Forced Pooling

[Youngstownshrimp]

Allan,
That is why this idea might work.  The temple does not want the apartment building and definitely does not want to look at it anymore.  So with demolition funding at the Landbank and the Temple a nonprofit.  This may work.  Send the letter my friend.

[AllanY2525]

Ron,

I see your point and it s not missed at all (to re-iterate what I already said below). 

I also understand the "reality" of it all, especially after having looked it up in Wikipedia,
posting the link below to that very same article, reading your own previous
post, and acknowledging the same...I'm not taking sides (already expressed that, too...)

I am going to contact the folks you recommended at the temple - will gladly donate the
apartment building to them if they could help bring this Mexican standoff between me
the city to an end.

I DO (very much !! ) appreciate your extending a helping hand in this whole quagmire.

You're "A.O.K." in my book any time, Sir.

[Youngstownshrimp]

Allan BTW, are you contacting the synagogue about your property, I already spoke to a senior member and he has no problem with it?

On force pooling, if Allan has 50 acres and another 65 acres is held by other landowners.  Then here comes Ron who owns 5 acres right smack in the middle of a 120 acre drilling unit.  The energy company comes in and pays everyone $5,000 an acre for the bonus and signs a roaylty % with everyone and heads to Ron's house.  Ron tells all his neighbors and Allan to go pound salt, that fracking is stupid and is worse than nuclear.  Ron tells the energy company even though Ron is heating his butt and his cat's butt with natural gas, that harvesting CHEAP gas is communism.
This is reality Allan, and is what I am talking about.  Ron will lose in any court because Ron is now preventing his neighbors from earning revenue from their land, by holding out on his, the community suffers.  Plus Ron partakes in the consumption.  The justice will be that Ron must buy his neighbors out of their minerals and THEN he has the right to no develop all of the minerals.  In real estate it is called a TAKING indirectly.
How am I as a layperson privy to this.  First of all we have lawyers.  Secondly, and I am not a friend entirely of energy companies.  As we speak, I have 12 conventional wells I am working on, wherein they screwed landowners for 15 years by a force pool and neglected to escrow funds for taxes and royalties for.....................................FIFTEEN YEARS.  I'll write about it someday.

[AllanY2525]

Ron,

Trust me - your point is not missed.

As long as the energy companies are acting as an agent of the government,
then that's covered by what I already wrote in  in last post.....

I am not against fracking when it's done carefully, with proper regulation and
Oversight.  We NEED to become energy independent, absolutely!   I was simply
playing devils advocate for the land owners.

I can understand the feeling of having something rammed down one's throat,
against their will and nullifying their right to say what is - and is NOT - done
with/to their land by others.

I just wish there was some compromise that would allow the energy companies to
extract the resources without having to drill under the objecting party's property
in order to do so.

The first rules of any business is to make as big a profit as it possibly can. The oil companies
are looking out for their own best interests (making money)  not those of you and I.  This
is why they spend a LOT of money and time lobbying congress and state governments:
to write the kind of legislation that abridges the landnowners' rights.

It's a sticky situation and I can understand BOTH sides of the arguement.

[Youngstownshrimp]

Allan,
You miss the critical point.  Energy is a government thing, again the landowner loses because he too uses it.  Also, remember the Strategic Oil Reserves?  It is the same as eminent domain from a layperson's point of view.

[AllanY2525]

Rick makes a very valid point, but I think that property owners should have
the right to not have the actual well drilled right under their property if they
so desire (maybe they already do?)

The government has the right of eminent domain - private enterprises do NOT,
unless they are operating as an agent of a municipality, a state government or
the federal government.   

http://en.wikipedia.org/wiki/Eminent_domain

In nearly every case, eminent domain is used for projects that benefit the general
public (ie: right of way for new roads, schools, whatever....). The gas and oil companies
are in the game to benefit themselves.

I agree with Rick that land owners who are holdouts should be compensated
for whatever minerals cross the surface property lines from their own property
during the extraction process.

[Rick Rowlands]

Only partially joking. 

Since fluid minerals do not obey surface property lines, some mechanism must be in place to protect the interests of all property owners.  If the majority of property owner wish to harvest their minerals, extracting from around holdouts will cause those minerals to flow from the holdouts property to the neighbors.  Forced pooling protects the holdouts by demanding that they be compensated for the mineral extraction. 

Be fortunate to live in the US where minerals are owned by the landowners.  In other countries the national energy company could just come in, extract the minerals and not pay the landowners a dime. 

[Youngstownshrimp]

Okay, if you make the complaint or question the practice, let's debate.  Let's get educated.
Force pooling is necessary when majority of landowners in a drilling unit, want their minerals harvested and one holdout affects the majority from revenue.  Holdout always loses because it consumes the minerals that it wants to block.  Sort of like a holdout stops a highway when it uses it too.  Simple argument for low information people.

[northside lurker]

What a strange world, where people have to be forced to be paid money!

I hope you're joking, because this shouldn't need to be explained.  Money isn't the most important thing in life for everyone.

[Rick Rowlands]

What a strange world, where people have to be forced to be paid money!

[Youngstownshrimp]

BG, or whatever your name is.
I and the clients we represent, are landowners.  Kindly explain your problem with force pooling and your understanding of it, or does you picture speak for you?
Also, does BG  stand for : Burrito Gigante?

[BG]