negotiations and a couple of reminders……...
We are still at the “tables” and working hard with our potential Partners.
We will select our Partner in July.
When our Partner has been selected and we make an endorsement we will:
In the meantime it has been reported that some of our CAMRA members and HOA’s have been approached by Exploration and/or Production companies. They have been sent leases and in some cases been handed leases and asked to sign right then. You should NOT be receiving leases and should NOT have people soliciting you. If you are approached please respond with the following:
“No Thank You! I’m a member of the CAMRA. Our people are negotiating with your people.”
Please send them on their way and let me know.
I also want to remind everyone you may also experience a “rush” of Landman to your doorstep after we announce our new Partner by the Production Company that was NOT selected. You may experience Landman trying to offer you a little more money to get you to sign an inferior contract. Our CAMRA members have told our Leaders that all of the details and protections, and checks and balances for each homeowner, their neighborhoods and the communities are more important than an extra thousand or fifteen hundred dollars. It is important to note that typically when someone signs an inferior lease like they will be required to sign if they accept the extra money, a homeowner could typically lose 5 or 10 times more than the extra amount they received over the life of the lease. This is just one of the Term’s in the contract we have been negotiating for all our members.
If it is a “good deal” tell the Landman you are going to compare the contract against the negotiated lease and get back to them. Send me a copy of the lease and we will do a side by side comparison and let you decide what you are willing to give up. If you are told that you must sign right then ask “why?” if it is a good deal. T
THINK ABOUT THIS: If the contract that you are being offered from the Company that was NOT selected was exactly the same or better, with more Bonus and Royalty, wouldn’t you expect that they would have been the selected Partner?
WHAT’S HAPPENING IN TIMARRON???
Now an update on Timarron. We are not completely sure of everything that is going on with Timarron but we have received information from their homeowners and a short announcement from the management board. Kathy Epperson, from the management board, e-mailed an announcement on July 10th indicating that the Timarron HOA Board was about to announce a negotiated deal with Colt/XTO and that homeowners should expect to receive lease packets within a week. While waiting for the XTO lease packets, Timarron homeowners have started receiving their Chesapeake lease packages that indicated Timarron had selected and accepted a deal with Dale/Chesapeake after completion of their “Best and Final” offer process about a week earlier. As you can imagine this has confused the homeowners and raised quite a bit of concern and questions. For those not familiar with the “Best and Final” process it is as it indicates. You request from your potential Partners the absolute “Best” and “Final” offer for all the Term’s and Condition’s for your lease in a sealed bid form. Included in the response to the Best and Final are the Business Terms, such as Bonus and Royalty and Primary and Optional Term. Based on your selection criteria for a Partner, a winner is selected and notified. Typically it takes a few more days to refine certain contract details into “legalese”, but a deal has been “struck”. Then a public announcement is made and everyone is notified. This process is based around negotiations in good faith.
As we learn more we will keep everyone posted. If you have questions please reach out to your Leadership Team or you may drop me an e-mail.
Regards
Grady Walker, CAMRA Spokesman
July 9th 2008 - Time for more exciting news and the latest with negotiations. First, you have read the White Chapel Corridor in Southlake made their official announcement, signing with Chesapeake for $22,500/acre and 25% royalty.
The next announcement you will hear about anytime will be Timarron. AGAIN this is GREAT NEWS for our CAMRA/PRC members. With these two Coalitions completing their efforts, this has set our base!
So the answer to the question you are all asking is this.
We will select our Partner by the end of July.
Our potential Partners have been focusing much of their efforts in our area on three (3) Coalitions. As I have reported two (2) of those have now been finalized and there is only one left from that original three (3) CAMRA. Many of you have asked your Leadership Team representative why the CAMRA negotiations seems to be taking longer and why have some other Coalitions finished in a little less time. Great questions. The reasons are many but the answer is simple….CAMRA’s “value proposition”….. what we bring to the table, is unmatched by any other Coalition in an urban drilling environment. Other Coalition’s like Timarron, White Chapel Corridor or Hidden Lakes can ONLY offer size, some amount of acreage, and unity, do I have all the homeowners, and is the land spread out or condensed, to an Energy Company.
If you want the best terms and conditions, along with the best bonus, royalty and primary terms you must offer more than size and unity. CAMRA offers more than size and unity. The top six (6) value proposition items we offer besides having a large size and strong unity are:
What this requires is a little more due diligence at the negotiations table. That means a few more “balls” in the air and a little more time. So what does this mean? The result to our coalition is more favorable terms and considerations. Our goal is a “Win – Win” with our new Partner. We will step away at the end of the day and both sides will feel good about what we have achieved.
The CAMRA coalition is high visibility and offers a significant “WIN” for one of our potential Partners. We all recognize that the value to our new Partner is what we bring as “ONE” strong unified TEAM! Some of you may still be receiving a request to break off and sign up with a separate lease by someone. I will remind everyone, that will not be the lease with our terms that we are negotiating for. We are coming down to the finish line and are all going to win TOGETHER! When we have made our selection we will make a public announcement and tell everyone when & where signing parties will be.
If you have any questions please reach out to your Leadership Team or you may drop me an e-mail.
Regards……………….Grady Walker
Another one will fall and the bar will move up!
A NEGOTIATIONS UPDATE
July 1, 2008 - I want to catch everyone up with our negotiations and what else is happening in the area. Let me start with the area. The White Chapel Corridor coalition in Southlake has been working hard to finish their contracts with their potential Partners. After a number of review and revisions of their gas lease, they were able to get fairly close on their contract Term’s and Condition’s. From there they scheduled conference calls between each of the potential Partners, their negotiation Team and Attorney. This past Thursday and Friday their negotiation Team along with their attorney were on conference calls working through the finer points and details. From there they requested a “best and final” offer on the “contract terms” along with the “business terms”, which include bonus and royalty. The “best and final” were presented to White Chapel Corridor Group Monday (June 30) afternoon at 5PM. Their Attorney at that point proceeded to review the two offers and generate a comparison and assessment. The results were given back to their negotiation team for review and consideration. In so doing they will select a Partner and make an announcement. At that time it is my expectation that our “bar” will move up again a little more. Great news for CAMRA. As a note, the White Chapel Corridor coalition signed with Chesapeake for $22,500 per acre and a 25% royalty.
I wanted to share those details with all of you so that you understand what must occur to bring this process to a head and a final conclusion. Our Negotiation Team met this past week and worked through some critical areas. Immediately following that session our CAMRA Leaders, for all of our HOA’s and Geographical groups met and were updated on the current lease revision by our legal counsel. We discussed every item within the contract and questions were asked and answered. The Negotiation Team met again this past Saturday morning for ~ 3hours. All day Monday, 30 June, was spent with a well site engineer at the new well sites that are part of the CAMRA value proposition. One of the goals of this meeting was the reduction or elimination of the “setback” concerns. It was a very productive meeting.
We are approaching the July 4th weekend and are attempting to work around individual’s vacation schedules. We are driving forward and chipping away at the small number of details that are still outstanding.
The CAMRA coalition is high visibility and offers a significant “WIN” for one of our potential Partners. We are offering more than any other Coalition you have read about in the area. We all recognize that the value to our new Partner is what we bring as “ONE” strong unified TEAM! Some of you may still be receiving request to break off and sign up with a separate lease by someone. I will remind everyone, that this will not be the lease we are negotiating for. They will attempt to have you sign away all of your protections for a few more dollars. We have heard of individuals asking homeowners, business’s and HOA’s to sign up. In some cases there isn’t even well coverage. You should not see any potential Partner contact you but you might have another individual asking you to for some other reason. If you are contacted by anyone I need for you to let me know. We are coming down to the finish line and we are all going to win TOGETHER!
If you have any questions please reach out to your Leadership Team or you may drop me an e-mail.
Regards
Grady Walker
Read the "fine Print"!!!
A Negotiatons UPDATE from CAMRA
June 24th 2008 - So where are we at? Have we picked a Partner? We have all heard the warnings. “READ THE FINE PRINT!” We are in the “Fine Print”. I hear from HOA Presidents, CAMRA Leaders and individual homeowners on a daily basis. Their number one concern? The “Fine Print”. All the “devils and details” that help us all sleep better at night knowing for example that our new Partner is well insured, and is agreeing to “not travel upon or use in any way or manner (including the parking of any vehicles) any of the inner-residential streets” …”of a subdivision or neighborhood”…”except in an emergency situation and only for the duration of said emergency. ” These are why it takes time to negotiate the best terms we can for all of our homeowners.
There is a misconception that all contracts are pretty standard with only minor tweaks and the real difference is the Bonus and Royalty. The reality is the Bonus and Royalty are only 2 of ~40 “Items” that contain ~75 separate “Details” that all have to be addressed and/or negotiated. Are the Bonus and Royalty important? ABSOLUTELY! But are they the most important items as expressed by our CAMRA homeowners? Not according to CAMRA homeowners. You can now better understand why “ALL CONTRACTS ARE NOT CREATED EQUAL.”
This also is where we start to see differences between our potential Partners. Not just in the contract but in the negotiation process. As we move through the negotiation process not only do we learn about our potential Partners but they learn about us. Are the Companies responsive to your request? Do they meet deadlines? Do they return phone calls? How the Companies work with you when you are negotiating can be a clear indicator how they will work with you when they are selected as your Partner or if they are NOT selected as your Partner.
We have all read or heard stories about what can happen to Coalitions and their homeowners when a Partner is selected and announced. For the selected Partner plans are made for signing parties and a time to celebrate. In some cases we have read and heard where a Company who was not selected immediately reached out to homeowners asking them to now sign “their” lease and they will give them a little more Bonus money. And yes there are homeowners that quickly forget “ALL CONTRACTS ARE NOT CREATED EQUAL”. Remember, the contract is the reason it took the time it did to negotiate the deal. The homeowner did not understand that by taking a different contract could weaken many or all of the protections they and their neighbors worked hard to get.
We are working to lockdown our Term’s and Condition’s and will be reviewing and generating our response to the most recent contract revision tonight. We will also be updating the Leadership Team this evening so they are current.
It is important that our homeowners understand what our potential Partners are negotiating for and what they see. In our meetings with each Company we presented to them CAMRA and its “Value Proposition”. I also want each homeowner to see what our potential Partner sees by sharing a map of the CAMRA “footprint” and what we are bringing to the negotiation table. On our website listing you will find a file labeled “CAMRA Map – June 24.pdf”. This map does not reflect the most recent updates but is current. Please note that properties in “pink” are under lease with Dale/Chesapeake, in “red” with Colt/XTO and in “blue” with DDJET (Harding/Petrocasa). CAMRA is indicated in "yellow" although some areas appear slightly "green". The identifications are not meant to be all inclusive and do not reflect all of the properties and their current status. We only focused on the properties and areas that most directly affected CAMRA. Please spend a little time viewing and reviewing CAMRA and our Potential Partners well site locations. Pay attention to coverage areas, the contiguous areas and location of CAMRA with respect to well site locations. The value we bring is before your eyes.
As you can now clearly see we have much more to offer which separates us from the general Coalitions you have seen written up in local papers. Our potential Partners see this and recognize the value we bring. We are working hard for you and now you better understand why patience will yield value.
Regards
Grady Walker, Spokesman for CAMRA
The Bar Is Moving
Negotiations UPDATE from CAMRA
June 17th 2008 - I wanted to pass on some good news for our CAMRA/PRC members. The Hidden Lakes homeowners and Hidden Lakes Coalition Members have finalized their lease negotiations and selected XTO. The Hidden Lakes folks are located approximately at Davis and Continental on the West side going North and Westerly. They are a little smaller than CAMRA also with a strong unity and contiguous property as their "Value Proposition". They had 2 excellent Partners that were negotiating for their selection. In a statement by Deborah Gatzke the Secretary for Hidden Lakes, she is pleased to announce the following terms:
Deborah indicated that well sites to provide coverage for the Coalition have yet to be finalized or identified. "We will report their exact locations when they are finalized, which is expected very soon."
We wish them the best and appreciate all they have done. Although there are similarities in our coalitions size and unity, that is where it stops. The "Value Proposition" that CAMRA brings to the negotiation table is strong and extensive." Here are the key points:
We have much more to offer which separates us from the general coalitions you have seen written up in local papers. Our potential Partners see this and recognize the value we bring. As we have entered into our negotiation process our neighbors at Hidden Lakes have reset the bar for us and we appreciate that. We will start where they have left off. We are coming to the end and will cross the finish line soon. We need for everyone to be patient and allow our process to work. As we continue to move forward I will keep everyone as up to date as possible.
Thank you for your patience and support.
Regards
Grady Walker, Spokesman
NEGOTIATIONS UPDATE TO OUR PRC/CAMRA MEMBERS The process in its simplest form is this. Our HOA, Group Leaders and Volunteer Recruiters helped build CAMRA into a large block of properties/land that can be reached by 3 Energy companies using 11 different well sites today. No one well site can cover all of PRC/CAMRA so choosing a Partner that has multiple well sites and can provide the best coverage for all our homeowners is important. When our size and “value” to the Energy companies reached its strongest level it was time to move forward. After researching legal options we retained counsel. Our legal firm has been in business for 28 years, with over 100 attorneys and is located in 3 Texas cities. Our attorney is experienced with over 17 years in contracts, litigation and dispute resolution, specific to oil and gas in Texas. He has negotiated significant oil and gas leases in the Barnett Shale gas play, including representing several subdivisions, homeowner groups and commercial properties in this immediate area. We started work on our lease agreement and this has been worked on and reviewed by our Leadership Team and research group of which contains oil and gas attorney’s, a petroleum engineer, contract negotiator’s and our legal counsel. This process started May 8th; a review meeting occurred on May 14th and our lease was finalized on May 26th. On May 27th the PRC/CAMRA gas lease was submitted to XTO/Colt and Chesapeake/Dale for review. We received our first response to the lease from one company on June 3rd and the other on June 5th. We are negotiating for the general terms and conditions and NOT any business terms at this time. We are working on the details as it pertains to homeowner protections and considerations in the areas of pooling, how the land is developed, environmentals, how we can add extra traffic protection, landscaping, added noise protection, royalty considerations, subordination and groundwater protection to name only a few of the 40 separate items. The negotiation Team, along with our attorney met Thursday June 5th for a 5 hour meeting which ended after midnight, as we reviewed the leases received back from our potential Partners. We are now generating a response and will submit a counter proposal. We have meetings scheduled with both companies the week of June 9th. When we have reached an initial level of understanding for the general terms and conditions we will then address the business terms, which include the Primary Term and option considerations, royalty rate, signing bonus and any other considerations. I have been asked to help our homeowners understand what PRC/CAMRA is looking for in business terms. I cannot be specific but I can say this. Both potential Partners have stated they see the value in what PRC/CAMRA has built and want all of the properties and “value” PRC/CAMRA brings to the table. Our “footprint” will allow either Partner to fully develop their well sites as a result saving time and money and decreasing the time to production. The current signing bonus rate is for a single homeowner’s property, which in most cases is a ¼ - ½ acre lot. It should be clear that with “value” there comes a price. We will be offering the winning Partner ~2,400+ acres with a much higher “value proposition” than has been seen or reported by other Coalitions in the news. We will work through this process until we come to some level of agreement on the business terms in conjunction with the general terms and conditions. At this point our negotiation Team will review and determine the winning Partner. We will then finalize any fine points in the lease and the winner will be announced and a formal endorsement made. We believe the lease will be final soon, but as always, there is the potential that the timeline will be slightly extended given the nature and complexity of lease negotiations. Remember we are dealing with 3 negotiation and legal Teams. As you can appreciate there is much work and effort that must occur on a daily basis as we negotiate in the best interest of all of our homeowners. Details and considerations can change on a daily basis. We will make every effort to keep everyone updated with significant news. In the meantime, please remain patient and pass this information to your neighborhoods that may not be checking their email or websites. WE WANT TO REMIND OUR MEMBERS CAMRA HAS NOT ENDORSED ANY LEASE OR ENERGY COMPANY AT THIS TIME. We ask our members to be patient and wait until our process and negotiations are completed. At that time we will let everyone know we have negotiated our lease and what the final terms are. Only then will signing parties be scheduled and you will sign your own gas lease. We are coming to the end of our journey soon and I want to remind everyone that we are unified, well organized and in an excellent position to negotiate the best single lease for all our homeowners. Please reach out to your Leadership Team if you have any questions. May 24, 2008 UPDATE---Pool Road Coalition--UPDATE The PRC comprises over 950 property owners and encompasses approximately 550 acres in northeast Colleyville and southwest Grapevine. Its participants are primarily residents of homeowner associations and include: Carriage Glen, Glenhope Circle, Heritage Colony, Highland Meadows, Longwood, Oak Creek Estates, Ross Downs Estates and several larger tracts of land.
CAMRA presently represents over 1,200 acres with sixteen homeowners associations in four geographical neighborhood groups and a small number of special members. CAMRA spokesman Grady Walker said of the group, “We are unified, well organized and in a position to negotiate the best single lease for all our homeowners.”
The combined group will be about 2,000 acres with over 2,000 homeowners making it the largest, most unified group in northeast Tarrant County. The contiguous group can be reached by at least eleven 11 well sites and presents a “winner take all” opportunity for the gas company who receives the group’s endorsement. Currently, the group is negotiating with Chesapeake and XTO and hopes to make an endorsement and formal announcement within the next several weeks.
For more information and to stay up-to-date regarding the Pool Road Coalition (PRC), please go to www.rossdowns.com/gaslease.php
For more information and to stay up-to-date regarding the Colleyville Area Mineral Rights Association (CAMRA), please go to www.camra76034.zoomshare.com
PRC in final stage of lease agreement discussions
Colleyville, Texas May 19, 2008 - The Pool Road Coalition (PRC) is in the final stage of evaluating the gas lease agreement opportunity and expects to be making an endorsement for the participants of the PRC in the very near future. Hopefully there will be a formal announcement within the next 1-2 weeks; before the end of May. As of right now the PRC wants to make sure folks know the group has NOT made ANY recommendation and does NOT endorse any company at this time. We have NOT endorsed any lease signing meetings in the area and once the PRC reaches a recommendation, they will clearly communicate that to everyone in several ways: through the website (rossdowns.com/gaslease.php), neighborhood signs, flyer in the mail and some door-to-door. The PRC continues to encourage interested property owners to complete and return the Non-Binding Letters of Intent form they received as evidence of their interest in being a participant in the group. The form can be found on the website. While the PRC is not telling folks what they must do and are free to act on their own, clearly it will be much more beneficial to all when an endorsement for the group is made. PRC holds community meeting on April 29th and continues lease agreement discussions with two gas companies PRC receives improved lease agreements from two gas companies
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