Fortress Management, LLC
7228 Industrial Loop
Shreveport, Louisiana 71129
Re: Oil, gas and mineral lease negotiations
I am the owner of the following property in Caddo Parish, Louisiana:
I understand that you have contacts with one or more oil and gas companies that have indicated an interest in obtaining mineral leases on lands in the parish in which my
property is situated. I wish to authorize you to seek and solicit offers for mineral leases of my property on the terms and conditions set forth below:
(1) During the term of this agreement, you are hereby authorized to seek and solicit offers for mineral leases upon my property. However, I am not empowering
you to commit me or my property to any specific terms or conditions or to execute any mineral lease on my behalf. If your discussions with one or more oil and gas companies result in
their submission of a mineral lease for my consideration, I understand that it will be up to me to review the lease and to make the final determination of whether I am willing to lease
my property upon the terms offered. I understand that I am not obligated to enter into any mineral lease or to accept any terms which may be offered to me for the lease of my property.
Whether I choose to lease my property, or the terms upon which I choose to lease my property, will be a decision I will make in my sole discretion.
(2) Though you may provide me the benefit of your thoughts concerning the desirability of the terms of any mineral lease that may be offered to me, I acknowledge
that I am not looking to you for advice or recommendations as to the terms that may be offered for the lease of my property. Instead, I will consult with my own attorneys, accountants
and other advisers for such advice.
(3) I have the right at any time to make direct contact with and receive direct communications from representatives of oil and gas companies any time I choose to
do so. However, I agree to notify you prior to doing so and to provide you with a copy of all such written communications made during the term of this agreement.
(4) I understand that the execution of this letter does not obligate you to take any steps toward the end of obtaining offers for the lease of my property, and you may
choose whether and when to exert such efforts in your sole discretion.
(5) I understand that oil and gas leasing negotiations involve substantial risks. For instance, if I delay in executing a lease that is offered to me, or if I hold out for
better terms, the oil and gas company offering to lease my property may lose interest in leasing my property or may decide to lease it only upon terms that are less favorable to me. I
also understand that if I accept terms that are offered to me for the lease of my property, it may turn out that better terms are offered to other persons at the same time or later. I also
understand that the terms and conditions that are offered to landowners can vary widely and that the terms and conditions which may be offered to me may be substantially less
advantageous than those offered at the same time to another landowner. I accept each of these risks and agree that you will not have any responsibility for the risks that are involved in
negotiating a mineral lease on my property. I understand that I will at all times be in full control over the decision of whether, when and upon what terms I am willing to grant a
mineral lease covering my property.
(6) I SPECIFICALLY ACKNOWLEDGE AND AGREE THAT YOU HAVE NO OBLIGATION TO ATTEMPT TO OBTAIN FOR ME THE MOST
FAVORABLE TERMS THAT ARE OFFERED TO ANY LANDOWNER. I also understand that, even though you may attempt to have a prospective mineral lessee offer me the same
terms that are being offered to other landowners, there is no guarantee that it will do so. I understand that this means that the terms upon which I ultimately lease my property, if I
decide to lease it at all, may be less favorable to me than the terms upon which property owned by other landowners is leased.
(7) Realizing that sharing of information concerning the terms being offered by oil and gas companies can be beneficial to me and other landowners, I waive any
right to confidentiality with respect to any terms which may be offered to me for a lease covering my property, and to the extent that such information may become known to you
(either by disclosure from prospective mineral lessees or by communication from me directly), I authorize you to share that information with other landowners with whom you are in
(8) If, during the term of this agreement or within 180 days after its termination or expiration, I enter into a mineral lease of all or part of my property with an oil
and gas company with whom you have negotiated on my behalf during the term of this agreement (whether upon the same or different terms than those which the company may have
offered through you), I agree to pay you a commission in the amount of 4.0% of the bonus payable to me in connection with my execution of the mineral lease. This commission will
be earned and payable in full at the time of my receipt of the bonus (regardless of when such receipt occurs, whether before or after the termination or expiration of this agreement or
before or after the expiration of such 180-day period). At the time of execution of the mineral lease, I agree to instruct the oil and gas company to make direct payment to you of your
commission from the bonus otherwise payable to me.
(9) I specifically recognize and agree that you do not represent or warrant any specific results, nor do you represent that any mineral lessee will be willing to offer a
mineral lease for my property or the terms that may be offered to me.
(10) The term of this agreement shall commence on the date of my signature below and shall expire 90 days after the commencement date. Unless either of us has
given the other notice, at least 30 days before the expiration of that term, of the desire that this agreement not be renewed, this agreement shall be automatically renewed for successive
periods of 30-days thereafter, unless and until one of us gives the other notice of termination, in which event this agreement shall terminate 30 days after such notice is given.
Notwithstanding the foregoing, either of us may terminate this agreement at any time, whether during or after its initial term, upon 30 days' notice to the other. No termination or
expiration of this agreement shall impair your right to compensation with respect to a mineral lease which I may have signed prior to termination or expiration or that I may sign within
180 days after termination or expiration.
Yours very truly,
__________________________ Print name __________________________________________
__________________________ Address: __________________________________________
ACCEPTED this ___ day of _____________, 200__:
FORTRESS MANAGEMENT, LLC
email@example.com 318-683-0943 Fax www.fortressmanagementllc.com