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reposted by Rick on this section at:
http://www.pro4um.com/cgi-bin/master.pl?read=2136
in part Rick you said...
Hell, there's a pump jack every 30 feet or so and somebody's got to own the land and hold the mineral rights.....I know how the oil business works and I know who gets paid and it aint just the oil companies cause they're payin the lease or delay rental to some land owner just to have access to the land...
Actually this ia a very amusing statement.
1) Pump jacks cannot be 30 feet apart.. there is too much area around them for that, so I know you were exaggerating, but it is a nice visual.
2) But for the most important point about who owns them. You did make one correct statement, and that was SOMEBODY"S got to own the land and hold the mineral rights.
After that you say you know how the oil business works. But it is obvious you are ignorant of oil leases.
(Take a good look.. I DID NOT say you were ignorant....... I did NOT say that... I said you are ignorant about oil leases.. well in this part of Texas anyway.
SO TRUE.. somebody owns the lease, and since you think it is every guy who lives out here, please let me enlighten you.
It is mostly huge corportations, the major oil companies, and some universities, hospitals, and various other groups. Most of those "owners" do not in fact live in this part of Texas.
Oh, a few of the ranchers still hold a very small portion of the rights, but that can be as little as 1/8 down to 1/64th of the total.
And even if it is true that a rancher owns the rights, how many ranchers do you think would be affected? This entire part of Texas has a handful of ranchers, and they would laugh at the thought of getting rich out of oil leases.
A note to those who are bored at this point.. I have a bit more to share with you on the oil leases, but it is not really important.
.......................
An oil lease is exactly that.. a legal "document" that gives someone the right to own what is UNDER the ground. A rancher can own the land and not even own what is under it.. such as oil, or in some areas metals that are mined. And many years ago most of those rights, out here, were purchased by the major oil companies.. and those leases were at least 50 years, some longer.. as much as 99 years.
Since the first drilling rig, which was a dry hole, was done in Ector County in (about ) 1922, those leases wer bought up by big oil companies. NONE of those companies have headquarters in Odessa. Some used to be in Midland, but many have moved, and they now have headquarters in other states, or some went to Houston, and some to OKC.
Many of the leases have changed hands and were traded or sold as the production changed. Some rights were willed or donated to hospitals or universities.. many are in the UT system. Those rights were donated by the oil companies, or whoever owned them, and I am sure a nice tax right-off was one reason. But Rick, since you are a former CPA, you will know more about tax deductions than I.
Now back to the ranches..........
Most ranches nowadays are not even fully owned by one ndividual, contrary to what is often thought. They have been sold, in part, to large cattle companies, or even some oil companies.. and those companies that are major stockholders or owners are not headquartered in West Texas, either.
So, what we have is oil leases, mineral rights, ranches that are operated by local people, BUT owned by someone living somewhere else.
I am not certain why I have even bothered to make this post, since I am sure it will be the target of more posts, but I did want to set the record straight.
Oh, by the way.. I am the part owner of an oil lease. My grandfather owned some mineral rights in the Abilene, Texas area.
After my father died, I die receive a royality check.. I think it was for less than $3.00 (three dollars).. that is because he probably owned about 1/64th of the rights and the income is divided amoung the heirs.. there about 40 of us left.
.................
Lastly.. Rick, you said this was the "peanut gallery", and indicated an adult conversation could not be made here.
Perhaps some of the "juvenile peanuts" that pose here will be able to add something.. if they wish.
http://www.pro4um.com/cgi-bin/master.pl?read=2136
in part Rick you said...
Hell, there's a pump jack every 30 feet or so and somebody's got to own the land and hold the mineral rights.....I know how the oil business works and I know who gets paid and it aint just the oil companies cause they're payin the lease or delay rental to some land owner just to have access to the land...
Actually this ia a very amusing statement.
1) Pump jacks cannot be 30 feet apart.. there is too much area around them for that, so I know you were exaggerating, but it is a nice visual.
2) But for the most important point about who owns them. You did make one correct statement, and that was SOMEBODY"S got to own the land and hold the mineral rights.
After that you say you know how the oil business works. But it is obvious you are ignorant of oil leases.
(Take a good look.. I DID NOT say you were ignorant....... I did NOT say that... I said you are ignorant about oil leases.. well in this part of Texas anyway.
SO TRUE.. somebody owns the lease, and since you think it is every guy who lives out here, please let me enlighten you.
It is mostly huge corportations, the major oil companies, and some universities, hospitals, and various other groups. Most of those "owners" do not in fact live in this part of Texas.
Oh, a few of the ranchers still hold a very small portion of the rights, but that can be as little as 1/8 down to 1/64th of the total.
And even if it is true that a rancher owns the rights, how many ranchers do you think would be affected? This entire part of Texas has a handful of ranchers, and they would laugh at the thought of getting rich out of oil leases.
A note to those who are bored at this point.. I have a bit more to share with you on the oil leases, but it is not really important.
.......................
An oil lease is exactly that.. a legal "document" that gives someone the right to own what is UNDER the ground. A rancher can own the land and not even own what is under it.. such as oil, or in some areas metals that are mined. And many years ago most of those rights, out here, were purchased by the major oil companies.. and those leases were at least 50 years, some longer.. as much as 99 years.
Since the first drilling rig, which was a dry hole, was done in Ector County in (about ) 1922, those leases wer bought up by big oil companies. NONE of those companies have headquarters in Odessa. Some used to be in Midland, but many have moved, and they now have headquarters in other states, or some went to Houston, and some to OKC.
Many of the leases have changed hands and were traded or sold as the production changed. Some rights were willed or donated to hospitals or universities.. many are in the UT system. Those rights were donated by the oil companies, or whoever owned them, and I am sure a nice tax right-off was one reason. But Rick, since you are a former CPA, you will know more about tax deductions than I.
Now back to the ranches..........
Most ranches nowadays are not even fully owned by one ndividual, contrary to what is often thought. They have been sold, in part, to large cattle companies, or even some oil companies.. and those companies that are major stockholders or owners are not headquartered in West Texas, either.
So, what we have is oil leases, mineral rights, ranches that are operated by local people, BUT owned by someone living somewhere else.
I am not certain why I have even bothered to make this post, since I am sure it will be the target of more posts, but I did want to set the record straight.
Oh, by the way.. I am the part owner of an oil lease. My grandfather owned some mineral rights in the Abilene, Texas area.
After my father died, I die receive a royality check.. I think it was for less than $3.00 (three dollars).. that is because he probably owned about 1/64th of the rights and the income is divided amoung the heirs.. there about 40 of us left.
.................
Lastly.. Rick, you said this was the "peanut gallery", and indicated an adult conversation could not be made here.
Perhaps some of the "juvenile peanuts" that pose here will be able to add something.. if they wish.
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