February 3, 2011 Southwest Fort Worth Alliance Update
In August of 2008, nearing the end of almost a year of organizing among SFWA’s Member Neighborhoods and of negotiations with the Barnett Shale’s major natural gas developers, The Southwest Fort Worth Alliance was approached by Vantage Energy, who made an offer to SFWA which SFWA accepted. The agreement and financial terms between SFWA and Vantage Energy were jointly announced, the contractual language was negotiated and finalized, and informational meetings and signing events were jointly organized and announced.
SFWA and its Mineral Owners were promised that all SFWA Member Neighborhoods’ Minerals Owners would be given the opportunity to finalize this SFWA/Vantage Energy-Caffey Group deal, over months of singing events that were projected to continue through at least January of 2009. Further, Vantage Energy promised that no one would be left out. SFWA’s acceptance of Vantage Energy’s offer was contingent on all SFWA Member Neighborhoods’ Mineral Owners being included in the deal. The Lease Agreement terms included a signing bonus of $27,500.00 per acre and a 23% true no cost royalty, in addition to strict property rights and environmental protections. Also included in the accepted offer from Vantage Energy was $500,000.00 in Community Improvement Funds.
On October 14, 2008, after only a few weeks of signing events for only nine of SFWA’s more than twenty Member Neighborhoods’ Mineral Owners, Vantage Energy informed SFWA that it was suspending leasing immediately and that no Community Funds would be provided as agreed to.
Since the leasing cessation occurred, Vantage Energy has approached SFWA three separate times with essentially the same proposal, for SFWA to endorse a new offer from Vantage Energy with a signing bonus of $6,000.00 per acre and a modified lease agreement. The alterations to the lease agreement have changed over the last two years and over the last three proposals from lowering the shut-in royalty to including permanent easement rights and allowing seismic testing. Also, Vantage Energy’s proposals have excluded a number of SFWA’s Member Neighborhoods from any benefit and any benefit was focused on the neighborhoods in which Vantage Energy already holds significant leases as a result of the events of 2008.
Most recently, Vantage Energy approached SFWA with such a proposal in January of 2011. Once again, Vantage Energy’s proposal did not consider the arrangement between and collective goals of all of SFWA's Member Neighborhoods and Mineral Owners. The SFWA Member Neighborhoods’ official representatives determined that each individual neighborhood would need to discuss the Vantage Energy proposal and determine an official position and that these individual neighborhood positions, collectively, would determine the SFWA response to Vantage Energy by a majority vote.
By an overwhelming majority vote, the SFWA Member Neighborhoods determined that SFWA could not support Vantage Energy's January 2011 proposal nor lend endorsement to the terms and other conditions posed by Vantage Energy. SFWA’s discussions focused on the broken trust between SFWA and Vantage Energy, as Vantage Energy had failed to honor its 2008 agreement with SFWA and failed to honor its public promises to the Mineral Owners of SFWA.
SFWA has remained optimistic that Vantage Energy would eventually return to SFWA, desiring to do the right thing and complete the agreement as originally negotiated and promised. Unfortunately, Vantage Energy has not done so which is a true disappointment. The Southwest Fort Worth Alliance has retained an attorney, Mr. John Howie, to represent the SFWA's interests regarding Vantage Energy's 2008 breach of trust.
As a result of Vantage Energy's decisions and actions in 2008, SFWA must now and will continue to consider the splintered needs of varied groups of residents who are leased; who are leased and located near to potential high-impact drill sites; who are unleased; or who are unleased and now party to the mass litigation that followed Vantage Energy's 2008 breach of trust. All of these people who make up the SFWA are the SFWA; neighbors, friends, and family. All of these people, regardless of their current leasing situation, are our care.
As always, the Southwest Fort Worth Alliance will continue to provide its Mineral Owners with information and new developments, as this ongoing natural gas matter continues.
January 14, 2011 Southwest Fort Worth Alliance Gas Lease Update
There is a bit of a buzz going around in the Southwest Fort Worth Alliance neighborhoods that Vantage Energy now has a drill site. The rumors are true. Vantage Energy recently informed SFWA that the company has a drill site under contract in the Wedgwood Square NEZ community.
The site Vantage now has under contract consists of half of the Wedgwood shopping center along Trail Lake Drive and Wedgmont Circle. The businesses in that portion of the shopping center have already been informed and it is SFWA's understanding that the previous property owner will make arrangements to move the businesses to the opposite side of the complex where the Fort Worth PD station is now.
Vantage Energy provided the three below sketches to Wedgwood Square Neighborhood Empowerment Zone (WSNEZ), to initially demonstrate what the site might look like. These sketches are not
absolute or final and discussions are ongoing between WSNEZ and Vantage Energy regarding the drill site specifications.
The Wedgwood Square NEZ community has already informed the potential high-impact residents surrounding this location of Vantage's plan and has held a meeting with these high-impact residents to take questions and concerns and to inform the residents of what the company and the neighborhood are discussing in terms of high-impact waiver conditions.
High-impact waivers are intended to be required by the city's drilling ordinance, in order that the city issue a high-impact permit. The Wedgwood Square NEZ community is in discussions with Vantage regarding how the company will address high-impact issues, such as pipelines, emissions, compression, lighting, noise, fencing, truck traffic, frac pond design,
drilling schedules, landscaping, and more. This site will be literally across the street from a number of properties and it is very important to the residents affected and to the neighborhood association and community that this drill site be something that everyone in the area can live with for as long as the site is viable.
Your neighborhoods' SFWA representatives have already begun meeting to discuss this development.
It is likely, based upon the SFWA-Vantage-Caffey lease agreement, that Vantage Energy will try to apply for city permits by mid-March, provided Vantage has obtained the necessary high-impact waivers. If Vantage obtains permitting from the city and Texas Railroad Commission without any obstacles, the company could foreseeable be drilling this summer. If the company opts to immediately frac its wells, it is foreseeable that
residents included in the company's first units and pools could see a royalty in a matter of months from the time drilling begins. It is unknown at this time what the royalties might equate, but keep in mind that SFWA residents who were able to sign the SFWA-Vantage-Caffey lease will never pay company costs from their share of the royalties. A royalty calculator, attached, has been provided by Vantage Energy as a rough estimator for
residents seeking such information; the results of this calculation should not be considered a promise nor heavily relied upon since this is an estimation only and does not take into account the production of wells, which will be unknown until the first exploratory well has been drilled.
For more information from or about the Southwest Fort Worth Alliance, including the PDF of the SFWA-Vantage-Caffey lease agreement, maps and power-point presentations regarding Fort Worth leasing and the SFWA lease,
you may visit the Southwest Fort Worth Alliance online at http://www.sfwalliance.org/
For more information regarding the City of Fort Worth's Drilling Ordinance, you may read the ordinance online at http://www.fortworthgov.org/citysecretary/info/default.aspx?id=56294
For more information regarding the regulations of the Texas Railroad Commission you may visit online at http://www.rrc.state.tx.us/
SFWA residents who were not permitted to sign the SFWA-Vantage-Caffey lease agreement prior to October 14, 2008 and who are party to the North Texas Lease Litigation should contact their legal representation to find out how this new development might affect them. http://www.ntxleaselitigation.com/
SFWA residents who are unleased and not party to the North Texas Lease Litigation are encouraged to contact their neighborhood association contacts or the Southwest Fort Worth Alliance through the SFWA website http://www.sfwalliance.org/
SFWA residents leased by Vantage-Caffey in 2008, who have not already received a copy of their lease agreement from Caffey Group are encouraged to request a full copy of their own signed lease agreement, by contacting Caffey Group in writing by registered or certified mail at 309 W 7th Street #1300 Fort Worth, TX 76102-5113. SFWA residents seeking additional information about Vantage Energy or Caffey Group may like to visit their
online websites at http://www.vantageenergy.com/ and http://www.caffeygroup.com/
On May 20, 2010, The Southwest Fort Worth Alliance attended the Air Quality Study Committee Public Hearing to present the following position.
The Southwest Fort Worth Alliance wishes to address this Committee regarding its charge. This discussion may be singularly the most important of Fort Worth City’s history and future.
When natural gas exploration first came to Fort Worth, City Representatives had the opportunity and obligation to understand this industry and all that it encompassed. Our City could have determined in advance how natural gas exploration would effect our residents’ health, property rights, property values and our City’s collective, public, natural assets and resources. Fort Worth City might also have determined what the effects of this industry would mean to our City’s tax base and our future of growth, tourism, and commerce. Fort Worth chose not to do this. That is what has lead us to today.
Many have raised concerns regarding the heavily energy-industry-related appointments to this Committee. The confidence of Fort Worth’s tax paying citizens is wavering and this opportunity to address this matter, after the fact, will significantly impact Fort Worth Citizens’ view of our City’s Representation. Fort Worth IS watching. What is more, as this issue has been paraded in the media across the nation in a very negative light, Fort Worth IS being watched. It is absolutely imperative to our City’s future that this matter be handled ethically, without bias and in the interest of Fort Worth’s long-term needs.
Throughout this process, Fort Worth City and Fort Worth Citizens have been told many conflicting facts about urban drilling. Among these, the benefits to our City and to our mineral owners, facts about the process and related industrial chemicals, the profits of the industry and for our public coffer and private funds, and the duration and degree of drilling that would take place. All of the before have been stated and restated, questioned and reworded, answered and altered. Often the answers are contradictory to one another. It is time to get ahead of this issue rather than simply following along.
The Southwest Fort Worth Alliance’s position on this matter remains that it is not enough to test a handful of our many gas wells and compressors for a mere glance at momentary emissions. As our City is responsible for the health and wellbeing of its Citizens, we must do more.
The Southwest Fort Worth Alliance proposes the following:
* The Industry has publicly admitted that the chemical compounds used in their processes are mostly similar if not identical. Therefore, as intellectual property rights are not of question in this matter, the industry must provide their lists of chemicals and chemical compounds used and unearthed in their processes, listing all chemicals related to their fracturing, recovery and disposal processes. The people of this City deserve to know what is being put into our air, water, and earth.
* Chemical experts, independent of this industry, must be consulted to determine the thresholds for safe usage of and emissions and injections of the chemicals utilized by this industry’s operations. The people of this City no longer trust this industry to make such determinations for us; it is naïve to entertain that this industry will not act to self preserve.
* Chemical thresholds and emission maximums and standards should be established and set forth in a Natural Gas Operations Best Practices Ordinance to mandate what Fort Worth requires and refuses this industry, in order that it operate within Fort Worth City. Industry Operators must show that they are in compliance with the standards of operation outlined in the Best Practices Ordinance in order that they be licensed to operate by the City of Fort Worth. Industry Operators will be provided a 60 day grace period to come under compliance. This industry is unlike other industries, as it commits invasive operations; Fort Worth City is within its rights to expect this industry to operate in a way that is safe for Fort Worth Citizens and protective to Fort Worth‘s natural resources. There should be no “grandfathering of pre-existing wells and compressors.
* All natural gas wells and compressors shall be independently permitted on an annual, renewable basis. Annual permit application and renewal fees will be of such to afford and facilitate, without reliance on City funding, independent, quarterly testing of every well’s and compressor’s emissions, preferably at the vent or hood, to determine that each individual well and compressor emissions falls within the Best Practices’ determined standards for emissions. Quarterly testing will be random and without notification to the Operator; quarterly test results will be published for public information, as the public has the right to know if their air is a danger to their health. There should be no “grandfathering” of preexisting wells or compressors.
* Should any well or compressor be found emitting chemicals in amounts greater than limitations set forth in the Best Practices’ Ordinance, the Operator/Owner of said well or compressor will be fined an amount equal to that necessary to afford and facilitate an additional emissions test. The Operator/Owner will have 72 hours to correct the matter and bring the non-complying well or compressor within acceptable limitations, at which time an additional emissions test will be performed to asses if the issue has been mitigated properly and that the well or compressor is now operating within emissions standards. Failure to correct noncompliant emissions violating the standards set forth in the Best Practices Ordinance will be heavily and substantially fined, to a degree that will discourage non-compliance. Prolonged failure to mitigate and comply could lead to permit loss and further actions, as legally allowable. Operators consistently and constantly in violation may lose their license to Operate within the City of Fort Worth.
* Water and soil testing should also be considered, initially, to determine what negative impacts may have already taken place in the last 5 or more years of operations free from any significant regulations and in order to determine if and what mitigations are required to correct substantial or hazardous contaminations.
* Additionally, clean natural gas powered or electrically powered equipment, in place of diesel, should be mandatory of all natural gas drilling operations. Let us protect our air with clean fuel while obtaining future clean fuel. This provision has already been selectively agreed to by companies in Fort Worth and is standard across many other plays.
Our natural resources are not proprietary and must be protected for everyone living within Fort Worth City today and for anyone who may choose to live in Fort Worth City in the future.
The Southwest Fort Worth Alliance Background and Update on Kingswood Park
SFWA provided information regarding this matter as it became available. Fort Worth City and SFWA have received a number of emails concerning this matter and so SFWA feels that to make matters clear, it is best to provide a time line of events for residents so that they may understand what has taken place.
In May of 2008, a number of SW Fort Worth Neighborhood Associations, Homeowners Associations, Neighborhood Coalitions, Neighborhood Alliances, and Residents came together to create the Southwest Fort Worth Alliance. The goal of the newly formed alliance would be to educate and assist as many persons in the SW Fort Worth area as possible to obtain a mutually beneficial lease agreement for their minerals.
One such SFWA Member Alliance is The Hulen West Alliance, headed by Mr. Chad Pierce, composed of nine neighborhoods, encompassing NAs and HOAs and citizens organized without an NA or HOA and/or separate from their NA or HOA. The Hulen West Alliance included (in alphabetical order) Candleridge West, Meadows of CandleRidge, Ridgeview Estates, Stone Meadow, Summer
Creek Meadows, Summer Creek Ranch, Summer Creek South, Trail Lake Estates, and Villages of Sunset Pointe.
In the spring of 2008, Hulen West Alliance Representatives attended a Candleridge West Homeowner's Association meeting, due to many inquiries for assistance from Candleridge West residents, to offer the HOA join Hulen West Alliance. The HOA President decided that the HOA would not officially join the Hulen West Alliance but that the HOA would guide its residents seeking information about natural gas related issues to the Hulen West Alliance. Candleridge West HOA President Mr. Dale Dickerson felt that each mineral owner should make mineral leasing decisions individually and did not wish for the HOA to be involved in gas lease negotiations. Therefore, residents of Candelridge West neighborhood joined the Hulen West Alliance and the Candleridge West Homeowner Association referred persons to the Hulen West Alliance from that time forward. When the Hulen West Alliance joined together with the other neighboring neighborhood groups to form the Southwest Fort Worth Alliance, residents of Candleridge West neighborhood became apart of the SFWA and were notified of this and cooperated with each other and all SFWA neighborhoods' residents to negotiate a lease agreement. The Hulen West Alliance's Representative Mr. Chad Pierce remained in communications with Candleridge West HOA's Board's Vice President Mr. Rajiv Mehta throughout the SFWA negotiations process.
Kingswood Park, has long been championed by Candleridge West Homeowner Association President Mr. Dale Dickerson, who has diligently worked for this Park to be designated as a City Park and opened to all neighborhood residents. Mr. Dickerson has worked hard to find funding for the development of this park over the years.
From May of 2008 forward, Fort Worth District 6 City Councilperson Mr. Jungus Jordan stated publicly to citizens at multiple meetings, that he would not lease publicly owned, Fort Worth City Parkland within District 6 and the boundaries of the Southwest Fort Worth Alliance prior to SFWA's citizens private properties being successfully leased.
On November 17 of 2009, without direct contact and prior notice beyond that of the 72 hour posting of the Council Agenda online, several of SFWA's parks appeared on the Council agenda for subsurface rezoning,
including Kingswood Park.
Several SFWA Representatives, including those whose parks were listed for subsurface rezoning, attended Council to ask that these parks not be rezoned. SFWA's concern was and is that leasing the minerals of these parks would increase the voluntary pool size for the gas companies, leading to applications to the Texas Railroad Commission to force pool unleased residents surrounding the parks.
SFWA Spokesperson Mrs. Tolli Thomas addressed City Council and stated SFWA's concerns for the unleased SFWA member residents that might be effected negatively by this decision. Two parks were removed from the agenda, as their neighborhood leaders directly contacted Fort Worth City Councilperson Mr. Jungus Jordan with their concerns and to remind him of his earlier commitment to the residents that relative parks would not be leased ahead of the surrounding residents.
At this meeting, it was noted by Parks Department Staff that Candleridge West Homeowner's Association was supporting the subsurface rezoning of Kingswood Park contingent on the bonus funds received through eventual leasing remaining with and for the purpose of developing the Kingswood
Park. Mr. Dickerson's desire was only to receive otherwise unavailable funding for Kingswood Park's development and Mr. Dickerson was
representing the HOA's view of the matter. The Southwest Fort Worth Alliance at NO point, indicated that SFWA was representing the Candleridge West HOA but rather and only the unleased surrounding residents and mineral owners who might be negatively impacted by the future leasing of this park.
As this was not then specifically related to Chesapeake Energy, Councilperson Jordan voted in favor of rezoning the subsurface of
Candleridge Park but noted that this was not an intent to lease but only to prepare for possible future leasing and further included in the record his desire that staff continue to coordinate with neighborhood leaders moving forward with these public parks.
Following this Council meeting, SFWA Representatives were addressed by Jean Petr, Fort Worth City's Gas Lease Program Manager, who provided contact information for herself and another department representative. Ms.
Petr noted the following: The District 6 Parks were placed on the agenda for subsurface rezoning by Councilperson Jordan. Councilperson Jordan had asked Ms. Petr to speak with us regarding future cooperation and
communication related to the public lands within District 6 and SFWA boundaries.
To view the events from November 17th you may visit this site to watch the Council meeting; the parks on the agenda appear about 25 minutes into the meeting and you may move the video to this time.
On April 19 of 2010, SFWA forwarded concern regarding the lease of Kingswood Park and the possible, negative, future effect it may have on surrounding unleased residents to Councilperson Mr. Jordan. SFWA also disseminated information related to this park's rezoning and pending leasing for residents' information and many residents responded and
contacted Council with concerns and objections. SFWA received NO response from District 6 Councilperson Mr. Jungus Jordan to this inquiry and objection.
On April 20 of 2010, without direct contact and prior notice beyond that of the 72 hour posting of the Council Agenda online, Kingswood Park appeared again on the Council agenda for Council to approve a lease bonus of $3500.00 per acre for 8.385 acres with Chesapeake Energy. The remaining
50% interest of the park, which is a total of 16.77 acres, is owned by another private entity. Kingswood Park abuts multiple residences of whom mineral owners are unleased. During Pre-Council, Councilperson Mr. Jordan noted that lease of the park was supported by Candleridge West Homeowner Association's President.
Southwest Fort Worth Alliance Spokesperson, Mrs. Tolli Thomas, accompanied by another SFWA Representative, addressed Council on the matter. Again, Ms. Thomas addressed concerns on behalf of unleased residents surrounding Kingswood Park, reminded Council of the May 2008 and November 2009
commitments from Council not to lease public lands in SFWA boundaries prior to private citizens securing leases for their own minerals, and noted that in the area surrounding Kingswood Park, a vary large tract of land, multiple neighborhoods containing many unleased residents would be effected by this decision, not just the Candleridge West Homeowner Association. Mrs. Thomas at NO point indicated that SFWA was representing Candleridge West Homeowners Association and only discussed the unleased mineral owners who are residents surrounding Kingswood Park. Mrs. Thomas also asked from which site the park would be drilled and in which pool the park would be included, but received no answer.
As the lease agreement was in connection with Chesapake Energy and as Councilperson Mr. Jordan is unable to vote on Chesapeake Energy related issues, due to the household income he receives from this company, Mr.
Jordan abstained from voting, stating that he would file proper affidavit for doing so. The Kingwood Park was leased to Chesapeake Energy with a vote of 8 to 0 with 1 abstention.
To view the events from April 20th you may visit this site to watch the Council meeting; Kingswood Park appears approximately 44 minutes and 50 seconds into the meeting and you may move the video to this time.
The Southwest Fort Worth Alliance will continue to advocate for our unleased mineral owners and residents in whatever forum or means as is required. Thank you for your continued support!
APRIL 7, 2010 Southwest Fort Worth Alliance UPDATE
EVENTS NOTIFICATION FOR UNSIGNED SFWA MINERAL OWNERS
If you, your family or neighbor were not permitted to sign the Southwest Fort Worth Alliance negotiated Vantage Energy/Caffey Group Natural Gas Lease, you are encouraged to attend one or both of two upcoming informational meetings regarding law suits filed by North Texas Lease Litigation.
North Texas Lease Litigation will present details of the mass action law suits that your neighbors have filed against Vantage Energy, including eight causes of action related to the companies’ refusal or failure to honor publicly promised, contractual obligations to sign all SFWA mineral owners with the deal negotiated between them and SFWA.
Even if you have already atteded one of these meetings, it may benefit you to attend for an extensive update on the litigation’s history and progression, as well as new information and details that have surfaced from the attorneys’ discovery processes.
Kip Petroff, will be providing a history of the suits to date and more specifics of your case against Vantage, Caffey Group, and their investors. Chris Payne, will be on hand to discuss forced pooling, 330' Rule exceptions, and high impact waivers, in addition to your rights as a mineral owner and to answer any oil & gas questions you might have.
Thursday, April 29th 7:00 PM
Location: Christ Church 5301 Alta Mesa Blvd. 76123 (enter through the main
doors of the building with 3 flags in front).
Saturday, May 1st - Meeting Agenda 9:00 AM to Noon
Location: MetroCenter, Fielder Road Baptist Church 1501 W. Pioneer Parkway, Arlington
This extended meeting will also include discussions of today’s natural gas issues, today’s offered gas lease related concerns, guest speakers, and a panel discussion question and answer session. For more information regarding the North Texas Lease Litigation go to
MARCH 2010 Southwest Fort Worth Alliance GAS LEASE UPDATE
If You Are Unleased:
If you were not allowed to sign the SFWA & Vantage/Caffey lease prior to October 14, 2008 and are still unleased, there are quite a few things going on in the area that you should know about.
As you know, all Barnett Shale leasing companies essentially ceased leasing in October 2008. Since that time, leasing has returned but bonus amounts offered are only about 10% to 20% of what they were and companies have returned to offering a standard company-favoring lease or Producer-88, which does little to nothing to protect your royalties from
being whittled away by consuming and ever-rising company costs and expenses passed on to you. These standard leases may allow some company operations on your personal property’s surface, by allowing for pipelines or gathering lines or by providing the company with a permanent easement on your land. There are also other quality of life, environmental and safety concerns to consider that are also not addressed by these standard leases or by our city’s gas drilling ordinance. Throughout all of this time, all of these companies have stated that they will not negotiate lease language or royalty and bonus amounts with larger groups or organizations representing many mineral owners. However, they also have
stated that they will not negotiate bonuses over a certain dollar range with any mineral owner and mineral owners have been less than successful in negotiating terms into their leases on an individual basis.
Companies Plan To Aggressively Lease Again:
Last month, The Star Telegram quoted at least one area leasing agent, as saying that his company was preparing to do a lot of leasing over the next few months and it has come to light that other leasing companies are also hiring significant numbers of landmen to “sell” company leases to the unleased mineral owners and to renew expiring leases in the area. One company is holding regular signing events at its offices now. It seems that we may see door-to-door leasing and begin receiving phone solicitations from these landmen again, or at minimum, letters soliciting you to lease your minerals with bonus offers between $1,000.00 and $5,000.00 on top of an unfavorable Producer-88 lease agreement. The
Southwest Fort Worth Alliance DOES NOT endorse any of these solicitations or offers to lease your minerals and has taken the position since October of 2008, that the company who negotiated, agreed to, and publicly promised to lease all member neighborhood residents’ minerals at $27,500.00 per acre with a COST FREE 23% royalty and a very mineral owner protective lease agreement, should come back and finish what was started, honoring
their agreement with The Southwest Fort Worth Alliance and their commitment and promise to you.
North Texas Lease Litigation Mass Action to Enforce Your Original Agreed
To Lease and Bonus:
As you probably know, a group of law firms has established a litigation group, called North Texas Lease Litigation. These attorneys are providing a fair, contingency-based agreement and are fronting all costs, for Southwest Fort Worth Alliance mineral owners who wish to pursue litigation against Vantage Energy and Caffey Group for refusing to honor their
agreement to lease all member neighborhood mineral owners under the lease terms and agreement negotiated and agreed to with them and by them. The understanding is that they are seeking three times what was originally promised financially and the original negotiated and agreed to lease. The Southwest Fort Worth Alliance has heard from many area residents who have indicated that they already have joined this litigation and multiple member neighborhood leaders, who also were not leased, have done the same. North Texas Lease Litigation is taking cases from Southwest Fort Worth Alliance and from a similar, smaller gas lease group in Arlington, where leasing was also ceased, called SEACTX. The first lawsuit of this kind was filed on behalf of the Booths on August 6, 2009. The Booths would
originally have received a bonus of approximately $5,000.00with their negotiated lease for their lot. XTO has deposited this bonus money with the Court and has agreed to honor the SEACTX lease in that case. The only issue left is what amount of money over and above the bonus amount will have to be paid as attorneys’ fees by XTO. XTO initially offered
$10,000.00 but the Plaintiff has demanded significantly higher attorneys’ fees. Even the attorneys’ fees already offered by which will result in the Plaintiffs receiving more money, even after the attorneys’ fees and expenses have been paid, than they would have if XTO had simply honored their lease. Plus they get the lease SEACTX negotiated. The lawyers
believe they can accomplish the same for SFWA members. While no one can guarantee the same results, if the lawyers obtained an offer reasonably close to those already received in the first SEACTX case, it would appear that homeowners would receive almost 14x the amount that the gas companies are offering to lease our properties. The attorneys’ fee agreement provides a guarantee that at least 50% of the settlement, or in the above
case $7,500.00 or seven times (7X) what which the gas companies are presently offering. Of course, no one can guarantee the exact same opening settlement offer for every case, but the case does demonstrate that the companies may prefer to settle rather than go to court. The North Texas Lease Litigation attorneys filed the first Southwest Fort Worth Alliance
suit on February 18, 2010 and immediately received contact in response. It is also understood that once a mineral owner becomes a North Texas Lease Litigation client, the related industry companies are notified of such and that all correspondence and contact must be made to North Texas Lease Litigation attorneys and that the companies cannot contact the mineral owner/client directly; so North Texas Lease Litigation clients do not have
to deal with the companies and landmen from that point forward. To contact the North Texas Lease Litigation online go to www.ntxll.org or you can call (214)-760-6766; weekly meetings are held on Tuesdays from 4:00PM to 7:00PM at their Arlington office at Cordovan Business Park, 5850 West
I-20, Suite 240-B, Arlington, Texas 76017.
There is also a lot of talk about “Forced Pooling”, which the Southwest Fort Worth Alliance previously addressed. “Forced Pooling” or Rule 37 of the Texas Administrative Code’s Mineral Interest Pooling Act (MIPA) by way of the Texas Railroad Commission’s August 2008 “Finley” Decision, was explained previously and that information is still available on our
website at www.sfwalliance.org. By way of the Finley Decision, terms were not quite frightening enough to scare anyone into signing a poor lease
agreement. However, companies are now applying to do much the same under a different section of the Texas Administrative Code, but without having to reimburse mineral owners as determined by the Finley Decision. Recently companies have applied in some areas, for an exception to the 330 Foot Rule that dictates to mineral developing companies that they cannot drill within 330 feet of an unleased property’s property line. Essentially, if the Texas Railroad Commission allow this and find in favor of the company, the company will be able to legally violate the 330 foot rule, drain your minerals by “Rule of Capture” regardless of your being unleased, and not compensate you. This would be almost like legal property theft BUT in can
be fought. If you receive a letter indicating that a company has applied to “Force Pool” you or applied for exception to the 330 foot rule, in reference to your unleased property, you must protest by letter before the deadline stated in your notice; you’ll also have the right to appear or have someone appear for you in front of the Texas Railroad Commission in
Austin to protest the application in person. If you are a North Texas Lease Litigation client, it is understood that these attorneys will handle this matter for you and contacting them about the notice is advised.
If You Are Leased:
If you were able to sign the SFWA & Vantage/Caffey lease prior to October 14, 2008, it is our understanding that area companies are still in discussions to detail their partnership or relationship, as relative to their leaseholds, drill site locations, and interests and there is no news yet regarding commencement of drilling. There are some interesting ongoing
discussions between the industry and City Council, according to one company, related to proposed drill site locations in various neighborhoods. At this time, not enough is known about these locations and little information has been provided about the precise locations or the high impact issues and pipeline issues that could arise. The Southwest Fort Worth Alliance is working to communicate with the city and the industry to learnmore and information will be shared as it is available.
If you were leased with another company prior to the Southwest Fort Worth Alliance and Vantage Energy/Caffey Group lease, and your lease is expiring
and you’ve been contacted regarding renewing your lease or have received information by mail, you are advised to proceed with caution. If you receive a check and renewable lease by mail and cash that check, you may be committing yourself to the lease that came with the check or that is
referenced by an accompanying letter, without realizing it. One story relayed, a woman received a letter and a standard, unfavorable lease agreement, along with a check for $1.00; obviously an unfair offer for minerals. If she had deposited or cashed that check, even if she simply didn’t understand the situation, she may have found herself bound to a poor agreement for the low price of $1.00. Please use caution and ask questions. If your mineral lease is expiring and you aren’t happy with the offer you are receiving, you have the right to simply not lease again until a fair offer comes around. There is no hurry! Though gas prices are currently down, due in large part to overproduction and supply outweighing demand, industry and financial experts predict gas prices to rise in the future and eventually stabilize at an amount that will be profitable to the industry. Additionally, these companies ‘hedge’ their prices to ensure long-term profit. Keep in mind, that at the time the Southwest Fort Worth
Alliance was negotiating with the industry companies in the summer of 2008, all of these companies’ executives and negotiators informed that though the price of gas, at the time, was between $11.00 and $14.00, the companies base their economics on $7.00 gas; today, gas is between $4.50 and $5.00, climbing from fall 2009.
Most of you know that some unsettling issues have come up related to natural gas drilling and air quality; high levels of carcinogen chemicals have been found leaking from multiple well sites and compression stations. After an independent study in Dish, Texas by Wolf Environmental and a partially University outsourced study overseen by the TCEQ both found elevated Benzene levels at multiple locations, Fort Worth is now considering their own independent testing. The question is who will perform the tests and who will pay for the study. Gas Revenue has been suggested as the funding source but many feel our city’s revenue shouldn’t be taxed by issues caused by poor industry practice. However, most feel
the industry should not directly fund the study, as it could lead to biased oversight. Most citizens feel the city should fund the study, using open process to determine the agent performing the study, leaving the industry out of the discussions completely, and recoup city funds by imposing additional permitting fees on the industry. This is an important
issue, so please work toward being informed and vocal with City Hall.
OCTOBER 12th 2009 Southwest Fort Worth Alliance GAS LEASE UPDATE
On Saturday, November 7, 2009, beginning at 9:00 A.M. at the Fort Worth Convention Center, all Southwest Fort Worth Alliance residents can take part in a FREE Mineral Rights Leasing Forum called, “Know Your Rights”. Invitations to attend this forum are going out to multiple organizations and SFWA’s mineral owners will all receive an invitation soon, whether they have signed a lease or not.
View the Know your rights forum agenda HERE
The purpose of the forum is to provide everyone, including SFWA’s mineral owners, access to information on all aspects of mineral rights leasing and some of the secondary issues that arise from it. For more information regarding the NTLLG’s November Forum please visit their website at http://www.ntxleaselitigation.com
Please let your neighbors, family, and friends know that if they receive the letter, it is legitimate; we’ll also post a copy of the letter here on the alliance website. Please mark your calendars and save the date.
The forum is free, but if available parking fills up,
you may need to pay for parking, so you and your neighbors and friends may
want to carpool. Also, there is no childcare provided, so keep that in
mind if you have little ones.
It’s important that this information reaches everyone, so that we can all be informed on what’s happened to date, and of our rights now that the landmen and brokers are knocking on doors again. Please help spread the word. We'll See you there.
OCTOBER 7th 2009 Southwest Fort Worth Alliance GAS LEASE UPDATE
The Southwest Fort Worth Alliance (SFWA) has held
additional meetings to discuss the legal action filed by The North Texas
Lease Litigation Group (NTLLG) to find out more about the attorney fee
agreement and the parameters of the law suit.
After SFWA's initial meeting with the lawyers, at
which SFWA posed some questions and concerns regarding the attorney fee
agreement, NTLLG, hearing and understanding, significantly modified their
attorney fee agreement, addressing and relieving SFWA's concerns
Review a copy of the October 6, 2009 Power Point Presentation in PDF format. that NTLLG presented to SFWA Representatives.
Previously there was some confusion regarding the
wording and clarity or interpretation of the lawyers’ fees, what they were
entitled to, what they could do to negotiate on behalf of their clients,
and what clients would owe if the did or if they did not accept negotiated
The revised attorney fee agreement, among other
things, now does not indicate in any way that it gives power to these
lawyers to pursue or to negotiate on behalf of or in conjunction with any
property that you may have an interest in other than that for which you
are participating in the legal action; the fees are still set at 1/3 of
your recovery and actual pro-rata expenses related to your individual
suit, but now caps that at 50% of your total recovery so that you will be
certain to receive at least 50% of what the attorneys recover for you AND
is limited to the BONUS only and does NOT include any ROYALTY revenue & of
course if the lawyers are not successful in recovering, you owe them
nothing. If the lawyers
recommend a settlement and you do not accept it, they go back to the
drawing board and keep working to find a solution for you or if they find
rejection of the settlement or settlement expectations unrealistic and
remove themselves as your legal counsel, you will NOT owe them fees. The
lawyers’ primary position and purpose is to enforce the lease that was
already agreed to between all SFWA residents and Vantage Energy/Caffey
Group, not to negotiate a new lease agreement. For more information,
please contact NTLLG for details. http://ntxll.org/contact.cfm
It was significantly stressed to the SFWA that
our mineral owners’ claims will be heavily restricted if their suits are
not filed within the primary two year statute of limitations, which would
run out October 14, 2010 and that if we know members who are hoping to sit
back and wait until the first suits’ outcomes are public, that they may
end up unable to participate in a suit that would ultimately improve their
recovery or chance for recovery. Please keep this in mind.
If you have already signed the previously used NTLLG
attorney fee agreement, NTLLG has stated they will happily replace your
attorney fee agreement with the newly revised agreement; please contact
NTLLG to handle this matter.
Many SFWA member neighborhoods have already held
meetings at which NTLLG presented their members information about the law
suit filed and at which they answered mineral owners’ questions; many more
SFWA member neighborhoods have such meetings already scheduled, so keep an
eye out for details or contact your neighborhood association for more
SAVE THE DATE! You can learn more about your
rights, leased or unleased, as a mineral owner and can learn more about
the legal action filed by North Texas Lease Litigation Group, by attending
NTLLG’s FREE Mineral Rights Leasing Forum on November 7th; we’ll share any
details we learn about this forum as more information becomes available.
You can learn more about your rights, leased or
unleased, as a mineral owner and can learn more about the legal action
filed by North Texas Lease Litigation Group, by attending NTLLG’s FREE
Mineral Rights Leasing Forum.
SFWA urges all of our residents to consult with any
legal counsel that you feel comfortable with regarding your rights,
following the October 14, 2008 Vantage Energy/Caffey Group Leasing
AUGUST 13th 2009 Southwest Fort Worth Alliance GAS LEASE UPDATE
A New Development and Opportunity for Unleased
Mineral Owners of The Southwest Fort Worth Alliance
As many of you know, The Southwest Fort Worth Alliance
(S.F.W.A.) worked tirelessly in 2008 for all Alliance Member Neighborhood
Mineral Owners, in an effort to successfully lease 100% of our residents
seeking a fair, safe, and mutually beneficial natural gas lease.
Just when S.F.W.A. believed its work was done and that
we had achieved everything we'd set out to do, we all had the rug pulled
out from under us, when leasing was abruptly stopped without warning on
October 14, 2008.
Since that time, S.F.W.A. has been looking for answers
and solutions for our unleased mineral owners. We have also tried to
provide you helpful information that comes our way.
A new development is evolving that may be
exactly the right remedy to this unresolved issue for many of you.
You may recall that S.F.W.A. had Oil and Gas Attorney,
Mr. Chris Payne, with the law firm Riddle & Williams, PC assist us with
revisions to our natural gas lease agreement before the terms were
finalized with Vantage Energy last year.
Following Vantage Energy's decision to terminate its
lease signing program with S.F.W.A., Chris Payne has continued working on
behalf of unleased mineral owners. Chris recently joined with two other
law firms, Petroff & Associates and Mathis & Donheiser. Together these
three law firms are pursuing causes of action on behalf of unleased
mineral owners in our geographical area.
Less than one month ago, Chris Payne and Kip Petroff
met with The Southwest Fort Worth Alliance and informed that they would
consider representing unsigned S.F.W.A. mineral owners.
Chris Payne and Kip Petroff are willing to meet with
individual neighborhoods, with larger combined groups, or with individual
mineral owners to discuss their legal rights.
S.F.W.A. understands that there are no "upfront" costs
for legal representation for this purpose and that the lawyers only get a
fee if they are successful. S.F.W.A. cannot recommend a particular law
firm or course of legal action, but believes Mr. Payne and Mr. Petroff
seem committed to this project; their website certainly contains useful
information that you can read at no cost or obligation.
The attorneys have also obtained office space
at Cordovan Business Park, located at 5850 West I-20, Suite 240-B in
Arlington, TX. 76017, which they anticipate opening shortly. They will
only be available at that location for group meetings at pre-arranged
times, but they have indicated a willingness to accommodate all of our
members by holding numerous meetings there at various times during the
week and on weekends over the next few weeks.
Though The Southwest Fort Worth Alliance remains
neutral, officially supporting the mineral owners within our boundaries
and their interests alone, we are more than willing to facilitate metings
for its members, just as we have done for all interested parties who have
approached the Alliance. We wanted you to know about these developments
so members have the chance to meet Chris and Kip and ask questions
concerning your rights as a mineral owner. We are in the process of
setting up meetings with these attorneys in the next few weeks and we will
provide further information about the dates, times, and locations of such
In the meantime, please feel free to conduct your own
research, either independently or through the numerous resources provided
on the North Texas Lease Litigation Group's website at
APRIL 18th 2009 Southwest Fort Worth Alliance GAS LEASE UPDATE
IF YOU WERE NOT LEASED...
Unfortunately, not everyone was given the opportunity to sign the Alliance negotiated lease as guaranteed, or receive the Alliance negotiated and Vantage Energy / Caffey Group deal that was agreed to and publicly promised by the Energy Company. This was and still is very disappointing. The Alliance Neighborhood Leaders continue to meet, bi-weekly to discuss news, information, and strategies that will successfully complete this project for all of our Alliance residents. We will not disband until we have either seen every resident who wants a fair lease and offer satisfied or exhausted EVERY option. Let us know who you are and forward your contact information, so that we can keep you posted with our progress. The Alliance has continued to meet regularly through this 'down time' because we've known that the companies were continuing their work as well and we knew that eventually, leasing would pick up again and the Alliance believes that the market and offers will again improve with time. The Alliance is ready to pick up exactly where we left off, even if it takes the companies pursuing our mineral interests some time to catch up. It may take some time to get back to where we were in September of 2008 but there really is no hurry; the gas is still in the ground and will only become more valuable as time progresses and as 'green energy' becomes a more prevalent player among the fossil fuel industry. The long term value of your minerals outweighs the short term market fluctuations that you may be seeing at this very moment. Smart investors know that fossil fuels will only continue to be widely sought after and highly valued.
Current Offers Out There...
Many unleased mineral owners are being contacted again by brokers, Dale, Four Sevens, and Caffey Group. These brokers are offering Five (5) year leases at a very low bonus of only $2,750.00 an acre (only $687.50 to a quarter acre lot owner). This is only 10% of the $27,500.00 per acre bonus that The Alliance had negotiated; be careful not to be confused by these figures. The 20% to 25% royalty being offered by these brokers, is not only lower in some cases than that which was the previous standard, but also will be reduced by operational expenses that have been added back into the lease agreement. The fact that we are all seeing an increase in leasing efforts is a good sign that we are beginning to head back down the path that we had begun traveling together months ago. Though not everyone was able to reach our destination together before some of our group it a heavy road block; but the Alliance has no intention of leaving anyone behind and is doing everything we can to find a way around to help everyone reach a successful end to our journey together. Correspondence from brokers should be carefully read and reviewed and considered, just as before, and mineral owners should remember our goal from the start: to get the best deal we can. This is still our goal! Our unleased neighbors will need to work together now even more so than in the past. We may have been divided, but we are not conquered. With time and effort, and cooperation between our neighbors and neighborhoods, 'WE'LL all win!"
The lease agreement itself is nothing like that which the Alliance and Vantage Energy had agreed upon. The lease has been stripped of nearly every environmental, quality of life, and property rights protective clauses that were previously fought so hard for. Mineral owners signing this stripped down lease cannot expect that they will still be protected by the terms and conditions of the much stricter leases surrounding them; this is not true for personal property rights or royalty calculations. The Alliance has been informed by gas industry representatives, that Vantage Energy and Chesapeake Energy have more or less agreed to a 50/50 partnership and a joint drilling operation, with Chesapeake Energy being the primary Operator and further that it is Chesapeake who has required that the negotiated lease be altered for those signing after October 14th 2008, to fit Chesapeake's standard business practices, in order that these two companies move forward with their partnership.
The lease, bonus, royalty, and offer that is currently being sold by brokers in the area, is NOT endorsed by or supported by The Southwest Fort Worth Alliance. The Alliance will continue to seek every possible remedy for the unsigned mineral owners, who did not receive the 'deal' as agreed to and promised by the gas companies and will continue to share information as it becomes available.
Many of you have received a letter from brokers regarding "SIGNING PARTIES" to sign lease contracts for your properties' mineral rights.
These letters may also state that ONLY 10% of south Fort Worth residents have NOT signed a lease. Don't let this wording confuse you. South Fort Worth is a LARGE area and not specific to the Alliance nor to your neighborhood and most especially not relative to how many of your surrounding neighbors who might likely share pooling and drilling locations have or have not signed leases. The fact remains that in Alliance areas where signing events were not held, mineral owners remain largely unleased, just as they were in January of 2008 and just as they were in December of 2008. Broker statements may be confusing at times but do not let yourself become alarmed or frightened by vague or misleading statements. Some letters Alliance residents are receiving do not explain current offers in advance of attendance to these signing events, but typically brokers are attempting to sign mineral owners at one-tenth of the original bonus, something around $2,000.00 per acre and the lease agreement is a slightly modified producer-88 that does not protect your mineral interests, royalties, or property rights and allows the companies to deduct their costs from your royalties. Perhaps some of you are concerned with veiled threats of forced pooling. If you understand these industry terms as these brokers should, you may find that this 'threat' is not scary at all.
FACTS ABOUT 'FORCED POOLING
Some of you may be hearing a lot about "Forced Pooling". Many have reported to Alliance Neighborhood Leaders that brokers have approached you with the notion that "you can either sign the lease or be forced into a pool and you'll receive a bill for your portion of the expenses to drill". This simply is NOT true but is a twisted exaggeration of facts meant to scare you into signing the stripped down lease that is being presented to you. Knowledge is power and the Alliance wants you to have the facts so that you can make an informed decision.
Let's clarify the facts about Forced Pooling.
As it turns out, Forced Pooling, compared to the current leases being offered, isn't such a bad deal. In fact, it outweighs current offers, both financially and in terms of property and auditing rights, hands down.
How can something that's been made to sound so frightening be a good deal you ask? Simple, It's a good deal that is being made to sound frightening so that it is ruled out and removed from the equation. Through reading and research, the following facts were discovered.
Forced Pooling, which is also referred to as Rule 37 of the Mineral Interest Pooling Act (MIPA) of the Texas Natural Resources Code; Chapter 102, was established by the Texas Railroad Commission in 1965 for reservoirs discovered after 1961. It gave severely limited parameters for forced pooling; and there is NO compulsory unitization in Texas. Rule 37 was established as a protective tool and measure to "prevent waste", and protect "correlative rights" of owners in a common reservoir. So, if an operator lacked the necessary acreage to comply with the rules established by the Texas Railroad Commission in the 1930's, which dictated well spacing and density, the operator had to voluntarily pool additional tracts or leases to form a single unit in compliance with the applicable spacing regulations. This rule has served as a protective measure for mineral owners refused from participation in encroaching pooled units; the owners of un-pooled property who wished to be voluntarily pooled, have been historically successful by filing an application under this rule to be included in an operator's pooled unit. There are additional regulations and mandates associated with this Rule that further enforce it as well.
Only ONE Application filed by an Operator requesting Forced Pooling has ever been successful and this took place in August of 2008 and involved East Fort Worth mineral owners near to downtown. There are mitigating factors to this decision that are dissimilar to persons in our situation here.
According to the Fort Worth Star Telegram, Finley Resources, later joined by Chesapeake Exploration, Dale Properties and Dale Resources, had leased 89.616 acres of 96.32 acres that expanded over 300 separate properties. Finley Resources applied for Forced Pooling in 2007. The Texas Railroad Commission's review process took more than one year. Commissioner's Jones and Carrillo favored the Finley application. Commissioner Michael L. Williams disagreed and voted against it. Mineral owners in this case did not receive a bonus, however they were granted not only a 20% royalty (like that being offered by brokers now) but additionally a full 100% Working Interest Ownership of the remaining 80% of their mineral production after their proportionate shares of drilling expenses were deducted from their 80% Working Interest profits. According to the Fort Worth Star Telegram, Lawyers estimate that these owners, forced into a pool, may see as much as a full 60-65% of the value of production for their properties. Once expenses are covered, these Working Interest Partners will see a full 100% of their mineral interest. Mineral owners forced into a pool have another advantage in that they have not signed away any property or other rights through a lease that is written to favor the operator and so have greater oversight and control over what takes place on and to their own properties and over review of financial records. Perhaps you have been told by a broker, that so many costs and deductions will be taken from your Working Interest return that you won't see more than a few dollars. As a Working Interest Partner in Texas, you would in fact have greater financial auditing oversight than persons signing the currently offered leases and any unlawful or excessive deductions could be located and mitigated as a result of an audit. The outcome of Forced Pooling in the above Railroad Commission case IS financially and 'contractually' superior, when compared to the bonus, royalty, and contractual terms currently being offered in our area by brokers now.
What makes this case different from our own is that of the less than 30 property owners covering less than 7 acres involved in this case, all but one could not even be located and none of the affected property owners ever appeared before the Texas Railroad Commission in opposition. The TX RRC was very clear that these unleased had to have been given the same fair offer as their surrounding neighbors. Clearly this was not a situation of 'bait and switch', as we are witnessing here in our area and the number of unsigned mineral owners within our Alliance far surpasses the numbers who were Force-Pooled in the above case. TX. RRC Commissioner Williams, who regardless believes this decision violates original intent and property rights, has stated, "It's my hope that if we see this again the commission will deal with it on a case-by-case basis and we will handle it with a bit more caution and care than we did with this one." Forced Pooling IS NOT A SURE THING! Some lawyers disagree that a mineral owner forced into a pool should ever be required to pay expenses or would ever be legally required to shoulder liability.
Perhaps you have recently received correspondence from a broker that leads you to believe that you fall into a small ten percent (10%) of unleased mineral owners in your area. This simply is not true for all those receiving such information. In truth, the threat of being left in the 10% unleased group is not much of a threat at all, as you should have read above, but further, carefully read such statements again; South Fort Worth, for example, is much larger than just 'your neighborhood' and could be interpreted to include all of District Six or even anything South of the TCU area. Further, such statements should really only apply to unitized pooled haloes and suggesting anything broader is relevant, is misleading to say the lease.
DON'T LEASE OUT OF FEAR OR FRENZY - YOU HAVE OTHER OPTIONS! CONTACT S.F.W.A. Don't buy the broker line that your only options are to sign or be forced into a pool. There are multiple options available to our residents seeking to successfully and satisfactorily resolve this matter. Details about additional options will be forwarded to our unsigned residents shortly.
Ask yourself this question: Why give something of value away when it is at its lowest value? You wouldn't sell your home when the market was at its worst, unless you absolutely had to would you? Persons who dabble in the market know that natural gas futures are already projected to increase in value and that fossil fuels, amidst a greener energy market increase, will only become more valuable. You've waited this long, why hurry all of a sudden, when there is no real incentive to do so?
Your ELECTED Texas Railroad Commissioners are Elizabeth A. Jones, Victor G. Carrillo, and Michael L. Williams. The Texas Railroad Commission's main office address is: 1701 North Congress in Austin, Texas 78701 and you can call your Commissioners' offices at 1-877-228-5740. You can also forward comments and concerns online at: http://www.rrc.state.tx.us.
IF YOU WERE LEASED...
For those of you who were successfully leased prior to the October 14th 2008 cessation, again, congratulations! As far as Alliance Neighborhood Leaders have been informed by Vantage Energy /Caffey Group and our residential and business property owners, every draft issued was paid with only a few exceptions due to various legal issues. The Alliance was pleased that these drafts were honored and that these leases were legally executed as previously agreed to by Vantage Energy / Caffey Group and The Southwest Fort Worth Alliance.
TO RECEIVE A COPY OF YOUR SIGNED EXECUTED LEASE...
For those of you who have been leased, but have not already received an exact photo copy of your signed and executed gas lease contracts, The Alliance STRONGLY suggests that you contact Caffey Group, by certified letter, requesting a copy of your lease. The lease that you signed is a legally binding contractual agreement between yourself and another party and you SHOULD have a copy of this document for your own files and future reference. Sending a request for a copy of your lease should be simple and uncomplicated. You may send your certified letters to: Caffey Group, 309 West 7th Street Suite 1300, Fort Worth, TX 76102.
An example letter may be:
To Whom It May Concern:
I signed a Lease Agreement with Caffey Group on (DATE) for my property located at (GIVE THE LEASED PROPERTY ADDRESS) and have not received a copy of this same signed and executed lease, as was promised. Please, immediately forward to me an exact copy of my signed and executed lease agreement with Caffey Group at (YOUR PREFERRED ADDRESS).
(YOUR NAME & MAILING ADDRESS)
January 2009 Southwest Fort Worth Alliance GAS LEASE UPDATE
The Southwest Fort Worth Alliance wishes to remind Alliance Neighborhood residents that the Alliance Neighborhood leaders continue to meet, as before, on a regular monthly basis to discuss all possibilities and resolutions surrounding mineral leasing within Alliance boundaries.
Despite the most disappointing Vantage Energy / Caffey Group suspension of leasing within Alliance boundaries, at the financial rates promised and agreed upon in early September of 2008, Alliance leaders continue to work toward the completion of the Southwest Fort Worth Alliance Project with a company who will honor the same or similar lease terms as were satisfactory pre-suspension.
Many unleased mineral owners are beginning again to receive offers from brokers. These offers include a simple producer-88 lease agreement, which lacks the mineral owner protective clauses that were previously negotiated for our Alliance residents and further includes deductions for corporate costs from the mineral owners' royalties; additionally these offers provide very low bonus figures that net little more than a few hundred dollars to mineral owners.
Residents, who have chosen to include themselves in the Southwest Fort Worth Alliance, know from neighborhood presentations, as well as from city, local, and in some cases national news, the substantial possible dangers to their property rights, which can result from a standard producer-88 lease agreement. Therefore, The Southwest Fort Worth Alliance takes the position that any agreement offered to mineral owners, which is not mutually beneficial and protective to residents, is inadequate and simply put, not a good deal. If a few hundred dollars for a poor lease agreement was not a good deal one year ago, it certainly is not a better deal today.
Currently, economic and political issues are affecting everyone, including corporations. However, if anything is certain, it is that all things will always change. It is unlikely that the lending market and natural gas market will remain in their currently depressed states. It is the Alliance leaders' hope and belief that as political climates calm and economic stimulus increase, the natural gas market will again find its equilibrium. Once this takes place, the Alliance hopes to continue forward, seeking the best possible deal for unsigned mineral owners.
The Southwest Fort Worth Alliance's position at this time is to continue to wait to sign. Alliance leaders strongly urge unsigned mineral owners to continue to wait for a better deal than that which is being offered at the moment. Alliance leaders will continue to watch the markets, the news, and the operations of the brokers and gas companies in our area and will keep you informed of new developments and possibilities as such surface.
Thank you for your patience and understanding as we all look to the future for the most successful outcome for the completion of this process.
OCTOBER 22nd 2008 Southwest Fort Worth Alliance GAS LEASE UPDATE
The Southwest Fort Worth Alliance is deeply disappointed in the events that have unfolded in the last week. Although many of our neighborhoods were scheduled by Caffey Group to sign leases and receive drafts on behalf of Vantage Energy, many more were not permitted to sign their leases before Vantage unilaterally and prematurely ended its lease acquisition program.
The Alliance received its first contact with Vantage Energy in early August and soon after met with Vantage Energy's CEO and Vice President to discuss specific Alliance Lease goals including a competitive bonus, a no cost royalty, and contract provisions to protect our residents air quality, properties, safety, environment, and quality of life. Alliance Appointees specifically inquired whether Vantage Energy was financially capable of funding and completing this project with its current operating budget. Vantage unequivocally assured the Alliance it was capable of funding the project. Had it not given such assurances, the Alliance would not have pursued further negotiations.
Soon thereafter, the Alliance received Vantage Energy's Memorandum of Understanding which contained the offer to lease. The Alliance accepted the offer, and announced its endorsement of Vantage Energy to Alliance member neighborhood residents. Caffey Group held the first Vantage/Caffey signing event on September 11th.
On October 14th Alliance Leaders were called into an emergency meeting with the CEO and Vice President of Vantage Energy from three to five o'clock at which the Alliance was informed that Vantage Energy had lost financial backing needed to complete the SFWA project and that Vantage would have to cease leasing at this time. Vantage's CEO committed verbally at the meeting and further in writing, through a letter that was presented to the Alliance and to Fort Worth media that Vantage would honor all leases and pay all drafts taken through October 14th. Vantage's Vice President confirmed this commitment to the Fort Worth media the following morning.
Alliance leaders, on the drive home from this Vantage Meeting, received calls reporting that an influx of residents were arriving at the ongoing signing event. Alliance leaders arrived at the church to do whatever could be done, including helping to pull files to speed the leasing process and answer residents' questions. Certainly, any neighborhood leaders who informed their residents of the news did so to protect those whom they represented, hoping that their residents would be able to sign that evening before the leasing suspension. Though these leaders' protective actions were not largely rewarded, their decision to inform their residents of what they had learned from various sources, showed loyalty and good faith.
The Caffey Group has estimated that our twenty-five neighborhood associations, comprised of over eight thousand acres, held a potential for as many as twenty-four thousand Leases. Of those twenty-four thousand leases, it is estimated that approximately nine thousand leases were taken by other companies prior to SFWA's signing events. Approximately four thousand leases, from nine scheduled member neighborhoods, were taken by Caffey Group on behalf of Vantage Energy between September 11th and October 14th. It would appear that as many as another eleven thousand members were not given the opportunity to sign the lease the Alliance negotiated.
The order in which the neighborhood associations were scheduled to sign was completely at Vantage Energy and the Caffey Group's discretion.
Alliance leaders could not be more displeased or disappointed with what has transpired and the Alliance is continuing to work for those affected by this turn in events. Of course residents are just as disappointed. This same shared disappointment for volunteers and organizers of the effort, is compounded by concern for the interests of so many, by the countless hours (as many as twenty or forty hours a week) of research, reading, meeting after meeting, wee-hour working, neighborhood walking and flyering, and answering an incredible number of phone calls and emails, for months and months. Your neighborhood leaders have done more than you could possibly imagine and probably more than they could possibly remember, in an effort to aid their neighbors and community.
The Alliance is not dissolving, not giving up, not throwing in the towel; you cannot lose if you do not quit. No Alliance member neighborhood is completely signed; all of the Alliance neighborhoods have a vested interest in moving forward and continuing to work this issue. Please consider:
NOTE: The gas is still in the ground; energy markets and prices and the economy in general are always volatile and fluctuate during an election year; winter is coming and gas prices rise in the winter.
Gas companies in general, according to Vantage Energy's statements to the Alliance, base their economics on $7 gas prices; we are only just under that price and hope this will improve and stabilize again.
Vantage Energy has committed to honor leases for and pay drafts on the already four thousand signed properties. Caffey Group should issue payment to your bank within 30 banking days (not calendar days and not including bank holidays) from the date that Caffey Group's bank received your draft by mail from your bank (not from the date your lease was signed and not from the date that you deposited your draft). You should be able to call your bank to find out when your bank mailed your draft to Caffey Group's bank. The first round of draft pays should hit banks between October 31st and November 7th. The final round of draft pays should hit banks between December 5th and December 12th.
The Alliance has been informed that other brokers for other gas companies are already calling property owners, signed or not, to work deals for very very low bonuses of as little as $2K-$5K per acre and a modified Producer-88 Lease that does little to protect mineral owners' interests. If you have already signed a lease, you should consult with legal counsel to determine whether to sign a second lease before the legal expiration of the first lease signed. Texas is a lease race state, meaning that you could jeopardize your mineral owner protective lease and your $27.5K per acre bonus if you sign another less protective and lower bonus lease now with another company out of fear.
The Alliance has already met in the wake of the events that have transpired and will continue to meet every other week in order to communicate and provide members with additional information about their rights and their alternatives. The Alliance is looking at all possible options. We feel that if a producer biased lease and as little as $2K-$5K per acre bonus with company cost deductions from your royalties was not appealing to you six months or one year ago, it shouldn't be any more appealing to you now. The Alliance volunteers, through bi-weekly meetings will continue to work for you to find answers and options and will notify you as things begin to pick up. As we learn more we will passed it on. Please stand by!
OCTOBER 15th Southwest Fort Worth Alliance GAS LEASE UPDATE
Vantage Energy called an emergency meeting with members of the Southwest
Fort Worth Alliance on Tuesday October 14th at three o' clock.
At the meeting, Alliance Leaders were informed that due to current
economic and other related gas market failures, Vantage Energy would be
unable to complete The Southwest Fort Worth Alliance project.
Vantage Energy stated that they would honor and pay on all Leases signed
and issued through October 14th, but that they would not be able to
complete the leasing of unsigned properties due to significant withdraw of
funds from their financial backers.
Signings for The Southwest Fort Worth Alliance have been suspended at this
For those who have already signed leases and received their drafts, we are
operating under the promise from Vantage that they WILL honor those leases
and pay those drafts.
For those of you who have not signed yet, The Southwest Fort Worth
Alliance is working to do everything in our ability to find answers for
Alliance leaders are in contact with Caffey Group and other local companies to examine our options. The Alliance is working to find
alternative means of righting this situation. Please be patient with your
neighborhood leaders and know that they have done all that they could, in
good faith, to selflessly help their community. This situation, caused by
global economic failures, was unexpected and outside of their control.
As soon as we have more information, we will make it available.
You may read the Vantage Letter received in regards to this situation by
clicking the following link: http://www.sfwalliance.org/VantageEnergyLetter.pdf
OCTOBER 14th Southwest Fort Worth Alliance GAS LEASE UPDATE
SWFA recieved correspondence from Vantage Energy today that states the following:
"Due to the market turmoil, combined with the drop in natural gas prices, it is no longer possible for Vantage Energy to lease acreage on a broad scale in the Southwest Fort Worth Alliance area at the current terms being offered."
The alliance is working to post a copy of the complete letter received from Vantage Energy, and will have more information for you soon.
MORE OCTOBER 2009 SCHEDULED SIGNING EVENTS:
South Hills Gas Group
Saturday, October 11th -
Anytime between 9:00 AM - 4:00 PM.
Tuesday, October 14th -
Anytime between 2:00 PM - 8:00 PM.
NOTE: Residents who have not signed a Lease from the
following Neighborhood Associations are also invited to attend any of the
above and all future signing dates:
Overton South Neighborhood Association.
Wedgwood Square Neighborhood Association.
Foster Park Neighborhood Association
Wedgwood Central Neighborhood Association
Wedgwood West Neighborhood Association.
Wedgwood Middle Neighborhood Association
Westcliff Neighborhood Association
Westcliff West Neighborhood Association
ALL future scheduled signing events for all SFWA member neighborhoods will be listed here online as they are scheduled.
Signing Events will take place at:
Southcliff Baptist Church
4100 SW Loop 820 76109 | 817-924-2241
If you cannot attend during your scheduled signing event OR if you are unable to leave your home in order to attend and sign, you may attend any following Vantage Energy Signing Dates as will be listed here online, OR you may contact Caffey Group for an in home appointment.Contact Cafey Group by calling 817-348-9766 or online at http://www.caffeygroup.com
Residents from neighborhoods that have not yet been scheduled, called upon, and notified to attend signing dates and to sign, who regardless go to a posted signing event, may not be accommodated. As there are 24,000 Leases within The Southwest Fort Worth Alliance project, and each property must have preparatory documentation researched in advance and available on site at the time of signing, residents attending meetings before their neighborhoods are notified, will experience an extended wait and may not be accommodated, as their legally required documentation may not be available or obtainable and on hand at meetings, which are scheduled for other Neighborhood Associations. Please assist The Alliance and your fellow Alliance Members by observing the schedule and patiently waiting for your neighborhood’s dates. Vantage Energy/Caffey Group and the signing events are moving very quickly and in just a few short weeks, a quarter of our groups have already been called upon to sign. No one will be left out and all residents within Alliance boundaries will soon be called upon to attend signing events.
For More Information about Vantage Energy visit online at http://www.vantageenergy.com
WHEN YOU SIGN:
Please take a moment to
1. Verify that the lot calculation listed on your Exhibit A includes your interests to the centers of the streets abutting your home.
2. Verify that an additional $50.00 has been included in your draft payment that is intended to cover any draft fees that your bank may impose.
WHAT SHOULD I BRING TO SIGNING EVENTS?
1. Turn in your I'm Waiting sign.
2. Every listed legal mineral interest holder must sign the lease agreement. Therefore, both married partners who own interests must attend and/or sign OR if you and other family members or business partners jointly manage and own interests, you must all attend and/or sign the lease agreement.
3. Your legal I.D., such as your drivers' license.
4. If subject to a recent divorce decree or property settlement, bring a copy of the divorce decree and/or property settlement agreement.
5. A copy of your property's CERTIFIED plat or an original or recent CERTIFIED survey (plats and surveys must be certified).
6. A copy of your Tarrant County property tax receipt (if it lists your lot size).
7. Documentation of your lot calculation, as may have been received from other companies making offers.
8. You will receive payment for easements and to the center of all common properties.
9. If you are unsure if you own your mineral rights, know that Vantage Warrants Title, freeing you of any obligation to do so.
10. If you think you may have already signed a mineral lease agreement, bring a copy of that agreement with you to the meeting to help to determine if you have already legally leased your minerals or not.
11. It is unlawful to knowingly sign a mineral lease agreement if you have already leased your minerals to another party.
Verify Tarrant County's Calculation of Your Lot Size:
View the Power Point Presentation from SFWA's Informational Meetings:
View a PDF of the SFWA Negotiated Vantage Energy/Caffey Group Lease: http://www.sfwalliance.org/SFWA_Vantage_FINAL.pdf
SEPTEMBER 16th Southwest Fort Worth Alliance GAS LEASE UPDATE
Wedgwood Square Neighborhood Association residents have been scheduled to sign their Vantage Energy/Caffey Group Leases this week.
LAST NAME A-N
Wedgwood Square NEZ residents who's last names begin with A through N may attend to sign Thursday September 18TH 2008 anytime between 2:00PM and 8:00PM. If you cannot attend this day, you may attend any following Vantage Energy Signing Date as will be listed online at http://www.sfwalliance.org or you may contact Caffey Group for an in home appointment. Contact Cafey Group online at http://www.caffeygroup.com or call (817) 348-9766
LAST NAME O-Z
Wedgwood Square NEZ residents who's last names begin with O through Z may attend to sign Saturday September 20TH 2008 anytime between 9:00PAM and 4:00PM. If you cannot attend this day, you may attend any following Vantage Energy Signing Date as will be listed online at http://www.sfwalliance.org or you may contact Caffey Group for an in home appointment. Contact Cafey Group online at http://www.caffeygroup.com or call (817) 348-9766
Overton South Neighborhood Association Residents are also invited and welcomed to sign at the above dates and times.
Signing Events will take place at
Southcliff Baptist Church
4100 SW Loop 820 76109 | 817-924-2241 http://www.southcliff.com
SEPTEMBER 13th Southwest Fort Worth Alliance GAS LEASE UPDATE
SIGNING EVENTS THIS WEEK:
Overton South Neighborhood Association, the first Southwest Fort Worth
Alliance's 25 member neighborhoods to sign, is scheduled for the following
Monday September 15th 2PM-8PM
Tuesday September 16th 2PM-8PM
Signing Events will take place at Southcliff Baptist Church
4100 SW Loop 820 76109 | 817-924-2241 http://www.southcliff.com
For more information visit:
http://www.caffeygroup.com or call (817) 348-9766
WHEN WILL I SIGN?
Caffey Group will contact you, on behalf of Vantage Energy with the
specific date and time that your property is scheduled to sign. These
companies realize that people travel and must adhere to their own
schedules and should you be unable to attend on your scheduled date,
alternative arrangements will be made; you will NOT be left out.
WHAT SHOULD I BRING TO SIGNING EVENTS?
Turn in your I'm Waiting sign. Every listed legal mineral interest holder
must sign the lease agreement. Therefore, both married partners who own
interests must attend and/or sign OR if you and other family members or
business partners jointly manage and own interests, you must all attend
and/or sign the lease agreement. Bring legal I.D., like your drivers'
license. If subject to a recent divorce decree or property settlement,
bring a copy of the divorce decree and/or property settlement agreement.
If you have such documentation, bring a copy of your original survey, as
attached to your property's purchase contracts and documents, or any
recent survey. Bring your Tarrant County property tax receipt, to verify
your legal lot size. You will receive payment for easements and to the
center of all common properties. Paperwork showing your lot calculations
by Carla/Dale for your own verification. If you are unsure if you own your
mineral rights, know that Vantage Warrants Title, freeing you of any
obligation to do so. If you think you may have already signed a mineral
lease agreement, bring a copy of that agreement with you to the meeting to
help to determine if you have already legally leased your minerals or not;
it is unlawful to knowingly sign a mineral lease agreement if you have
already leased your minerals to another party.
INFORMATIONAL MEETINGS (NOT SIGNING EVENTS)
The following Informational Meetings (NOT SIGNING EVENTS) have been scheduled by your neighborhood leaders, please attempt
to attend on your neighborhood's designated meeting night. If you cannot attend an Informational meeting, please view the power point presentation here online. A PDF of the Vantage Lease is also available here online.
Monday September 15th 7:00PM Southcliff Baptist Church
For the following Neighborhoods:
Overton South Neighborhood Association
Wedgwood Neighborhood Association
Wedgwood East Neighborhood Association
Wedgwood Square Neighborhood Association
Monday September 22nd 7:00PM Southcliff Baptist Church
For the following Neighborhoods:
South Hills Gas Group
Tanglewood Park Town Homes
Monday September 29th 7:00PM Southcliff Baptist Church
For the following Neighborhoods:
Meadows of CandleRidge
Summer Creek Meadows
Summer Creek Ranch
Summer Creek South
Trail Lake Estates
Villages of Sunset Pointe
The Following Neighborhoods have already held INFORMATIONAL MEETINGS & will be notified of their signing event dates shortly:
Foster Park: Sept. 8th
Overton Woods: Sept. 11th
Wedgwood Central: Sept. 8th
Wedgwood Middle: Sept. 8th
Wedgwood West: Sept. 8th
SEPTEMBER 10th Southwest Fort Worth Alliance GAS LEASE UPDATE
To review a copy of the power point presentation as is given at SFWA's Informational Meeting, please follow this link: http://www.sfwalliance.org/SFWASept6.ppt
SEPTEMBER 9th Southwest Fort Worth Alliance GAS LEASE UPDATE
To review a copy of the Vantage Energy / Caffey Group Lease endorsed by the Southwest Fort Worth Alliance, please follow this link: http://www.sfwalliance.org/SFWA_Vantage_FINAL.pdf
THE SOUTHWEST FORT WORTH ALLIANCE & VANTAGE ENERGY
The Southwest Fort Worth Alliance (SFWA), Vantage Energy, and Caffey Group are pleased to announce the Southwest Fort Worth Alliance’s acceptance of Vantage Energy’s proposed and accepted offer and lease and that Vantage Energy is the Alliance’s preferred and endorsed Natural Gas Developer.
Vantage Energy has won the bid for endorsement of The Southwest Fort Worth Alliance’s twenty five member neighborhoods, with an initial three year term bonus offer of $27,500.00 and an optional two year term for a matching $27,500.00 per acre.
The Southwest Fort Worth Alliance’s experience, negotiations, and discussions with Vantage Energy were based upon considerable mutual respect, surprisingly open and honest discussions, and Vantage Energy and Caffey Group were gracious and pleasant at every interval.
Vantage Energy’s willingness to work with community leaders, to truly address the concerns for the safety and preservation of our neighborhoods and environment was exactly what The Southwest Fort Worth Alliance was seeking in a natural gas development partner.
Vantage Energy, singularly, met SFWA’s expectations and needs with regard to fair lease terms; making Vantage’s offer not only superior to other bids received from a financial perspective, but also in its considerate provisions addressing terms, rights, safety and environment. The Vantage Energy Lease will limit drilling from the surface to 100 feet below the base of the Barnett Shale and will only include oil and gas and associated hydrocarbon mineral development, explicitly excluding other minerals and geothermal energy and potable water. The Lease also includes an explicit No Surface Use Agreement, implicitly awards a minimum payment of $1,000.00 for any future high impact waivers, provides noise abatement standards beyond ordinance, pays subordination agreement expenses when such are required by the operator and generously agrees to pay subordination expenses above $250.00 to cap the expense to the mineral owner when the mortgage lender requires such agreement and costs. Vantage will warrant title, will shoulder one-way indemnity freeing mineral owners from any and all liability concerns, will utilize the most modern equipment including electrical or clean burning fuel equipment wherever it practically can do so, will odorize the gas where practical, and will completely house compressor stations when compressor stations are required. Vantage also agreed to avoid truck traffic on any residential roads to the greatest extent possible, but will not operate any trucks on residential roads between nine o’clock at night and nine o’clock in the morning if a residential road must be used. Vantage further includes additional considerations for mineral owners within 1,000 feet of specific types of operations.
Among the other above and beyond concessions, the agreed 23% true no cost royalty interest and revenue to mineral owners, will be free of any and all typically deducted, constantly rising costs including third party transportation or market enhancement costs, and will only be deducted proportionate, applicable taxes as governed and mandated by law.
The following neighborhoods are CONGRATULATED in receiving Vantage Energy’s/Caffey Group’s Superior Offer:
Signing Events Begin This Week and residents will be contacted with their scheduled date.
Hallmark Camelot Highland Terrace
Meadow Creek South
Meadow Creek Southgate
Meadows of Candleridge
South Hills Gas Group
Summer Creek Meadows
Summer Creek Ranch
Tanglewood Park Homes
Trail Lake Estates
Villages of Sunset Pointe
Wedgwood Square N.E.Z.
For more information or to contact The Southwest Fort Worth Alliance, Vantage Energy, or Caffey Group visit:
SEPTEMBER 7th Southwest Fort Worth Alliance GAS LEASE UPDATE
Due to technical complications, posting data-related presentations related to the Alliance's lease agreement with Vantage have been delayed. We are working to remedy this as quickly as we can. Continue checking for this information as it will be available as soon as our technical difficulties are resolved. Thank you for your patience and understanding.
AUGUST 31st Southwest Fort Worth Alliance GAS LEASE UPDATE
INFO. MEETINGS & SIGNING EVENTS
Are proud to announce the following September Informational Meetings and
Signing Events to be hosted by Caffey Group, who represents Vantage Energy, the SFWA endorsed natural gas company.
Meetings are tentatively scheduled to begin on Tuesday, September 9,
2008. Meetings will continue through September on the following dates:
*SEPTEMBER* TUESDAYS/THURSDAYS/SATURDAYS 9th 13th 16th 18th 20th 23rd
25th 27th & 30th
HOW WILL I KNOW WHICH MEETING TO ATTEND?
You will be contacted by Caffey Group, on behalf of Vantage Energy and The
Southwest Fort Worth Alliance, with the specific date and time that your
property is scheduled for. These companies realize that people travel and
must adhere to their own schedules and should you be unable to attend on
your scheduled date, alternative arrangements will be made; you will NOT
be left out.
WHAT DO I NEED TO BRING WITH ME TO THE MEETINGS?
**Every listed legal mineral interest holder for your property must sign
the lease agreement. Therefore, if you are married and both own interests
you must both attend and/or signs OR if you and other family members or
business partners jointly manage and own the mineral interest of your
property, you must all attend and/or sign the lease agreement.
**Bring legal identification, such as a drivers' license.
** If you have such documentation, bring a copy of your original survey,
as attached to your property's purchase contracts and documents, or any
**Bring your (TAD) Tarrant County property tax receipt, that verifies your
legal lot size; YES you will receive payment for easements and to the
center of all common properties.
**If your property is subject to a recent legal divorce decree or property
settlement, bring a copy of the divorce decree and/or a copy of the
property settlement agreement, when applicable.
**If you are unsure if you own your mineral rights, know that Vantage
Warrants Title, freeing you of any obligation to do so.
** If you think you may have already signed a mineral lease agreement, you
may bring a copy of that agreement with you to the meeting to help to
determine if you have already legally leased your minerals or not; it is
unlawful to knowingly sign a mineral lease agreement if you have already
leased your minerals to another party.
For information to assist in verification of your Tarrant County appraised lot size, please visit and review Tarrant County's records at:
August 29th Southwest Fort Worth Alliance Gas Lease Negotiation Status Update
CONGRATULATIONS TO ALL SOUTHWEST FORT WORTH ALLIANCE NEIGHBORHOODS AND
INFORMATIONAL MEETINGS & SIGNING EVENTS Will begin Saturday September 6th.
Look for coming schedules of all of these meetings, to be hosted by Caffey
Group, on behalf of Vantage Energy. Caffey Group represents Vantage
Energy, the SFWA endorsed natural gas company.
Would like to help introduce natural gas developer Vantage Energy, LLC.
Vantage Energy was formed by Roger Biemans, former President of EnCana Oil
& Gas (USA) one of the largest national natural gas developers, and Tom
Tyree, former Chief Financial Officer for Bill Barrett Corp. a significant
natural gas and crude oil developer in the Rocky Mountain Region of the
USA. Vantage is funded by three large and well-known O&G private equity
investors including Carlyle Riverstone, Quantum Energy Partners, and Lime
Rock Partners. Vantage focuses its efforts and technical expertise on gas
resource plays, onshore the lower 48 states of the USA. Vantage is
involved in operations of more than 200 wells on over 60,000 acres in the
western counties of the Barnett Shale and is involved in several urban
projects in Tarrant County. Vantage's dealings with The Southwest Fort
Worth Alliance has been based upon Vantage's own philosophy of open and
honest communications; truly reflecting the considerations of the
community's environmental and safety concerns to develop minerals for
royalty owners in a less disruptive and reasonable manner that enhances
the value of the minerals to royalty owners; offering the community a
bonus rewarding and worthy to an organization this size; and offering a
royalty truly free of any and all costs, outside of government mandated
Caffey Group is headed by Mark Caffey, born and raised in Arlington TX.
Mark Caffey has nearly thirty years of experience in natural gas
development. Caffey Group has interests in all of the major Natural Gas
Shale Plays including the Barnett Shale, as well as the Marcellus Shale,
the Haynesville Shale, and the Fayetteville Shale. Caffey Group has
interests in more than 300 wells in the Barnett Shale Play. Caffey Group's
philosophy is to bring small town ethics to large urban plays in a hope to
aid in the mutually beneficial relationship between the landowner and the
Just as was predicted, many of you are receiving contact from other
companies & their brokers. Many of the statements being made are not
IT IS IMPORTANT THAT YOU KNOW THE FOLLOWING:
*Vantage Energy has every intent & quality necessary to develop minerals;
it is what they do.
*NO natural gas developer holds exclusive development rights.
*Vantage Energy & Caffey Group are currently negotiating & closing on
parcels of land for the purpose of drilling NOW. These locations are
currently undisclosed, in an effort to preserve their purchase & use. You
will be informed of their locations shortly.
*Even Chesapeake, with it's one "Pancho's Drill Site" cannot reach all of
Wedgwood or The Southwest Fort Worth Alliance. As drilling cannot truly
reach beyond 5,000 feet in any direction from any one drill site, it will
take multiple drill sites for any company to develop all of the minerals
in our boundaries.
*Vantage Energy has included an actual NO SURFACE USE clause in their
contract, agreeing that any surface use will be discussed with property
owners on a case-by-case basis, through individual negotiations &
agreements & by separate signed contract.
*Vantage has agreed to work with the neighborhoods & the City to develop a
very low impact pipeline plan that is the least disruptive to residents.
*No other company has agreed to share their pipeline plan, nor their
future drill site locations with the Southwest Fort Worth Alliance.
*Vantage Energy's mode of operations is to lease in areas where they win
the neighborhood associations' & organizations' endorsement rather than to
seek leases one at a time.
*Vantage Energy agreed to Warranty all Title, at their own risk & was
willing to begin signing events ASAP. The other companies informed SFWA
that they wanted at least 30-45 days from acceptance to begin signings.
*The VAST MAJORITY of the property within SFWA's boundaries is NOT leased
*If a lease you receive is NOT a CAFFEY GROUP lease with a CAFFEY GROUP
heading, it is NOT the Neighborhood or Alliance endorsed lease.
*SFWA's spokesperson owns ONLY her home's ½ acre lot & NO OTHER additional
SFWA urges you to do what you've done so well & so successfully for the
last months, wait to sign & attend the neighborhood's informational
meetings to hear all of the exciting & rewarding details of the agreement
that your neighbors & volunteers have worked diligently to achieve for us
all. SFWA believes our protective lease ensures our property values and
safety most of all.
AUGUST 22nd Southwest Fort Worth Alliance GAS LEASE UPDATE
THE SOUTHWEST FORT WORTH ALLIANCE is THRILLED TO ANNOUNCE to our member neighborhoods and residents, receipt and acceptance of a SUPERIOR OFFER & LEASE from Vantage Energy, LLC.
This offer not only surpasses all other financial terms posed by bidding
companies in our neighborhoods, but also exceeds all other offers in
contractual concessions and in environmental and safety considerations.
Our goals were clear, to achieve a competitive and fair price for the
lease of our minerals; to protect our future royalty revenue; and to
preserve the integrity, safety, property values, and quality of life of
our neighborhoods. We believe that through this agreement with Vantage, we
have accomplished all of those goals.
The Alliance's exceptionally pleasant experiences and discussions with
this truly neighborhood minded developer, support the belief that we are
partnering with a company who will talk to and work with us throughout
this process and coming years. Vantage's founders, executives, and staff
come from decades of oil and natural gas exploration experience and
INFORMATIONAL MEETINGS & SIGNING EVENTS
Are planned to be held within the next 14 days. Please look for a coming
schedule of these meetings, to be hosted Caffey Group, on behalf of
You may soon be meeting Caffey Group representatives, in coming days, as
they help us to familiarize residents with the agreed gas lease. Please
note that Caffey Group represents Vantage Energy, the endorsed natural gas
company and is aiding The Southwest Fort Worth Alliance.
It is quite likely, that between now and the completion of our
neighborhoods' signing events, that you will be approached by other
companies and their brokers through mail, phone, and door to door
solicitations; we urge you to do what you've done so well and so
successfully for the last months, wait to sign and attend the
neighborhood's informational meetings to hear all of the exciting and
rewarding details of the agreement that your neighbors and volunteers have
worked diligently to achieve for us all.
CONGRATULATIONS TO ALL SOUTHWEST FORT WORTH ALLIANCE NEIGHBORHOODS AND
Read about Vantage Energy
AUGUST 18th Southwest Fort Worth Alliance GAS LEASE UPDATE
Many of you continue to receive additional "same offers" by mail from area
brokers. These are NOT neighborhood association or Alliance endorsed
Your neighborhood associations, through the Southwest Fort Worth Alliance,
are close to completing negotiations directly with gas company executives
for a better lease and offer, which will result in the announcement of an
endorsed deal, within a very short time.
This month, The Southwest Fort Worth Alliance, has held meetings directly
with executives of several gas companies, to negotiate a neighborhood
friendly lease and a competitive bonus and royalty. These meetings have
resulted great progress. Additional follow-up meetings will be held this
week, which should push our process quickly forward to completion.
Offers heard this month, received directly from the gas companies'
executives, are superior to those received from brokers to date and
including a higher bonus than what has already been presented to you by
any broker, some significant contractual concessions, and clarity on
issues with previous leases.
There are follow up meetings with each company this week to finalize the
details of these companies' best offers, in order to ensure that we
achieve the best deal that we can at this time. After, Alliance Leaders
will make a final recommendation for the member neighborhoods to bring to
Though specific details cannot be shared at this time, there is great
confidence that an Alliance and neighborhood endorsed deal will be
announced and that meetings will be held to discuss the results of a
successful close to this process, very very soon.
Please continue to keep in mind that the final neighborhood endorsed
contract and offer will be announced to you through your neighborhood
association and NOT through any involved company.
If you have not already registered a commitment to your neighborhood
association, please contact your appointed representative as soon as
possible; contact information for your area, if included within SFWA
boundaries, can be located here on our site. If you need to verify your
association, please find our interactive map under MAPS.
Thank you for your patience and for your continued support of your
neighborhood and community. Continue to check in for updates.
JULY 31st Southwest Fort Worth
Alliance GAS LEASE UPDATE
Over the last two weeks the Southwest
Fort Worth Alliance held meetings directly with executives
of XTO and Chesapeake. These meetings went very well.
While both offers are better than those
which the Southwest Fort Worth Alliance has already received
to date, one offer is superior to the other.
This superior offer does include
a higher bonus than what has already been presented to you
by any broker, it includes some significant contractual
concessions, and it provides clarity on a number of issues
that were unclear in the previous leases offered.
However, our process is not quite finished.
We must conduct a last round of follow-up meetings with
each Gas Company to ensure we achieve the best deal we can,
and to finalize the offers from the Gas Companies in writing.
This follow-up due-diligence process
is a necessary step that must be completed before
the Alliance Leaders will be in a position to make their
final recommendation to you. Once done, the Alliance Leaders
will bring the best offer achievable to the neighborhoods
and Alliance members for a final decision.
Although we cannot share specific details
with you at this time, we do feel confident we will
be able to present an Alliance-endorsed deal to the neighborhoods
and members of the Alliance. We plan to hold meetings to
announce the successful conclusion of our negotiation process
when it is finished, and to present the outcomes of our
negotiation efforts to you.
While there are no guarantees, the Alliance
Leaders believe negotiations could be finalized and written
offers received from the Gas Companies may be possible within
a few short weeks.
We ask you to be patient for just a little while longer,
and as we bring this process to a close,
we continue to remind you to please WAIT TO SIGN!!!
The Alliance-endorsed contract and the
offer terms will be announced via your Neighborhood Association
and the Southwest Fort Worth Alliance; not from any other
It will not come directly from
the Gas Companies, Landmen, or Brokers.
The Alliance-endorsed lease offer will
come only through your neighborhood leaders or
the Southwest Fort Worth Alliance, so please beware
of any lease offers you may receive in the mail or from
people going door-to-door. Set any such documents
aside, and notify your neighborhood or Alliance leaders.
Your leadership will be able to tell you whether anything
you receive is endorsed and legitimate.
Thank you for your patience and for your
continued support of your neighborhood and community!
We will send out new information as
soon as it becomes available.