360 Northwest Coalition, representing more than 3,500 homeowners and over 1,500 acres just south and west of Dallas/Fort Worth Airport, reports that on Tuesday it endorsed Chesapeake Energy's mineral rights lease offer, which pays a bonus of $23,500 an acre, 25 percent royalty and including other favorable terms. XTO Energy was also competing for the area, which is in Euless and Grapevine in the triangle formed by Texas 360, Texas 121 and Mid-Cities Boulevard. The Coalition was launched in February a couple of months after Cimmaron Field Services, representing Chesapeake, began soliciting leases paying a $3,000 bonus and 20 percent royalty. "The three-year ease was unanimously endorsed by the leaders of 21 subdivisions and neighborhood associations," the group reported on its website. It culminated five months of negotiations.
Among the terms reported by the Coalition are environmental protections that the group says are more restrictive than city ordinances, including provisions ranging from "road usage to groundwater protection, noise suppression, pollution constraints, fencing, lighting, contamination, hazardous materials and cleanup." Like many leases negotiated by neighborhood groups, the lease also includes a cost-free royalty and requires Chesapeake to cover any costs of obtaining subordination agreements from mortgage lenders. The lease is available to all property owners within Coalition boundaries who have not previously signed a mineral rights lease, it says. Bonus checks are promised within 30 business days (six weeks) of signing, and late fees will apply to checks that miss that deadline.
To see what we've previously reported on 360 Northwest Coalition, click here.
-- Jim Fuquay