Black Dragon Resource Companies Inc (BDGR)

[localoil]

Howdy,

You said, "It's a long way from now until the audit numbers are presented, but I now have a better feeling as to why the audit is taking so long. They are dealing with hundreds of wells, dozens of leases, and who knows how many original mineral rights owners."

This is what I get from the lease brokers I've been talking to.

You may have many wells on a single lease. The purchaser of the oil has a Division Order Title Opinion that sets out the how each owner is to be paid, Royalty, Overriding Royalty and Working interest. All that has to be done in a transfer is to give the purchaser a certified copy of the deed or assignment (or updated title opinion) and they update their division order to reflect the change of ownership. How many original mineral owners there were matters not at all since their interest have already been leased. I believe I got that right.