Legal Question in Business Law in Texas

offer to purchase oil and gas mineral lease

WE were offered $13,000.00 per net mineral acre bonus consideration,we have (0.28)net mineral acres.A 25% royalty,and a 3 year term w/a two year extension optiion.Leases be effectuated,bonus monies distributed upon verification of clear title to minerals.These are estimates,ownership to be verifed prior to release of funds.Have 7 days to execute agreement.If clear title cannot be obtained for all or part net min.acrerage,the net min. acreage be adjusted for purpose of calculating bonus monies and royalty distributions.________discloses they have the right to reject leases without disclosure of cause.WE want to know what this all means.


Asked on 7/10/08, 11:47 am

1 Answer from Attorneys
Eddy De Los Santos Spain Hastings Ward Carey & Chambers

Re: offer to purchase oil and gas mineral lease

We would need to look at the entire agreement in order to provide advice on what the agreement means. Please contact me at the email address below if you would like assistance.

Thanks,

Eddy

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Answered on 7/10/08, 12:06 pm


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