Sunday, May 17, 2015

Archive #19: Osage Shareholder Matters--May-June 2015

199 comments:

  1. May 2015 MC Meeting information:
    https://www.osagenation-nsn.gov/news-events/events/minerals-council-meeting-dates-may

    ReplyDelete
  2. How did the OSA meeting go today? What were the reactions to the new CFRs?

    ReplyDelete
    Replies
    1. I am sorry more of you Shareholders did not attend the Sunday meeting of the Association..We are her to spread information and we did that..with Mr Sickell and Chief Standingbear..there you could ask any question of them...It was a good meeting and we left being VERY concerned! No one seems to know exactely where we stand just now...When the rules and pentalies go into effect ...we need to stand back and hear the yelling. What can we do? If you know a solution share it... I personally think an injunction should be considered to stop all as soon as possible! I suppose the BIA would get upset again!!!!!

      Delete
    2. I thought as much. Thank you for the report, Mary Lee. An injunction on the part of the Minerals Council joined together with the Oil Producer's Association sounds like a viable alternative. The Minerals Council needs to step up on this right away before they become placed in a position to be there for show and nothing more.

      Delete
    3. Again, we should reflect on the bill that was passed that gave us the opportunity to govern ourselves, P.L. 108-431. Read what was stated aloud on the floor of the Congress in the U.S. Congressional Record, V. 150, PT. 8, May 18, 2004 to June 1, 2004 with regard to the Headrights:
      "It is past time to consider letting the Osage Tribe determine how to govern itself as it sees fit, providing no one loses any property or other vested legal rights (like the loss of MEMBERSHIP in Shannon Edwards' Osage Nation Congressional Membership Bill of 2006?) in the process. H.R. 2912 (P.L. 108-431) includes language to insure that no one's interest in headright shares is touched. Headrights are private property, and there is no intent to affect them under this bill."
      https://books.google.com/books?id=DbK9zpJ1ipEC&pg=PA11080&lpg=PA11080&dq=Osage+Shareholders+Association&source=bl&ots=yW8woA9CoW&sig=Lx61C-0qgih6yN0zrJL8V3lkd80&hl=en&sa=X&ei=Wz5aVc_REYqWyQTM84HIAQ&ved=0CCQQ6AEwAzgK#v=onepage&q=Osage%20Shareholders%20Association&f=false

      Delete
    4. And so the M.E. was used as an excuse because in the same token we Allotees enjoyed such wealth yet the oil fields were not as abundant as they once were Really? And yes, as Osageblogger and alot of us has always said no one can touch the M.E...and we armed to change the status quo as it is left to the Osage People to deside what form of Government it chooses. ..So, food for thought.

      Delete
    5. The food in this thought is that it was U.S. Congressional intent not to touch or affect the headrights or other vested legal rights with the 2004 Reaffirmation Act. I don't know how you feel about it, but eleven years on it's like the Osage gov't, the BIA and certain members of the MC past and present have gone right over them like steamroller on a huge tear.

      Delete
    6. Don't forget the OSA as well, I do understand the food for thought..we know about how it only took one phone cal and it can take only one phone call to undue...The Nation is not on solid ground nor is the M.E. I get what you are saying in so few words...yet simple.

      Delete
    7. Steve Russell coined what is going on in Indian Country and the obsession with Sovereignty on Indianz.com.....
      Even if the tribal government is nothing more than an IRA-inspired board of directors, it has the task of presenting to the states and the feds. Sovereignty in a realistic sense remains with the people to decide what shall be presented.

      Delete
    8. It's beyond an obsession. It's a delusion of grandeur that seems like the government officials in the Osage Nation and Osages in Oklahoma believe and have believed that once attained that it will enable them to right every wrong going back hundreds of years. This isn't reality and from the point of view of a social experiment specific to the Osages, it has caused them irreparable harm because of the legal courses of action that they have chosen to take since the Osage Nation government came into being. It's as if they truly believe that they are a separate country like Bulgaria or France with the same rights and legal privileges of such countries and that it has set them entirely free of being a US. domestic dependent Tribe or Tribal Nation of the U.S. government. It's dismaying to watch, dangerous and perilous for them, and their tenure but it has to be identified for an intervention now because there are generations that have to have a proper foundation for a future grounded in reality and not delusion or obsession.

      Delete
    9. Reprint:
      Anonymous
      February 26, 2015 at 8:54 AM
      The 2nd lawsuit would apply to the 1929 amendment to the 1906 Act that mandates the BIA market the Mineral Estate for the shareholders.. That is not happening because the BIA is slowly killing off production one regulation at a time. You can argue about compliance with NEPA but the fact is the BIA is violating their fiduciary duty for the Mineral Estate which specifically says "marketing" in its mandate. The fact that the BIA is killing off the producers suggests that the Osage Mineral Estate is fading into irrelevance. A lawsuit may be the only remedy because oil and gas production is sure not going to provide the shareholders with a future reliable income stream. The BIA is seeing to that!

      Delete
    10. Thank you Osageblogger its what I have said we will and most inevitably be there again in Court and of course we will prevail but lets put that aside for just a moment and I happen to agree with poster @10:36 am as well. I do see both sides of the coin and arguably right and really we now can see the forest for the trees more or less what has happened. We can choose to wallow or get off our duffs and do something about it...call me hopeful because I have enough to go around...just who I am...what we can do in the mean time is surmountable. Nothing can't be achieved that we cannot do for ourselves and we as a People will rise to the occasion. And really we all want same thing and is we need to be thinking 13 decades down the road and it starts today with that kind of thinking right...we will right the wrong..if the M.C cannot meet the needs of the Shareholder's and really don't have much faith in the OSA either...The BIA if not careful will come back and say its up to you...on the flip side at an administrative level the BIA is not where they should be after 3 years either..so how can we point the finger if we haven't lifted a finger to do what at the Administration level is failing we can do ourselves...apply some of the million dollars for our Petroleum Office as long as the Federal dollars goes to the designated there should not be a problem..long over due should we be ahead of the game but we wallow in Sovereignty not knowing what to do but hang on to a word, we can only identify with..time to put foot to action...simple and so attainable. Hook line and sink for success...I have a plan for success, thats my field of expertise with great leadership skills, trained by some really great people who groomed me for success. I am glad the Chief now understands his role with the Council and lets hope he continues to go to the M.C meetings...and stop woking undercover sort of speak..and or independently...as seen as a threat..as to the person who posted glad to see the M.C is working together that remains to be seen.

      Delete
    11. And I failed to mention, it's more like the Harvard pet project on socialism we find ourselves in...but lets see what happens with Harvard when we rewrite or throw out our Government for not holding its fudiciary responsibility to the Osage and we want to know where our 20000000 dollars went not tomorrow or three years down the road...chase the money. Getting inpatient and we are there.

      Delete
  3. Found this comment on a Facebook page and would like a verification that it's true:
    "I hope that everyone reads these (the new CFRs) so they will know what the BIA did AFTER they spent 7 months here to get it right! It looks nothing like what we sent to DC."
    Were the CFRs changed by the BIA after they had them in final form in the NegReg committee?

    ReplyDelete
    Replies
    1. Be sure to take a look at Nona Roach's comments:
      https://www.facebook.com/groups/234024393278360/

      Delete
    2. Who posted the Comment on FB? And no one person or organization has complete Atonomy over the Federal Government. These changes to the CFR were in the process before the highest paid price settled. As I read them there is no Threat to the M.E. More or less, the check and balance assured in place to protect the Mineral Estate, to producers and landowners. A lot of the bulk of the CFRS already stated, just the current language updated..in the end any and all suggestions were made with consideration. Most of the applications or criteria is being met by some of the Producer's before these actions of compliance go into effect on said date. And had we been better informed or comprised of the Situation would we be where we are at, in no way..

      Delete
    3. Sorry, Nona...on F.B. It doesn't look good when you have no Idea what you are talking about....this is not just happening to the Osage as it's happening across America duh!

      Delete
    4. I am at a stall too, in development. And I'M a independent producer off the Rez. Folks. We're not building as much either if Opec continues this Game.

      Delete
    5. I guess you're not much interested in a Mineral Council with any power to represent your interests. I had heard that the BIA could change these regulations and tailor them in any way they wanted after the final regulations were agreed upon in the NegReg Committee and sent off to Washington. I didn't believe it but maybe it's true and if so, I'd like to know who all sold the Mineral Council out. You can ask Galen. I hear he's the Big Dog now and has the direct phone number to Mike Black in Washington. What I'm hearing is that the whole Mineral Council is going to be blamed and have to take the fall for the new CFRs with two members in particular singled out. Anyone hearing anything different?

      Delete
    6. Unfortunately you couldn't be more further from the truth. Hog wash.

      Delete
    7. Are you sure about that nmnt?

      Delete
    8. May 18, 2015 Weekly Texas Oil & Gas Drilling Permit Map & Report

      There have been 602 drilling permits filed over the past two weeks.
      ENCANA, DEVON, CHESAPEAKE, CONOCO, KINDER MORGAN, MID-CON, APACHE, recognize any of those names that WERE in the Osage? They are ALL listed as Operators on these permits in TX! So NO ONE is drilling wells because of the low oil prices??? BIA has approved TEN DRILLING PERMITS since the edict of July 2014 for the Osage, 10 MONTHS and TX has 602 in TWO WEEKS??? What is wrong with this picture? Still saying that the New CFR's are not going to drive anybody out of the Osage? You could be right... they are already GONE!
      Same Time Period in the Osage? 2 EMERGENCY PLUGGING PERMITS AND ONE COMPLETION REPORT??? PLUG it and get out of Dodge...

      Delete
    9. You forgot to mention down from 1690 from the prior year of 2014. Half truths right.

      Delete
    10. More like 1/3 truths. Classic smoke and mirrors. Somebody had better get on the wagon if they want a ride to town! We have heard enough lies and innuendos about the cfr. These crazy nay-sayers can't be trusted to tell 1% of the truth. They just can't be shareholders.

      Delete
    11. Ask not what someone can do for us but what we can do for ourselves. Shareholder's for fiscal responsibility. The closer we get to the truth, as always , the truth reveals itself as will come full circle. Just to much information out there to verify.

      Delete
  4. REPRINT:
    Galen Crum
    May 17, 2015 at 12:02 AM
    There seems to be a lot of misunderstanding about how to calculate the effect of using NYMEX monthly average price for our benchmark royalty valuation as opposed to HPP. Here are some actual prices and royalty comparisons during the last year. In January 2014 the average HPP price per barrel was $91.37. The NYMEX average was $94.86, or a difference of $3.49. In order to determine the royalty difference between the two indexes you first have figure the royalty for each one. I’ll use the maximum 20% royalty rate so as to be illustrating the maximum possible royalty difference for this situation. 20% of the NYMEX price $94.86 (.20X 94.86) is $18.97 royalty. The same calculation with the HPP price of $91.37 results in $18.37, for a difference of 70 cents more royalty per barrel when using the NYMEX index for Osage share. As I stated before, this is the maximum per barrel royalty increase that would have been possible had NYMEX been in force then. Most of our producers receive more than HPP price and very few of those that don’t, aren’t paying the maximum 20% (or 1/5th ) royalty, most are only paying either 1/6th or even 1/8th royalty.
    The average oil price actually received by our producers during this same month was $93.46, or $2.09 per barrel above the HPP average price. Using the same 20% royalty calculations as above, the royalty on the average received price was $18.69, or $.28 below the $18.97 NYMEX royalty figure.
    So the using example of the small producer making only 7 barrels a day that the poster above references would owe the Osages $4.90 (.70 X 7 barrels) more royalty per day using the NYMEX benchmark as opposed to HPP. Or about the price of a McDonalds sandwich. Remember, this is the maximum difference possible, if he pays a lower royalty rate his increase will be less. If the same guy is selling oil at the average paid price he would pay $1.96 (.28 X 7 barrels) more per day using NYMEX at the maximum 20% royalty.
    I recently completed the same analyses of the price differences in all the months between January 2014 and March 2015 and the results were nearly identical through out. The average royalty difference between NYMEX and HPP was 70 cents per barrel and the difference between NYMEX and actual average price paid was 31 cents per barrel.

    This same poster referenced above was also making some wildly inaccurate claims about the added cost of EA’s needed for permits. Now that the programmatic EA’s have been completed by the BIA for leasing and workovers, there should be virtually no added costs for these. There is no EA work to be done by the producer for a lease and merely the taking of 7 site pictures to be included in the permit application for a workover. There is now also an EA template for drilling permits that is available online or from the BIA, which a producer can copy and fill in any site specific information that might not be covered in the template. If a producer doesn’t want to do this, the BIA will do it for him free of charge using this same template, but of course it will likely take a little more time to process the permit. When the new EIS is completed at the end of this year, the drilling permits can be handled pretty much like the workover permits, site specific info and pictures.

    ReplyDelete
  5. Talee Red Corn said at the Friday meeting that the council is going to start producing abandoned wells. Why has no one jumped on board with this issue. It might be a money-maker.

    ReplyDelete
    Replies
    1. and then the BIA gal hit him up for a $5,000 bond, an EA and the new permit and whatever else has to happen first as a result of those new CFRS and all you could hear was the water hit the fire and the only noise left in the room was sound of a huge fizzle. Ha ha ha ha ha! It was funny, you should have been there

      Delete
    2. Trust the BIA to hire a pit bull when what they need is a deft touch to manage this mess very carefully before everything blows up in everyone's face.

      Delete
    3. Can someone explain is it written or a law somewhere that the BIA can cause this chaos and just come up with fees out of the blue? I was very proud of the MC trying to come up with some kind of solutions for recovery and how they all were working together.

      Delete
    4. What can say? Osage 1 Osage 1 Osage 1 = 000
      I remember what happened in the 1990's. Do YOU?

      Delete
  6. Minerals Council Meeting today at 10:00 A.M. CSDT in the Council Chambers.
    Agenda -- http://www.osagenation-nsn.gov/news-events/news/minerals-council-agenda-may-20th-meeting

    ReplyDelete
    Replies
    1. Meeting is now live at
      https://www.osagenation-nsn.gov/multimedia/live-media

      Delete
    2. Please stop shuffling papers near the microphone. Thank you.

      Delete
    3. Osage Agency BIA information
      http://www.bia.gov/WhoWeAre/RegionalOffices/EasternOklahoma/WeAre/Osage/
      Training for CFRs at the Cultural Center for three weeks during the month of June with the In-Lon-Schka going on? Cultural sensitivity on the part of the BIA?

      Delete
    4. Laughable that the BIA is sending out the authors to the new CFR's to "school" the producers in how to comply when the BIA themselves, when cornered last week by the producers, could not answer simple questions about the new regs. As Mr. Lyon stated in the Barnsdall Times today, sort of like getting your drivers license and then taking the test. The BIA are idiots.

      Delete
    5. Taking a short break after voting down Galen's resolution on getting a place at the table for the new environmental regulations (MORE?) coming up that will involve Dr. Andrea Hunter.

      Delete
    6. The resolution was in regard to the EIS MOU.

      Delete
    7. Back online with New Business segment of the Agenda.

      Delete
    8. New LLC for this two angels deal from the Chief's father-in-law wanting a MILLION DOLLARS? Forget it. Having to use and provide money for workovers by performing major maintenance or remedial treatments on oil or gas wells. Using scare tactics using the Donalson lawsuit. Give me good positive reasons to go for this idea not more negatives for another sinkhole involving gaming money. The money you'd put in "...might even make some money?" OH FOR HEAVEN SAKE. Get the HOOK!!!!!!!

      Delete
    9. Is there actually an oil producer who would be that stupid?

      Delete
    10. The Minerals Council is actually going to spend money in attorney's fees to send this preposterous idea for review over to their attorney?

      Delete
    11. Hopefully, the MC has an avenging guardian angel to protect them from dumb ideas like this one. Shannon said he can't shut up about it. That would be my first suggesion that he do just that. Brother !!!!!!

      Delete
    12. Talee to have a committee to begin the Orphan Well project. More committee members...here we go now with the Minerals Council and these damn committee members including Myron Red Eagle. Get off the payroll you people with these ideas. Find your own source of seed money besides the Osage Nation or any of its entities.

      Delete
    13. OH My. The MC wants to get into these well that will cost (???) before the wells can even be brought back into full production not to mention all the new costs with the new CFRs?

      Delete
    14. Vote to put this nonsense on it's feet was yes all around.

      Delete
    15. Woo Hoo! Legal action against the CFRs? Finally !!! Thank you Stephanie Erwin.

      Delete
    16. Go Cynthia. Call for the vote! Fantastic!!!!!!!!!!!!!

      Delete
    17. Oh BOO HOO Galen, so you didn't know. The whole county is going to collapse financially. THIS IS WHY THE NEW CFRS ARE BAD! OK? Do you get it now?

      Delete
    18. Galen, you have blindly disregarded every objection put before you from the very beginning no matter from whom. Get real here. We are not nearly as stupid as you take us all for.

      Delete
    19. Motion passes! Good for you Council! The vote was 6-2 and guess who were the obstructionists? YEA! YEA! YEA! Fight for the rights of the Shareholders now or we won't have any in the future.

      Delete
    20. What is this gas contract to the BIA on the Agenda? Is this a compact of some sort?

      Delete
    21. Resolution on gas contract passed. Would like to know what it is.

      Delete
    22. Galen is whining and kicking and screaming about the legal resolution on the record. Now you know how we feel Galen. Good. It's about time you understand what it's like to be railroaded by a traitor.

      Delete
    23. Good meeting and an interesting one. Worth listening to when it's uploaded for on demand listening at https://www.osagenation-nsn.gov/who-we-are/minerals-council/meeting-information

      Delete
    24. Talee no to your suggestions thats why we have M.C for. Man lets create more inefficiencies and redundancies with more commite's.

      Delete
    25. Chief it is a conflict of interest that your father in law would be involved in anything that has to do with the M.E . Stop trying to spread the wealth by nepotism and hell no to Two Angels...nice try...

      Delete
    26. The meeting today is up on the MC web site for on demand listening. Good for IT! Thank you.
      https://www.osagenation-nsn.gov/who-we-are/minerals-council/meeting-information

      Delete
    27. Thank you, members of the Mineral Council who have bravely and heroically stood up to this regulatory oppression on the part of the DOI, the BIA. the ONRR, the EPA and the BLM by taking legal action for the shareholders on the new CFRs and everyone who works in the oil and gas business in Osage County. Flaring gas and what to do about those poisonous emissions is one thing but this monstrous burden of all these regulations from one quarter after another must be thrown off for the sake of everyone who lives in the county. Everyone who is going to be subject to them is up in arms all over the country. Regulatory insanity in the oil and gas business has come to the United States and the guilty parties need to be put on notice that enough is enough!

      Delete
    28. What is Galen talking about at the very end of the third part of the session yesterday when he said something about the "Compact with the attorney to put (that together)." What are they doing behind our backs with a compact that we don't know anything about? Best listen carefully to this segment of yesterday's Mineral meeting.
      http://on-web1.osagetribe.org/media/minerals/audio/FY2015/2015-0520_3OMC_pt3.mp3

      Delete
    29. That and what the hell is he doing breaking rank with the Minerals Agency outside of an official vote of the Mineral Council yesterday on EIS participation? Isn't this a direct violation of Mineral Agency ethics? If it isn't, it sure should be.

      Delete
    30. Galen you are renegade of everything in sight, you know that Mr.?

      Delete
    31. You'll find that turning back the regulations is next to impossible. There is a period during the rulemaking process where comments are permitted. After rules have been created and published a federal agency has its hands tied by the bureaucratic process. The agency is also unlikely to be willing to voluntarily change the rule. Taking the matter into federal court will most likely get a ruling that the complaint is not "ripe" due to a lack of protests during the comment period.

      There is always the complaint that the "administrative law" is unconstitutional - which it is by its very nature. Only the Congress may create new laws, yet somehow the nation has developed a second tier of "laws" outside of the process mandated by the Constitution of the United States. There are several issues which weigh against success with this type of complaint, with the chief issue being the SCOTUS is rarely willing to uphold the Constitution when it really rocks the boat.

      Delete
    32. So what you are substantially telling me is that the economy of the largest county in the State of Oklahoma can be run right into the ground because of all these regulations coming from everywhere in sight and not only will the U.S. Congress do nothing, so also will the highest court in the USA?

      Delete
    33. So there is no such thing as emergency injunctive regulatory relief? Have you read this yet?
      http://barnsdalltimes.com/http:/barnsdalltimes.com/news/courts-in-budget-nightmare

      Delete
    34. Ask yourself this question and respond truthfully, and the secret of events that lead to a Nation formed, would we be where we are at today had the organizers contacted each and every constituent that leads us to where we are at present under the quise that we had to form a Government to allow more membership? And in addition the Alotees in the same breath as stated above said post, enjoyed such wealth form the M.E , the oil fields were not as abundant. ..HR 2912..read it closely, as long as the Osage M.E is not diminished, this alone reflects on the SOI and there of...as written..diminished means made smaller or less..we have the right to form any Government we choose, this is our right...the People's right...I want to know back in 2003 when this bill was introduced who was wealthy? The 1% and that would equel to 300 Osages at the time, out of 3000 members back then...by all accounts by this Bill the M.E was diminished in the first place...Useing the M.E to form a Government issued? The facts as they are, The M.E where it is as today, ah its diminished. .The Nation reorganizing, cut your salaries and pensions..before you attack the social programs...Is this the Government you hoped for? I SEE a lot of lies...

      Delete
    35. The federal courts are generally unwilling to act where a matter involves "administrative law" (no such thing in reality, but such is the unconstitutional system we've seen develop) until all possible appeals to the agency have been exhausted.

      As to the SCOTUS, if it were to uphold the Constitution of the United States and set aside all "laws" created by bureaucrats via powers delegated by Congress (with the power of delegation not being one of Congress' rights) then it would unravel the system by which the Executive Branch rides rough shod over the people.

      You should know that the United States government is incapable of abiding by laws and treaties. Its agents only comply with the laws when it is in their political interests to do so. Otherwise, they take a liberal view of the constitution, subordinate laws, and treaties, and completely ignore the organic law which recognizes the people's inherent sovereign and inalienable rights and upon which all other governance depends.

      Sovereignty and inalienable rights are nothing but an illusion. History has shown a repeated and continuing pattern of abuse of power, with rights stripped away when it is expedient and only restored (for a time) when it is politically convenient.

      Delete
    36. There is truth in your words, all under the auspicious, colloquio proverbial, Sovereignty. Wasn't it Judge Sotomayor who coind the word Sovereignty be careful using that word? Or inso many words? A warning more or less...I myself have studied that word for the last five years and discovered how abused that word has become...how does that word have any meaning to a people, if the people are not valued first? So your point is valid...I share your perspective and concur..Is this what our Tribe has come to ? Is this what you want a bunch of fat cats getting rich off the Osage? Another miniature USA? Now we have a Secretary going after taxes? This is and by all accounts was just to allow more membership remember? Anyone is free to answer?

      Delete
    37. To Poster @ 4:48 pm, Oh, by the way thankful for your conversation and help. It is not often that we are schooled with such intellect and refreshing.

      Delete
    38. Correct me here if I have this wrong but we are talking about layers of regulation that have come out of nowhere since the CFRs were put on the table for change. We have NEPA, the EAs, the EIS, the ONRR with this Honors computer program. I mean come on. The Courts have unravelled much larger problems with the Executive Branch and States or Cities with other overweening regulations before. Look at that dolt Bloomberg trying to tell everyone in NYC that they could only have carbonated sugar drinks up to so many ounces by law. That regulatory nonsense got tossed just like it should have. If you take the attitude that nothing can be done, you will take us back to the time before Cobell and the HPP lawsuit where similar thinking was going on too. BTW, the Osages were more or less compelled to join that legal process or Eloise Cobell and her attorneys would have appropriated what was lost due to trust mismanagement in the case of the HPP and spread that settlement amount with every NA with an IIM account through the effective period. How easily we forget that all important fact.

      Delete
    39. What is your point? Sorry went over my head. What you fell to see that in the last decade and there of has not been forgotten so your point please...just because it isn't said does not mean it is forgotten with no disrespect and on the contraire. A book we can write and so pretty, not ,as the facts are today...long live the 1906 act and Osage Shareholder's for fiscal responsibility. My eyes wide open.

      Delete
    40. The point is, that they can't layer on regulation after regulation after regulation until they bludgeon us right into the Stone Age including everyone else in Osage County.

      Delete
    41. Get together and talk about it:
      http://examiner-enterprise.com/living/features/southern-rock-legends-marshall-tucker-band-perform-saturday

      Delete
    42. Good advice:
      https://www.facebook.com/OsageNews/posts/908684072525754

      Delete
  7. More on the new CFRs over at the B.T.
    http://barnsdalltimes.com/http:/barnsdalltimes.com/news/bia-issues-new-rules

    ReplyDelete
    Replies
    1. Unintended consequences? http://barnsdalltimes.com/http:/barnsdalltimes.com/news/courts-in-budget-nightmare

      Delete
    2. See "Oilmen’s input with BIA is slight" BHT article at http://barnsdalltimes.com/http:/barnsdalltimes.com/news/oilmens-input-with-bia-is-slight

      Delete
  8. Hmmmm... Interesting
    http://www.law360.com/nativeamerican/articles/657791?nl_pk=c7790d0c-c57a-487e-b574-98a6a908cbd1&utm_source=newsletter&utm_medium=email&utm_campaign=nativeamerican

    ReplyDelete
    Replies
    1. Yes it is. This means the war chest of litigation fees for the Osage Nation can be set aside in favor of working with the U.S. Congress on legislation to protect and secure our water rights which is now the best and only option.

      Delete
    2. Thats the way I see it.

      Delete
    3. Also of interest:
      http://www.gpo.gov/fdsys/pkg/CHRG-112shrg75973/html/CHRG-112shrg75973.htm

      Delete
    4. And this as well:
      https://www.congress.gov/bill/114th-congress/senate-bill/1125/text

      Delete
    5. How much of a role has the BIA committed to our Litigation as to the NAAP within the Reclamation Act as well, are they involved in our lititgation and where are to this day with the Negotiations? This is important to read especially the Alotees. ..who is looking out for our interest? Thank you Osageblogger.

      Delete
  9. http://hosted.ap.org/dynamic/stories/U/US_OIL_AND_GAS_FEDERAL_OVERSIGHT?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT

    ReplyDelete
    Replies
    1. This is huge problem for the Osage..this article taken from Fox. Still think we don't have a problem?

      Delete
  10. Many years ago a fellow named John Zink invented a small waste gas fuild individual well engine that would take the place of most of the huge locomotive engines that ran the pump stations. How I don't know if there's any left ? H

    ReplyDelete
    Replies
    1. Never mind the above, just a missed in this day and time. H

      Delete
  11. Land Buy-Back Program
    http://osagenews.org/en/article/2015/05/27/osage-nation-begin-outreach-land-buy-back-program/

    ReplyDelete
  12. Mineral Council Meeting dates for June are located at http://www.osagenation-nsn.gov/news-events/news/minerals-council-meeting-dates-june

    ReplyDelete
  13. Get together and talk about it:
    Tonight! HURRY! Don't miss it Roots & Boots -- FREE Concert in Hominy--->>>
    http://www.osagecasinos.com/entertainment

    ReplyDelete
  14. A very informative discussion is taking place about the consequences to the oil and gas producers in Osage County as a result of the new CFRs under the heading, "Well, checks are in and mine's almost half what it was..." by Kelly McFee. This is a "not to miss" at OSAGE FOR FISCAL RESPONSIBILITY: https://www.facebook.com/groups/234024393278360/

    ReplyDelete
    Replies
    1. Another side of the story without the BIA --->>>
      http://www.nofrackingway.us/2014/04/17/royally-fracking-ripped-off/

      Delete
    2. Is that really any surprise come on folks pay attention to what is happening on the Markrt, Opec...Production is down straight across the Board...But I will say this had there been better Leadership this would come as no surprise had the Shareholder's been fully warned..I for one am Tired of the Naysayers blaming this entirely on the BIA..it is without a doubt as predicted we will be back in Court..for the Lack of Administrative help which will directly cost the front end of our checks...and I will warn you Shareholder's that don't expect much to reflect in Sept.either..it does not matter that we don't have competition at this point and juncture. .Oil is just down everywhere. ..I know where the problem lies and most of you do not want to see the forest for the trees, sorry...it's the truth as painful as it is for those who live on these checks besides their retirement. We must be stewards of our ship..and to be honest again we must pander to the Appeal for fiscal responsibility and leadership that will drive a force to be reckoned with..Yes the Little guys the smaller producers need to grow but not at the dollar that is being offered per barrel can they make money, not just with them, the bigger oil companies as well are in tue same boat yes we wants great competitive drive and yet we don't have a driver because we are to worried about the smaller guy and this is how they want to keep the status quo , it is so evident that we need innovative thinking with the technology to support where we should have been a decade ago...we should be decades ahead of ourselves yet our past does not precedes us and it shoud be the other way around. This is no accident but the truth..where does the corruption lie?

      Delete
    3. Is this happening to us as Chesapeake is being investigated and has lost suits to other owners who receive Royalties?

      Delete
    4. The URL is published for you to go there, read what you find there and then come back to the Osage Blog and comment on it. There is such a thing as reprint rights in the real world that must be observed. Fair use is one thing for a sentence or two but it gets thin after that. Please respect the writer's rights where it concerns printed material from other web sites. Thank you.

      Delete
    5. Its done all the time as long as you say where its comes from and the cresdit goes to them..sorry your wrong in this case I used to be A Ghost writer I know..

      Delete
    6. http://osagenews.org/en/article/2015/06/01/osage-minerals-councilmen-speak-new-oil-and-gas-regulations/,.....to all the Naysayers read this article. ..This is why changes came about...and here is an example of what and where contracts can go wrong ,the patchwork of different contracts and state laws involved.Wrongful deductions for post-production costs are only one tool being used by some gas companies to reduce their royalty outlays. If a lease includes a clause prohibiting post-production costs from being deducted, a company might change the term to “gas enhancement costs” and deduct them anyway. Some companies sell their gas to affiliates or subsidiaries at rates substantially below market value and then pay royalties only on those lower rates. Sometimes pipeline operators will charge several times the going rate to move gas to interstate transportation lines, and the gas company takes that out of royalty money, too. The costs of selling the gas get charged to royalty owners and sometimes an “impact fee” to recoup what the drillers pay in taxes or fees.In Pennsylvania, landowners are finding out that loans taken out by drillers, with mineral leases as collateral, have led to liens being placed on the real estate itself, even though the drillers own no surface rights. Landowners have even found themselves liable for a driller’s bills — of more than a million dollars in one case. And this was happening in some cases...and this is why I said you, way back once apon a time we need to look at the Contracts and find put why we were not being paid the highest yield that we deserve..as I've pointed out I have wells in other parts of the States and you have to be careful and watch what is being deducted fairly. These changes are more than fair and should have been done years ago..

      Delete
    7. Thank you Galen and Yates and Abbott for bringing to light the Problems that plagued our M.E..and one more person I should thank as well is Ray McClain for his dedication to the truth and sharing his views. Everyone is going to have to play by the same rules as the Big Producers have been doing for quite some time...we know what lies below and the wealth that exists and is ours to protect..Glad a Statement was made..I like how the OSAGE NEWS pointed out how arduous the Accounting is..thats laughable, and it's not as if a program at the push of a button of a Computer, will fix that. Hog wash..everone knows that applied knowledge is not needed when using a Computer. ..Ah, what is our speaker getting paid for if he can't make a statement for the Shareholder's? Next step is to define what the OSA does and to define what the M.C does in writing. If the BIA is to come to become compliance with the said changes to the M.E to the 21st Century so should the M.C and the O.S.A

      Delete
    8. I think the Federal Government would concur.

      Delete
    9. Yeah, more like a standard of operating which includes policies with respect to ethics laws are long over due...If you look at so much has been swept under the carpet sorta speak, no communication to the legal owners of the M.E by no Authority in Position is telling...This is you and I the Shareholder's. .and if you look at the the Entire Situation the M.C are Shareholder's making some terrible mistakes, all the while drawing a royalty check and are also getting paid by us to a JOB and a poorly one at that..A piecs of New Regs written is not going to fix what is Broken in my opinion. Change needs to happen.

      Delete
    10. You can argue and argue all you want but when your checks drop to nothing, will you eat grass? No Shareholder ever voted for these CFRs and the Shareholders should have been properly notified by the BIA of what that committee aimed to do before the ink was dry on the settlement agreement. It's called full disclosure that is a duty owed under the fiduciary obligation as a Trustee of the OME Trust to the Headright owners. We have been railroaded again. Checks have never been higher and they just couldn't leave well enough alone at the BIA and MC levels with Sonny Abbott, Andrew Yates and Galen Crum now could we? Great is never ever enough with the new Osage government, is it? They've done us in and you're patting them on the back? How could you?

      Delete
    11. Lol you believe in your own lies that the truth has become obscured. Read this.Shale output is considered a prime reason why global oil prices quickly turned south in the latter half of 2014. U.S. oil drillers saw significant growth in domestic production, igniting worries of an oversupply. Oil prices were cut in half, and producers responded by slowing their drilling activity. From Texas to Baken drilling is flat..and this why Your Sept check will be flat as well, and unfortunately. You know folks the Closer reality hits the fan the truth always reveals itself.

      Delete
    12. Let's leave all this behind and look at who benefits from these new CFRs? If as a result of the new CRFs, the checks were bringing in $100,000 a headright per year I could see it but the headrights checks are going down and that doesn't include only the price of oil. If 60% of the oil producers leave and it impoverishes the County including real estate and businesses across the board, what then? The headright owners lose, the Osages who live in the county lose, the oil and gas producers lose, real estate property values lose, the County government loses, 25% to 50% of the residents of Osage County have to leave in order to make a living lose, EVERYBODY loses. There's no win-win about it. It's a lose-lose across the board except for the BIA and the ONRR. Who wins? Tell me that. Please.

      Delete
    13. Anonymous on June 1, 2015 at 11:23 AM, who is lying here? I suppose you think you caught a break that the oil went down in order to make your argument? The CFRs are the problem from the get-go with leases being sold to other companies and the uncertainty of them. Then that Donalson woman seized up the new permits and that clinched it. You can lie to yourself but this blog is a record of what happened and when it happened. Start here to educate yourself with the facts beginning in June of 2013 and keep going archive page by archive page:
      http://osageblog.blogspot.com/2013/06/new-topic-osage-shareholder-matters.html
      In June of 2014 oil was at its all time peak of $115 and began to drop after that; http://www.infomine.com/investment/metal-prices/crude-oil/1-year/ Don't even think about trying to blame this all on the drop in the price of oil and think you can get away with it.

      Delete
    14. The Donelson suit slammed on the brakes for drilling. Then oil started down, exacerbating the problem, then the EA requirement came out, which was poor timing, but then when would have been a good time?. It was the perfect storm. The Donelson suit is still there, but oil has started it's slow recovery. The EA's have been made much easier for work overs. Things are getting better, so don't give up yet. It won't get back to normal until Donelson is resolved. That is and has always been the major hurdle in the path of progress.

      Delete
    15. All speculation on your part Poster at 12:35. I coin as a set of circumstances that came to a head all at once..the Donelson Case a hic-up..this is just another day in paradise. Had we had a full running legal Dept..this could have been avoided..Im here for real solutions not to be crass or short but get over it and stop living in the past..had you read the Oild CFR'S you would come to realize most of the regs were there not being applied and or sub par to the 21st century with better language defined..and really this about accountability for the Shareholder's. And as I've said you can't argue with someone who knows what they are talking about, lol well most of the time..in fact this lull is no surprise to the Energy Sector as History repeats itself. The info is there. Just do the research.

      Delete
    16. Ray McClain on his web had asked on Osages-you-need-to-know.com in regards to the Article in the Osage news the M.C memebers making a statement ....he asks why was this allowed to go on for so long? Can someone answer this question? Corruption at its best? And by and by who? Anyone come to mind?

      Delete
    17. To the poster at June 1, 2015 at 11:01 AM, the process to revise the Code of Federal Regulations is mandated by law. There is no opportunity for anyone to vote for them, but a period for comments is available. The Osage Nation government should have staff who monitor proposed changes to the regulations which have an effect on its members. If asked, I'm certain the BIA would respond that adequate notice was given prior to the new regulations being implemented.

      Delete
  15. Only two things can have a significant effect on the size of quarterly payments, production and the market price of oil and natural gas. The CFR changes and the new EA guidelines can have no effect on the nation wide price of oil and gas, so in order for them to have caused the downturn in quarterly payments they would have to have caused a significant drop in production. Yet the oil production reported each month in open MC meetings have shown that the first quarter of 2015 had over 200 barrels per day of INCREASED oil production over the first quarter of 2014 when oil was selling for about $100 a barrel and EA's were still being done as they had been for thirty years. However, the 2015 price of oil and gas during this time was about half the 2014 levels, which not coincidentally, pretty much mirrors the fall in quarterly payment. So perhaps some can explain how they think the are to blame?




    ReplyDelete
    Replies
    1. Exactly, Galen Crum thank you for all the support you have shown us Shareholder's. My some tall stories out there.

      Delete
    2. Nice try Galen. If you back out the bump due to the CO2 waterflood, production is down over 2000 barrels/day since 9/12. Production for all but the Burbank flood has dropped due to the threat, now a reality, of the new CFR's, the EA mandate from the BIA, and the Donelson lawsuit. Drilling levels have gone from 300 wells in 2012 to 14 in 2014 and those 14 wells were drilled before the oil price drop. Spin it all you like, Galen, but you screwed up. Two OMC's have voted against the new CFR's!

      Delete
    3. Nice try yourself, but I never claimed that the Donelson case and the resultant increase in EA documentation didn't have a very chilling effect on new drilling and thus at least the potential to harm future production.
      What I did was give verifiable facts that show that none of these factors or the pending CFR's or the phase of the moon could be the cause of our payments being half what they were a year ago. Only two factors matter, production levels and the prices being paid for oil and gas. If production has remained level or even increased, the only culprit left is the fact that these prices are half what they were nine months ago.

      Delete
    4. You conveniently ignore the fact that the only reason that production has increased is due to the Burbank project. Otherwise there has been a more than 15% drop BEFORE the drop in oil prices. 14 wells drilled in 2014 before the price drop and before the EA mess. Could it be that companies were already reacting to the potential CFR mess? Of course your pride of authorship, Galen, would never allow you to admit that. As the previous blogger stated accurately, 2 OMC's have voted against the new CFR's. Are you saying your fellow members are wrong?

      Delete
  16. Has anyone read the Article the Chief posted in the Osage News? With regards to Ones?And I say 5000 Osage Indians need to vote on this Matter! What go you think?

    ReplyDelete
    Replies
    1. The Southern Utes and Jicarilla Apache are completely different than the Osage Nation under federal treaties and applicable law, which is why the BIA treats them differently. Both of the former tribes have a reservation with full rights to the land and minerals, whereas the Osage Nation only has a subsurface minerals estate. Also, the claims that the oil development companies have always been under the control of the Utes and Jicarilla Apache is contradicted by an article which attributes the success to John Jurrius, who is a shrewd investment banker and characterized as "a polished Texan." The success of their business ventures is attributable to running things the John Jurrius way. He charges the Utes $62,500 per month to be their financial advisor. As for the Utes success, this required Jurrius to overcome tribal objections and withdraw $190 million from the tribes coffers for investment.

      For ONES to succeed will solid team of oil industry experts behind a very capable leader like John Jurrius. Simply investing in drilling a few wells isn't likely to lead to greater wealth creation than the small drilling companies are achieving, and the present market conditions are not as favorable as the oil industry has been over the past decade. Many smaller producers are having to cut operating budgets to the bare bones just to survive.

      I wonder how many bottles of wine were served over dinner before this brainstorm developed...

      http://osagenews.org/en/article/2015/06/02/standing-bear-administration-plans-to-develop-oil-and-gas/

      http://www.deseretnews.com/article/650192878/Utes-thriving-after-nearly-going-broke.html?pg=all

      Delete
    2. Thank you for this information, nah all I thought was it only took one phone call...How about a word from the Mineral Council...There is so much we can do and Ones needs to stay away at this point after reading this...but I will say this ask not what someone else can do for us but what we can do for ourselves...and or why we have not gone in an entirely different direction some time ago and the way it is looking and you hit the nail right on the head, and that is many of the smaller producers has not justified the true definition what lies underneath to be realized..for the M.E. the true potential,haven't read your url's you posted but will comment later...I am for change but at a level the M.C which will operate not by another failed LLC by the Nation, where money is used as slush funds and so forth...with more board members and so forth, let Ones go find someone else to manage we see whats going on with the Nation and to be honest not everyone is happy..

      Delete
    3. And this is a buisness model for the M.C to formulate not the Chief...and the success story can be ours not someone else's story the Utes..though I do agree the Federal Government will run us into the ground and more law suits to follow, Pay me 65,000 dollars a year and thats all it will take to get this show on the road...I have been talking about priorities for quite some time with a buisness model in tow. A company lined up to install a IT system state of the art at a discount, thank you. And much more. This for the M.C and for the Shareholder's. Just sound economics and who understands economics 101...Its not that hard..just someone who is willing to take the time and effort not to takes us to the cleaners. Is this what the Shareholder's want is to pay someone 65,000 dollars a month? I'm still at there is alot we can do for ourselves. Ideas are alway welcomed and the future is us to see...Waller has been quiet on this matter, Why? If he fails as a leader does it look as if he is failing on purpose? So this Idea Ones is a better solution to follow the steps of another Tribe in order to get what they want , there hands on the M.E. Think again Whitehorn and Chief...some of us are very intelligent and have operatted Multi million dollar Buisnesses with great success on their own...We can do it.

      Delete
    4. I have been watching the Markets for quite some time, 2017 is a Goal the M.C should try to assertain a full patrolium Office if not already by now..I am also for Galen to be speaker as well and would like to see Ray McClain on the M.C as well as someone who I have not heard in a while Rauk Friend ..and get rid of the Non team players...we need a standard of operating as well...so much can be done and it can be done alone in 6 weeks. It takes experience thats all and not at a huge cost to the Shareholders. A little Polish. And you are right Poster at 3:45 pm its not as if investing in a few more wells is going to add to our success right away...but we need to be at in 2017 is another ball game and we will see the Oil prices rise...again..we will have a New President who will bring to the forefront the Energy Crises and will begin to say drill baby drill..My prediction.

      Delete
    5. The Southern Ute tribe has little memebership..no wonder they are a success story..

      Delete
  17. Ray McClain just pointed out how Shell companies work and how the Osages Shareholder's get robbed by not getting the most for our dollar on our Royalties. This is just an example of how the Captain of our ship is asleep at the wheel...so is the Ones going to be a Shell Company? www.Osages-you-need-to-know.com.

    ReplyDelete
    Replies
    1. The method of artificially deflating oil prices as outlined by Ray is illegal. It relies on related party transactions to commit criminal fraud. As Ray has noted, this can be difficult to even get an investigation started without some evidence. When one party controls both companies it is very difficult to get proof without the help of an insider. However, public records searches could disclose the ownership and control of the purchasers and producers, and any evidence that a purchaser controlled a producer would be sufficient to launch a criminal probe.

      Delete
    2. Wow, thank you such good information. Right wacthing Hilary get Roasted.

      Delete
    3. Why would the Ute need 90 Llc's? Would be hard to chase what is goung on the way I see it.

      Delete
    4. They do it by having qualified staff and working more than 2 days per month.

      Delete
    5. 70 LLCs sounds like a shell game in and of itself. I agree. No transparency means no information on the amount of leverage they have and are carrying. Debt is a killer. They could be in debt way over their heads and still declare a profit. Until you can look at the books of all these LLCs, you have no idea what's really going on. Don't fall for these numbers. The same was said for years about the Mashantucket Pequot and look what debt eventually did to them
      http://webcache.googleusercontent.com/search?q=cache:aJmtPbpv8LEJ:http://www.theday.com/article/20150101/BIZ02/301019270%2BPequot+debt+2015&client=safari&rls=en&oe=UTF-8&hl=en&&ct=clnk
      The debt restructuring agreement expires June 30th, 2015. We'll see what happens then.
      Jurrius had a percentage share in what was happening with those Utes and that's exactly what we're looking into Carol Leese for right now with the Osage, LLC. You are way too easily dazzled by all these big numbers. A skill set on being shrewd is totally absent and needs to be developed here with you guys. Don't fall for all this nonsense. You don't know anything about the Utes other than what they tell you and you've got no way to verify and confirm what you're being told. Same is probably true of the Apache. P.T. Barnum was right.

      Delete
    6. Ray is not telling the whole story. A big reason why there is such a price disparity with respect to the HPP is simply transportation. I know one producer that has 7 locked gates to navigate before a purchaser can pick up his oil. He gets less than the HPP because, otherwise, no purchaser would pick up the oil. Either he agrees to that or no oil gets sold. Pick your poison. How will NYMEX help that situation. It might make the producer just shut his lease in and let the BIA terminate it. Then everybody loses including the Osage Shareholders.

      Delete
    7. "NMTF listed former OLLC, Chief Executive Officer Carol Leese as the owner of the 5.09 percent interest in NMTF and not the OLLC."
      Don't even think about telling me that the Board member Jonathan Taylor didn't know about this situation because he and Leese worked hand in glove on pretty much everything. Get the Board too because they knew or should have known.
      http://osagenews.org/en/article/2015/06/03/osage-nation-files-suit-against-former-osage-llc-management-and-consultants/
      http://osagenews.org/en/article/2015/05/07/legal-action-requested-against-former-osage-llc-management/
      http://static.osagenews.org.s3.amazonaws.com/cms_page_media/43/ON_vs_NewMarketGroup.pdf

      Delete
    8. " It might make the producer just shut his lease in and let the BIA terminate it." HERE IT IS FOLKS. The sentence I've been waiting for and no one will buy the lease at auction off the back end...one after the other. Do you catch my drift?

      Delete
    9. I heard some oil producers are trying to get out and sell their leases and can hardly give them away. We're in real trouble here and Galen and Sonny and Andrew and Ray say nothing about that, do they? If they even care enough about it to know.

      Delete
    10. The one who's really at fault here is Sonny Abbott. Everybody in the Osage knows that Yates and Crum are his go-to guys. Abbott's got plenty but the ones he's hurting now don't. He's the black mark at the center of the bull's-eye and don't you forget it. He's probably behind everything Stand-in Bear wants to do with oil, top to bottom. He gave the most of all to the campaign to get Geoffrey elected. Get Abbott to give the ONES five million dollars start up seed money not the Osage Nation. He wants a back seat at that table, let him pay for it. New CFRs and ONES are bad ideas start to finish.

      Delete
    11. Thank you once again. Here is one thing I have to say, after reading the URL that you had posted which makes you wonder where are our books at? I having knolledge back ground in accounting will stress this is enough, never take the numbers for face value until the Diligence is done...If you do not the consequnce can be Corruption. And in many cases Cronyism is involved. And this is why when I say Maybe we need to hit restart with this Government, the Osage Nation needs to be redefined as in, this is what they did with the OLLc..because, the incompetence is still rampant and croynism alive and well. Lets see from the Red Eagles, Mahuskasheys, to the Redcorns and people these are known names playing with our Money Knowing the Osages are not that Smart, is a slap in the face to Our Culture as a people in our face so blatant. It is long over due our Elders Spesk the Truth about what they Thought our Nation was to be represented as and not so much is ,today...and how that one phone call Mr.Redcorn so proudly said thats how we became a Nation behind closed doors and how the M.E may have been used as collateral to start the Casino's? So,was this foundation built on lies? I know for a fact our Casino's were meant for the Osage People not the Osage Nation...A Per-Cap was the Intent to Share with the Osage People. The Osage must rise to the Occasion stop insisting Osages for fiscal Responsibility isn't working..time to hold the Gov.accountable because ultimately this falls on the Executive, the Chief...

      Delete
    12. I will reiterate this Statment ultimately the Boards responsibility was to protecting Interest. They had the sole responsibility. And If this Nation does not bring them to Justice then the People of the Osage will, Chief..Osages for no more Excuses. This is our Money remember you work for the Interst of the Constituency. It does not matter that they did not know and that can be construed as to be grossly incompetent and negligent and or there's more cover up...see the impropriety already exists.

      Delete
    13. Johnathans Taylor accounts need to be subpoenaed and I concur he needs to be looked at seriously. Why is not the FBI looking into matters?

      Delete
    14. I don't think the FBI gets into it if it's just tribal funding. It has to be Federal funding, I think. I could be wrong but I think that's how it goes.

      Delete
    15. Maybe. I really don't know.

      Delete
  18. Ray McClain posted a letter on his web site regarding the ABB, the American Burying Beatles...www.Osages-you-need-to-know.com. ..Good read.

    ReplyDelete
    Replies
    1. Thank you. I don't always agree with Ray McClain but I have always heard that he is a good guy and I think we should appreciate the hard work he does to bring information to all of us. It seems to me that where we so often get in trouble with one another is because we don't fully understand the opposite or alternative point of view because it's never fully explained. Ray goes to great length to explain his position on things that are taking place in the Osage and to offer his take on what happens at the Minerals Council meetings. From my point of view, we are in a jam now and all points of view need to be put out there and clarified as succinctly as possible. Ray never fails to make that happen and I, for one, am very glad that he does this for all of us.

      Delete
    2. I just read the letters and the press release. Where is this beetle located? I heard that it's only a small area up North in OC and not to be too concerned about. An additional $30,000 get a permit to drill a well in ABB habitat area certainly seems to be cause for at least some concern... if this keeps up for the poor oil and gas producers, I guess you can give my heart to this beetle to bury under the Million Dollar Elm. Is this turning into scorched earth here or what?
      http://www.museum.unl.edu/research/entomology/endanger.htm

      Delete
    3. I concur Osageblogger, we don't understand what we don't see, as well as, lost in translation, the truth. For better words better Communication. I think opinions no matter what they are, are just that regardless how you feel, should be respected irrespectively how you feel..ultimately our Goal is one the same..and not unreasonable should a consensus need to happen. It is hard, this saying goes far, when a truth is a lie, all other truths come to question. We are all in this together and all points should be welcomed. I don't always agree, does not mean that your point as an example, is not taken with a grain of salt or for that matter anyone else's. Its what you take away and believe me, everyone has something to say, is realative to reality. Humility is needed and or forgot. Do something nice today..we sll need to come together in other words. I like to surprise people, especially elders with their Groceries in hand as they put their belongings away and ask if I can help, the look on thier face is priceless. Food for thought...I do appreciate this site, Thank you.

      Delete
    4. When you read about how long the ABB has been protected I have to wonder why the circumstance still exists? And why so many other States are operating with no regard? And, if the Beatles exists, why they are they still on the endangered list? If I read it right since 1978? My hope is the DOI can reach a compromise that will be suitable.

      Delete
    5. I have to say the same thing happened on an acre lot I wanted to sell, couldn't because the ABB landed on my lot..they moved a year later. It took the E.A two years to inspect. Had to threaten a law suit..had a Independent agents help...as back up. It worked..hope we can settle A.S.A.P

      Delete
    6. If you look back in the history of this newly found scheme of a nation government you'll find that the Osage Nation used the ABB as an excuse to keep the wind turbines from being erected in Osage County so it may be a little confusing to the masses when one day the ABB is being cursed out of one side of our mouths and praised out of the other (depending which way the wind is blowing) but then again, that's pretty much the Osage way so far as I can tell NOT TO MENTION that it wasn't the newly found scheme of a nation government that had business in the matter to begin with. THAT and ALL business lies with the MINERAL COUNCIL via the Shareholders which is laughable in itself because the Shareholders are given NO SAY whatsoever in anything that is being done with their VERY OWN assets.----------------Where's the sense in all of this?

      Delete
    7. Right and so right and this is why this matters, my point as yours, "Who is representing the Shareholder's"? Which we are " Central". And we will be consistent with the Drum beat to be revelant. As I have said..we have M.C members, lets define what their Authority is and place..we need a strong Team and should expect no less..Just because we are Indian does not defy common sense as to building a future structured M.C. They have no excuse not to..My Point if the Chief continues the Course he is taking, then as Shareholder's we have the right to share with other Shareholder's whomare not aware of said thus far the Proposal at Present..My Point if you can't trust the Nation to go after the Board Members of the OLLc, Tells me anything the Nation has his hands on cannot be trusted..it takes one rotten Apple to spoil the rest..in this case I see to many rotten Apples. It's long over due the Shareholder's speak abut what they want.A full Petroleum office fully equipped from Advertising to a legal department and so forth. Not ONES! Staffed by our M.C who we trust, well some of them.

      Delete
    8. Really, why can't the Shareholder's even get a word out to them, from the M.C , what they think about the Chiefs Proposal? This is out of control with respect to the Shareholder's.

      Delete
  19. The EPA just posted Fracking creates no real harm to drinking water...Good News!

    ReplyDelete
    Replies
    1. As long as the Industry Standard is followed, safe guard measures..and so forth poses no impact on drinking water...Question? Do we have that Technology working for us on the Burbank Field? And if not why not?

      Delete
    2. Burbank is probably the best managed area of the county and the last of our worries. Some other drillers are doing a good job, elsewhere. When the new cfrs become effective, fracking will be regulated all over the rest of the county. Fracking was not addressed in detail in the previous cfrs.

      Delete
    3. If fracking was to occur, the EPA would not stand in the way, as long as the fail safe guards is in place. And yes more Competition would developmfrom this technology which is long over due.

      Delete
    4. Pardon, my type O.

      Delete
  20. Thank you to the poster above that mentioned me. While I have been keeping track of everything that is happening I have chosen not to comment simply because I could not see that it would change anything. As Osages we remain divided and in a state of chaos. Until we can find a solution to this we will not move forward effectively. We continue to be shareholders & non-shareholders, those that support the new form of government & those that oppose it. Then there are the insiders and the outsiders, the prominent Osage families and the "others". If we are to prosper we will have to discover a way to mend these divisions. We are our own worst enemies. We have allowed the U.S. use the old divide and conquer technique on us & it is working.

    When I ran for the MC a few years back I said, "As long as we elect the same people we will get the same results we always get." By and large that is what is happening. A great many voters have no knowledge of the people they vote for. They vote for them because they are relatives or because they were recommended by a friend or relative. They are uneducated about the issues we face. They vote for someone because they met them and heard them speak at a meeting. Education and communication for voters must be a priority if things are going to change.

    I would like to take a few lines and address this proposal by the Chief regarding minerals. As I understand it he wants the ON to get into the production end. They will have an LLC that is essentially acting as a producer. This means they will have to come to the MC just like any other producer. It will be up to the MC on how to handle the situation. The shareholders will still get their royalty and the ON will get the producers cut. From what the Chief told me that is what I understand.

    I have seen talk about why doesn't the MC get into the production end. Simply because they can't, they don't have any money for it. All the money that comes to the MC is royalty money, YOUR MONEY, and they don't have the authority to spend it in that way.

    For the handful of you out there that may wonder if I have any plans to run for office again, the answer is no. The only way I would even consider it would be if a large number of people asked me to & I find that hard to see happening. I will retire in about a year and a half & can think of many better things to do with my money than spend it campaigning with little or no hope of winning. I love my Osage people but until they can put aside the greed, jealousy & resentment that divide them I don't see a way that anyone can lead them into the prosperity that I know we are capable of.

    Thank You

    ReplyDelete
    Replies
    1. Thank you for your reply. .We missed a great opportunity not having you on the M.C..Rauk Friend. This I know for sure..and could you have been more Honest? Lol...You candid opinion so welcomed. I appealed to you because in my opinion your opinion matters and resonates loud and clearly. I hope others see the true Reality as I to have pointed many occasions, I have not given up the fight for what you and I agree to be the real problem ,as one in the same and forgive for generalization when I say it goes without saying...many problem exist, my hope a concensus can hqppen..if not, there is Plan B...My eyes wide open ,good to hear from you and glad you read this site from time to time..your friend always and or by the way congrats on your retirement enjoy..I have.

      Delete
    2. Rauk! Wow! I am so happy to see you posting here and letting us know what you think. I couldn't agree with you more on how divisive things are with the Osages just now and how easily we can be taken advantage of for exactly this reason. Please keep posting comments here. It's great to have your thoughts in writing in this type of venue once again!

      Delete
  21. Congratulations to American Pharoah!!! The first horse to win the Triple Crown in 37 years!!! Outstanding!!!!!!!

    ReplyDelete
    Replies
    1. Some happy news for once in such a long long time.

      Delete
  22. As an Osage County oil and gas producer, I received a letter from the Superintendent dated June 5, 2015 advising all producers that we need to be incompliance with the new CFR’s on or before July 10, 2015; she threatened us with fines and penalties if we have not met the requirements by that date.

    I am not able to meet the requirements by the deadline and possibly might not ever be able to do so. I have spoken with several other producers who are also not going to be able to comply. Five weeks’ notice to make the changes to our leases and to come up with the cash required for the additional bonding requirements is unachievable for a significant number of us.

    In Galen Crum’s press release, he misrepresented the facts concerning the bonds. It is true that the premium amount for the bond is minimal (approx. $250.00/year); however, for me to obtain the bond from my insurance company, my bank has to issue a letter-of-credit in the amount of the bond ($5,000.00) which is then pledged to the insurance company issuing the bond. My bank also requires that I establish a certificate of deposit in the same amount to be used as collateral for the letter-of- credit. In other words, each bond will cost me $5,250.00 cash. Most of us small producers cannot afford to bond several dozen wells each within this time frame and maybe never be able to do so.

    The cost to make the valve changes on each of our batteries is also very expensive and even if we had the extra funds to comply (which I don’t ), we could not get the work performed on all our tank batteries prior to the July 10, 2015 deadline. A typical two-tank battery will require replacement of seven valves. Even if a supply store had in-stock the thousands of valves necessary to accommodate all of Osage County, the roustabout companies which have survived could not service all of our properties prior to the deadline.

    The producers are not going to be able to comply to the new CFR’s for these reasons and many more.

    If the Superintendent follows through with her threat to fine and penalize us effective July 11, 2015, we’re doomed. I anticipate thousands of wells will soon be abandoned in Osage County with many of the producers facing the possibility of filing for bankruptcy protection, myself included, to be sure. I wish the Shareholders good luck. I am also a Shareholder who is very saddened by the current situation.

    ReplyDelete
    Replies
    1. What? You're supposed to be given some sort of grace period to make these changes and come into compliance aren't you?

      Delete
    2. I to thought there was going to be A Grace period..if not some one better get on the Phone with Sally Jewell.

      Delete
    3. Before we get too excited, how about posting a copy of this form letter you speak of. If you are going to give us information, give us ALL the information.

      Delete
    4. To PROTEST this Bureau of Indian Affairs (BIA) arbitrary compliance requirement without a grace period for the Oil and Gas Producers in Osage County:
      Contact the Oklahoma Delegation if you live in the State of Oklahoma at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=ok
      Contact the California Delegation if you live in the State of California at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=ca
      Contact the New Mexico Delegation if you live in the State of New Mexico at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=nm
      Contact the Texas Delegation if you live in the State of Texas at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=tx
      Contact the Arizona Delegation if you live in the State of Arizona at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=az
      Contact the Colorado Delegation if you live in the State of Colorado at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=co
      Contact the Kansas Delegation if you live in the State of Kansas at http://www.contactingthecongress.org/cgi-bin/newseek.cgi?site=ctc2011&state=ks

      Delete
    5. To PROTEST the new CFR compliance requirements without a grace period after July 10, 2015, for the oil and gas producers, contact Sally Jewell at http://www.doi.gov/public/contact-us.cfm
      To PROTEST the new CFR compliance requirements without a grace period for the oil and gas producers, contact Kevin Washburn, Assistant Secretary of Indian Affairs at http://www.indianaffairs.gov/ContactUs/index.htm
      To PROTEST the new CFR compliance requirements without a grace period for the oil and gas producers, contact Eddie Streater, Acting Regional Director at http://www.bia.gov/WhoWeAre/RegionalOffices/EasternOklahoma/index.htm
      To PROTEST the new CFR compliance requirements without a grace period for the oil and gas producers, contact Robin Phillips, Superintendent, Osage Agency at http://www.bia.gov/WhoWeAre/RegionalOffices/EasternOklahoma/WeAre/Osage/index.htm

      Delete
    6. There is no grace period. Fines start July 11, 2015. I have scanned the letter in pdf format but do not know how to post it to this blog. Please provide instructions and I will do so. The letter states that if we cannot comply before the deadline we can write to the Superintendent prior to the deadline and beg for more time. In this event we are to describe in detail why we need an extension and provide a date as to when we will be able to comply. In my case and many others, we will never be able to comply. It's bankruptcy for sure. Please let me know how to attach the letter.

      Delete
    7. Send the PDF to this e-mail address and I will post it for you ASAP:
      osage_election_news@comcast.net

      Delete
    8. I'll do it now. Thanks

      Delete
    9. Isnt there a puchase extension agreement.that the M.C can come up with and the BIA could agree to agree or not lets take the Bull by the Rains floks. Be the driver of our Estate. .

      Delete
    10. From May 11 until July 10 is 60 days. Was that not notice enough? There's still half of the 60 day grace period left. All this protesting is B.S., propelled by a lot of hot air. These cfrs are now federal law. I suggest you use these last 30 days wisely. The letter to ask for a further extension will take a few days, so don't be late. It looks to me like a reasonable request by letter before the 10th of July is all it would take for an extension. However I don't think this constant whining will be considered REASONABLE.

      Delete
    11. They can't make this work. They can't make it happen. What are you? Some kind of sociopathic dolt or what? These oil and gas people help put a roof over my head, clothes on my back and food in my mouth, you ungrateful lout. You make me ashamed that there is anyone among the Osages who would write such a disrespectful statement. Whining? How dare you! You really should die of shame.

      Delete
    12. If the new CFR's are implemented July 10th, 2015, our oil and gas producers are doomed. This will result in thousands of wells being abandoned and eventually plugged; not by them, they will be broke and long gone. There will be thousands of wells abandoned with no cooperation of the former operator to advise of the plugging conditions. They will, for good reason, be adversarial. Are we going to sit silent on this devastating demise of our ME? So far, as I can tell, the Headright owners are non-responsive on this issue. Good bye quarterly checks! Hello plugging liabilities.

      Delete
    13. Don't give up yet. There will be a groundswell coming along right about now.

      "If you should have any questions in this regard, please contact Tina Cox by calling her at (918) 865-8027 or e-mail her at bugcreekbeauty@gmail.com. Tina is also an Osage Shareholder and an Osage County producer who understands our plight; she has volunteered to assist us in answering any questions you may have; in the event your questions or concerns are beyond her scope of knowledge, she will direct you to someone else who can provide additional information. I am requesting that you please join me in making a contribution to the Osage Producers Association’s legal defense fund today. This is a 501(c) (3) non-profit organization. Please make your check payable to the “Osage Defense Fund ” and mail the contribution to the following address:

      Osage Defense Fund
      c/o Osage Producers Association
      P.O. Box 635
      Hominy, OK 74035"

      Delete
    14. As an Osage County operator, we do not know anything about a May 11th notice date for anything. My company received a letter on Saturday, June 6th, 2015 to advise us of the new CFR's. Never before Saturday have we been contacted by the BIA, Osage Mineral Council or otherwise that there were discussions regarding a new CFR. Of course, we heard rumors of something going on, but we were not included as Osage County producers or as Osage Headright holders as to the secret actions taking place. I hope you are an Osage Headright holder dependent on the royalties that I produce for you. I am an Osage County producer and also a Headright holder and very ashamed of our lack of support for our oil and gas producers.

      Delete
    15. You should be. This is one of the worst regulatory disgraces I've ever seen, in fact, I've never even heard of anything this bad in my life. This is so uncivilized, it's like something that would happen in Venezuela or in a Banana Republic. The way the O&G Producers are being treated right now they'll never come back once they leave and why should they? This is preposterous what is taking place in Osage County. Shame on the BIA and every Mineral Council person who has been foolish enough to be duped into all this by the BIA who are systematically destroying the oil and gas market conditions by requiring a blanket compliance that is impossible for the small producers to deal with resulting in a catastrophic loss of income of the shareholders.

      Delete
    16. In a private meeting between the BIA and the Osage Producers Association, the BIA was asked to give a grace period for the new CFR's. The Superintendent replied" absolutely not." There you have it. The BIA is intent on crushing the Osage Mineral Estate through the death by a thousand paper cuts.

      Delete
    17. It needs to be appealed to the DOI. It is out of the Hands at the BIA, I for one am for the said changes and did the research over three years ago and knew the prices of the Valves can get up there in price...That being said. To the Producer who posted on this site Thank you for posting here...How much longer of a time is needed? Yes we can write a letter to the BIA and the DOI on the behalf of the Producers authorizing an Extention after all we won the HPP pennies on the dollar but non the less it is what it was...If we can win a suit like this then we can authoriz a letter of ntent. Remember they hold the trust thats it...a piece of paper. We are the authorized body the M.C and the Shareholder's.

      Delete
    18. The Code of Federal Regulations, or CFRs, is a set of guidelines by which federal agencies, boards, and commissions will carry out a law. The CFRs are NOT laws. The United States Code contains the general and permanent laws of the United States, and are a codification of the Public Laws as enacted by the U.S. Congress. Where the CFRs are inconsistent with laws of the United States, they are of no effect. The new CFRs should be looked at closely for conflict with the actual laws and a challenge raised in the U.S. District Court for Northern District of Oklahoma.

      Delete
    19. Congratulations on your three years of research; was it your intent to run-off the oil and gas operators and eliminate the Shareholders payments? Did you also consider the damage you are doing to the local service companies, retail stores, restaurants, etc. I have friends and family members suffering due to your assistance in this fatal action. I wouldn't be bragging if I were you. I think tar and feathers are in order.

      Delete
    20. I believe the following will be viewed as an unpopular opinion, but Obama and his insiders simply hate fossil fuel. They've been working to curtail fossil fuel production and use, and making slow but steady progress to move that agenda forward. That's what "progress" and "forward" really mean. Osage County isn't alone as victims of the war on fossil fuel. Roughly 65% of the West Virginia economy is provided by coal mining, either directly by mining or indirectly through company and employee spending in the local communities. Just as the failure to approve permits and actions to shut down operating mines have been devastating to West Virginia, so will be the effects of these new CFRs to Osage County.

      Delete
    21. With all due respect to Facebook and there is no doubt that it's a superb venue deserving of our highest compliments but were not about popular or unpopular, liked or disliked here on the Osage Blog. Part of our mission is to get to the truth of the matter, get it out there in the open and keep 'em honest. You're doing good. Just please keep your comments in line with the thread it belongs under. Thank you.

      Delete
    22. There should be some sort of hardship exemption under the law that can be discovered and employed to halt the forward motion of these CFRs, effective as of July 10, 2015, if it takes six months or more to come into compliance or put everyone out of business.

      Delete
    23. Are there any subsidies that the Federal government makes available for small business owners that can be used to keep the mid to small producers from going out of business? Could be oil and gas or straight small business subsidies. I'm not talking about loans. Does anyone know?

      Delete
    24. Information on U.S. Government Committees of the House and Senate:

      U.S. House of Representatives;
      Subcommittee on Oversight and Investigations and Members (The Subcommittee on Oversight and Investigations will pursue aggressive oversight of the Obama Administration[Executive Branch] and federal agencies, programs and policies within the Committee's jurisdiction.):
      http://naturalresources.house.gov/subcommittees/subcommittee/?SubcommitteeID=5064
      The Subcommittee on Indian, Insular and Alaska Native Affairs and Members:
      http://naturalresources.house.gov/subcommittees/subcommittee/?SubcommitteeID=5066
      Committee on Natural Resources Contact Information:
      https://naturalresources.house.gov/contact/

      The U.S. Senate;
      http://www.indian.senate.gov/
      The Senate Committee on Indian Affairs and Members:
      http://www.indian.senate.gov/about/committee-members
      Contact Information:
      http://www.indian.senate.gov/contact

      Delete
    25. Wow, Osageblogger Great effort and must commend you and the Diligence it takes...to the person who said Congratulations, you obviously have malicious contemp for those who do not share in your opinion and or not a Shareholder. You have your opinion as I do mine and my bet once again how much Business experience do you have in Management and Accounting? Probably not even half the Experience I have...just saying it would behoove you to listen....then attack..you act like this is your estate, Sorry it isn't its all of ours and I can Guarantee you, I probably have more Headrights than you as well...so if you do not think I have a huge interest I do....and rarely am I mistaken. Oh, and you know what success is? Admitting when you are wrong..

      Delete
    26. Why not Get the Shareholder's opinion in the Osage News? The M.C can, so should we. Everyone should call the Osage News to get this out there.

      Delete
    27. https://www.facebook.com/OsageNews/photos/a.153834188010750.33094.134873493240153/919807704746724/?type=1&theater

      Delete
    28. An Open Letter to the Shareholders from Paul S. Revard for your review is now located at http://edigital.iserver.net/osages/letter_to_shareholders.pdf

      Delete
    29. Great open letter.

      Delete
  23. I know the government can do just about anything it wants & get away with it until they are sued and lose BUT I don't see how it is "legal" to make these new policies retroactive. If a producer entered into a "contract" with the BIA & MC before these new changes became "law" did they not follow the policies in effect at the time of the contract? How can the BIA now, legally, say we don't care what we agreed to last year we are changing the rules in the middle of the game? Something does not seem right here. Would not the producer have to agree to a new contract?

    I mean if I went to the bank and got a loan for 3% for 10 years and the bank came back in a year and said "Oh, Mr. Friend, we changed your loan & your interest rate is now 8% and you have to pay the loan off in 5 years, I think I would be at the lawyers office in about 2 seconds. Or if the speed limit on your street is 40mph and on April 1st it changes to 30mph. Then along comes the cop and pulls you over for going 40mph on May 21st. That is unacceptable! You were following the existing rules and laws on May 21st.

    I am very sorry this is happening to our producers. While I think the old rules allowed those that chose to to take advantage of the shareholders, I don't believe that making such an abrupt change and expense to our producers will be beneficial to us either.

    There needs to be some balance here, some better communication amongst all parties. We don't need drama from the BIA. We don't need Drama from the MC. We don't need Drama from the producers. We don't need Drama from the land owners. All of these have a stake in this and need to be heard.

    I am still confused as to how this can be retroactive on agreements or contracts made prior to the new CFR's. Can anybody explain this to me.

    Thank You

    ReplyDelete
    Replies
    1. Rauk Friend I concur. It isn't as if the changes happened so fast, because these changes were taking place for a long while and you knew the valves were going to be hit...This is no surprise to most..Producers. Compliance will no longer be the complacent. As to now we are current to industry "Standard". There needs to be a balance. And we would not be in this position had we had a full running Petroleum Office and no denial there can my statement be disputed. The due diligence is required by our M.C...we need a full bodied office and not ONE's. Had we had a Compliance Dept..and Legal Dept..we would be better prepared, but we don't. At this point we should be having that conversation, as well as sending over a memorandum to Sally Jewell at the DOI. Drama cannot be the new crises of operation of our M.E. We should be taking care of our Buisness not the other way around, operating by crisis. My point, inefficiency is not an excuse to not accept exceptionalism from our M.C..what we have in a nut shell is no Organization and there of..Thank you Galen for keeping the Shareholder's comprised,not nearly enough..like right now for instance..or going to the Osage News and give your opinion would be helpful.

      Delete
    2. Thank you, Rauk! You're acting as the voice of reason. Yes! I agree. Great questions. Why weren't those who are already here with purchased leases, grandfathered in under the old CFRs so that they don't have to comply with any of the new regulations?

      Delete
  24. Again, The Minerals Council Meeting dates for June, 2015 are on the 12th and the 17th at 10:00 AM., CSDT. They are broadcast live online at https://www.osagenation-nsn.gov/multimedia/live-media Now couldn't be a better time to attend the meetings.

    ReplyDelete
  25. Have any of the individual Headright owners that post to this forum considered hiring an attorney in an effort to stop the implementation of the devastating new CFR's? I think we should discuss the possibility of filing a class action lawsuit against the BIA or DOI. The MC has not shared any information with us regarding their plans and they are divided on this matter. Are their any attorneys among us that could advise us here?

    ReplyDelete
    Replies
    1. This is good Idea, I am sure we could enlist Dan Reneke ...isnt he the Lawyer who helped us with the HPP? I think I still have a number for him...It does not matter the M.C is devided their couod be only one outcome and that is for the Shareholder's and the Protection of the M.E future..This day was coming as predicted and a shame all in one that our M.C could not see the forest for the trees...This behavior by and by the BIA and the DOI is unacceptable. Better for them to come to a concensus. We will win this argurment as well...had we been in a better place , in other words, organized we would not be where we are at, keep on Voting for the same People, this is what happqens and at this point change needs to happen at the highest level of a higher standard, no less than exceptionalism.. Change needs to come today. And the upmost is urgent and required by any standard, communication, long past due, should we not make fodder of our past but let our past not be a shadow, but be the ligbt that will bring our M.E to a better and brighter future should the Shareholder's Unite, and will unite for one common Goal, for fiscal responsibility. At this point and juncture, we need to file a injunction against the BIA and the DOI in Federal Court.

      Delete
    2. I don't want to throw cold water on this idea but there is a question of standing as to who has the ability to bring an action in court. Amazingly enough, the shareholders tried to intervene on their own at one point in all these legal processes and were told in court that they have no standing to sue at the Federal level and that the action must come from the Osage Tribe/Osage Nation that does have such legal standing as the representative of the Shareholders. Can anyone fill in the details on this? With so many legal actions flying around since the new government took over, it's hard for me to keep them all straight.

      Delete
    3. As an Osage Headright holder, I am willing to be named as one of the Plaintiffs. I have spoken with a dozen more family members who are also Headright holders who are willing to participate in legal action. I would be interested in knowing what Dan Reneke's opinion is. If you know how to contact him, please do so. We have already suffered financial damages due to the announcement of the new CFR's that occurred on May 11,2015 and which damage might be reflected in our next quarterly checks. One reason our most recent checks were as high as they were is due to the short-lived bump in production from the recent Burbank activity. This "flush" production will decrease over time.

      Some Osage County producers are shutting down and preparing to abandon their wells and leases due to the fact that it is not possible for them to comply with all of the new requirements between now and the July 10, 2015 deadline. What supply store has tens of thousands of the new valves in inventory this day and age. How can the few roustabout companies and vacuum trucks left in Osage County manage to perform the necessary work on all of the tank batteries in Osage County within this time frame? What bonding company is willing to and able to issue tens of millions of dollars of surety bonds within these next few weeks? It's not possible. The Feds are imposing regulations that a very few large oil and gas companies can comply with. The majority number of producers in Osage County are small entities with very limited resources especially now with the low price for oil and gas production. They are considered "poor-boy" operators trying to survive in a very bad climate. Fines start July 11, 2015, as the Superintendent enjoyed reminding the producers in her letter dated June 5, 2015. Shame on her and her arrogant attitude. We should picket her office sun-up to sun-down. The least she could do is take a few on-line classes and learn a little something about the oil and gas business; or she might consider meeting with some of the producers who could explain the business to her from their perspective.

      Delete
  26. This thread is now closed. Go to: http://osageblog.blogspot.com/2015/06/osage-shareholder-matters-june-2015.html

    ReplyDelete