If your freehold
mineral interests are not leased and you are approached to lease
them by a land agent, current information on well and land activity
in your area may assist you in negotiating a fair and reasonable
lease agreement.
If your freehold mineral interests are leased, you should monitor
well activity on and adjacent to your mineral interests in order
to insure that your oil company-lessee is complying with the
terms of your lease agreement. There are many hundreds of unsatisfied
offset obligations on freehold lands in Alberta. Presumably, the involved freehold owners
are either unaware of the fact that a well is producing from
a spacing unit offsetting their mineral interests, or don’t
understand their rights in the situation (“Offset
Wells”).
Members who wish to acquire technical information pertaining
to their mineral interests are requested to provide FHOA with
the location of their mineral interests together with a check
in the amount of one hundred and twenty-five ($125.00) dollars. The Association will
provide the member with a map showing all of the wells in the
nine sections immediately surrounding the section containing
the member’s freehold minerals, a well summary report for all
wells drilled or drilling within this area, a well production
report summarizing the production from all wells producing within
this area, and a land map showing Crown and freehold lands within
this area. The land map will include bonus prices paid for any
Crown leases in the area together with the dates that the particular
Crown land was leased.
If you are a member of the association and would like technical
information, please contact us with
the appropriate information and payment. This service is not
available to non-members of the Association.