• Report: #944244

Complaint Review: Cannon Operating Company TRUSTED BUSINESS | Ripoff Report Verified Safe™ …businesses you can trust. Cannon Operating Company, oil, gas exploration & production company founded to take advantage of current market conditions, need for domestic oil production. Protruding from market clouded in haze by over promoted projects, wildcat operations, Cannon Operating sets itself apart. Cannon's team strongly believes domestic hydrocarbon exploration projects are fundamental defense from which Americans can be free from grasp of foreign oil, unstable market reactions.

  • Submitted: Thu, September 20, 2012
  • Updated: Tue, June 16, 2015

  • Reported By: Jay — Macclenny Florida United States of America
Cannon operating LLC
4125 Broadway Boulevard, Garland, Texas United States of America

Cannon Operating REVIEW: Cannon Operating dedicated to customer service, finding best projects possible for partners.
*UPDATE: Cannon Operating pledges commitment to Ripoff Report Corporate Advocacy, Business Remediation & Customer Satisfaction Program. A program that benefits consumers, ensuring complete satisfaction, confidence when doing business with a member business. Cannon Operating recognized by Ripoff Report Verified™ as a safe business service.

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EDitor's UPDATE: Positive rating and recognition has been given to Cannon Operating for its full commitment to quality customer service.

Ripoff Report's discussions with Cannon Operating have uncovered an ongoing dedication by the company to total client satisfaction. This means that clients can expect that the company will work towards finding a mutually satisfactory resolution to any concerns. Cannon Operating listens carefully to client concerns and sees them as an opportunity to learn from past mistakes and become more efficient as a company in the services offered and the support for those services.

Cannon Operating's owner William Baker has informed us that his personal philosophy is that his clients success is the heart of the business. [continued below]....
..... As a successful business man, Mr. Baker feels that it is critical to listen to his clients and respond properly. By always striving to get better in every aspect of the oil and gas business Mr. Baker is determined to be a successful player in the industry for many years to come.

The information provided in this report is based on comments made by William Baker during an onsite inspection held by a third party verification company with no biases toward Cannon Operating Company.

Cannon Operating Company is an oil and gas exploration and production company. This is a unique and beneficial venture that offers domestic hydrocarbon products that are often imported. William Baker proceeded to explain the basic business model of his company, "we drill low risk projects and we provide tax benefits for our farmers. We set long time goals for them. We set up a team well program for each and every one of them. We are not drilling isolated wells. We are drilling and developing fields.”

Cannon Operating is Ripoff Report Verified
Ripoff Report Verified™ .. part of Ripoff Report Corporate Advocacy Business Remediation & Customer Satisfaction Program.A program that benefits the consumer, assures them of complete satisfaction and confidence when doing business with a member business..

Cannon Operating Company utilizes several different venues in order to obtain leads for their company. One of these tools is using companies that verify lead generations and are in compliance with the do not call list, and all of the regulations that are necessary to call these people. Mr. Baker went on to state, "the most important course is by referral of existing clients. You can't get a better stamp of approval that a satisfied customer." Mr. Baker also explained the sales process for his company. They first contact credited investors and inquire to see if they are interested in looking at prospective work on a project. If initial interest is placed then Cannon Operating will send them information, and set up a time to go over the provided information with them.

During the onsite interview Mr. Baker was asked to describe a situation where a client was not satisfied with the level of service they received. Mr. Baker explained a situation where an investor was not contacted or updated by his project manager, "he got upset and without finding out what the problem was [and] he wrote a negative review." While this is not a common complaint for Cannon Operating Company their at protocols in order to provide quality customer service. The employee that was in charge of the account no longer works for the company, and management reached out to the client in order to clarify the situation. The investor was ultimately satisfied with the attentive nature of Cannon Operating Company, and is still a partner, "the client is happy and he has invested in 4 more wells.”


When asked to comment on the complaints posted on Ripoff Report's website Mr. Baker stated, "one of them was my former partner. We started this business in 2009 and he relinquish his position in early 2011 and he hasn't been with the company since then. The other employee originally worked for our company and went to a competitor company. He posted on Ripoff to try to cause any problems for us in a competitive manner. There is a lot of oil companies out there and anything you can post out there will increase their chances of getting a new investor." Mr. Baker also explained that there was an issue that arose with the phone system when the company was moving buildings. In order to assure future clients Mr. Baker stated that they hold the following accreditations, "we are rated A+ with the BBB and have been for the last 5 years. We have about 8 testimonials from existing clients.”

When asked what type of changes they have made to honor their commitment to make things right with the customer per the request of Ripoff Report. Mr. Baker explained that they now provide frequent updates to their clients as well as, "we try to hire the best people to be able to keep the partners updated. It's all about increasing our partner network and that's why we have those positive testimonials.”

Cannon Operating Company is proud to be a part of Ripoff Reports Corporate Advocacy Business Remediation and Customer Satisfaction Program. Mr. Baker stated, "it's just to let people know we are doing the right thing. We take pride in what we do. We are giving our guys the best deals. We don't take them for granted. We work really hard for them. Nothing happens overnight in this business but we try as much as we can. They all know we are a phone call away. We have a lot of happy investors and that is how we are getting referrals. We want to have something positive instead of a negative. We want to shed some light in a few people that has gone in there and said some things, is what we are excited about. It is very important for us to be part of that. We constantly look for new partners/investors because the more partners we have, the more money we can bring in annually and that allows us to drill more wells each year. With today's digital age everyone looks online to look up people and it’s important for us to have a positive presence on the internet because without that it will hurt our business.”


"Preparation for Drilling

A lot of people think that drilling for oil amounts to finding a spot where "bubblin' crude" oozes from the soil a'la Jed Clampet -- drilling a hole and waiting for the black sludge to come squirting to the surface like Old Faithful. It's not quite that way. Drilling for oil today is a complex, scientific process of coaxing oil that's deeply embedded in sandstone or limestone, not like a gusher, but more like a leaking faucet -- drop by drop.

Cannon Operating's engineers and workers use a combination of sciences including seismology, geology and physics. Once geologists have determined that an area may contain oil, dirt work begins at the drilling site to prepare a suitable location for the drilling rig. A drilling rig, complete with a 90-foot derrick (mast) is erected at the site.

Once the engines are assembled on the site and the rig is up, drilling for surface casing begins. The surface casing is usually set below any fresh water formations, often approximately 300 to 400 feet deep. The casing itself comes in 40-foot sections, which are threaded at both ends. Workers, or "roughnecks" attach the sections with a "collar" which also is threaded. Chains are used to spin the pipe into the threaded collar. The roughnecks then tighten the collar with a large pipe wrench. Once the surface casing has been run into the hole, a special cement is pumped in. The cement seals the area between the surface casing and the side of the hole protecting all fresh water formations from contamination as the well is drilled deeper. Then, drilling commences once again.

Drilling, Testing & Completion

The drill bit and 30-foot sections of drill pipe are used to drill deeper toward the potentially oil-bearing formation. A liquid consisting of fresh water and bentonite is mixed (on the fly) to a gelatin-like consistency and is pumped into the hole to carry the drill cuttings to the surface. This liquid is called "drilling mud.”

Once the hole reaches the desired depth, , logging begins. Logging is the process of determining which of the formations between the surface and the bottom of the well contain oil and gas and which formations contain merely water. An electrical cable and a "logging tool" are lowered into the hole, and the tool sends electrical charges into the formation. Logging contractor employees prepare to lower the 20-foot logging tool into the hole. 5000' of drill pipe is standing beside them. The tool then sends this geological information to the "logging" truck where a computer processes the information. The information which can be derived from logging includes rock type, porosity, and resistivity (oil resists electricity; water conducts it).

Once this information is gathered and studied, a decision is made to either plug or complete the well. This is called the "casing point decision." Once the decision to complete the well has been reached, enough casing is lowered into the hole to reach the bottom (often over 5000 feet). A worker, called a "stabber" makes sure the casing is "stabbed" straight into the joint of each piece of casing. Power tongs screw the pipe together until it reaches the proper torque. Cement is then pumped into the hole through the casing. When it hardens, the cement forms a seal between the outside of the casing and the wall of the hole itself. The last joint or section of casing pipe is then cut off at ground level.

The Final Touch

The rig and derrick are removed, and a service rig moves in to complete the well. A perforating gun blows holes through the casing and cement into the rock using shaped explosive charges. The perforating gun blows a hole about every three inches down the hole with a computer telling the gun when to shoot. These holes or "perforations" then allow the oil to seep into the casing. However, another step must be taken to improve the quantity of oil seeping into the casing.

This next step involves "loosening" the oil that is trapped in the porous rock using a process called "fracing" (pronounced fracking). This is accomplished by pumping water at extremely high pressure into the hole until a crack develops in the rock formation. Water and sand are then pumped into the crack, which often extends as far as 1200 feet. Once pumping is ceased, the sand holds the cracks open and is a great deal more porous than the rock which contains the oil. Once all this is accomplished, the oil begins to escape the fractured rock and flows into the casing. The service rig is then utilized to run another string of pipe into the well (inside the casing). This string of pipe is called the "tubing." A pump is also installed in the bottom of the well. A "roustabout" crew then assembles the pumping unit and installs the pipelines which transport the oil and natural gas which have been pumped out of the formation to a separation facility. The gas and oil are separated. The gas flows into a gas pipeline, and the oil is stored in tanks. The oil is then trucked or shipped via pipeline to a refinery.

Getting Paid

Once the oil is purchased by the intermediary, such as Sunoco, a payment for such delivery is made within 30 days to the operator of the well. The operator pays the royalty owners their portion of the income less taxes. Then, the operator pays the working interest owners their portion of the well they own less the expenses directly related to the that particular month's production. Payments to the royalty and working interest owners often come within 90 days of the sale of the oil in order to accommodate the accounting of all the related expenses.

NOTE: The steps for producing oil and gas as outlined above are typical . Producing oil and gas in different geographic areas and for different productive formations can be significantly different. This is to be used as an example only.


"Cannon Operating is based just outside Dallas in Garland, Texas. We are comprised of a group of people with vast experience in oil and gas operations and financial markets. We are also a close knit group that looks to find compatible investment partners that share our beliefs in the need for the production of energy. We are regionally located to the fields we operate and plan to work diligently in our neighboring states to develop new fields. What this does is better the performance in existing wells if we feel we can make a significant difference in output.”

Cannon Operating's Cannon Operating offers industry level opportunities to individual investors, and our extremely confident in our job. Our philosophy is to help our business partners increase wealth and become better educated on how to evaluate a project. We work to create and maintain a strong foundation within the energy sector of your investment portfolio. We pride ourselves on providing low risk projects to individuals by being very methodical in our hydrocarbon recovery efforts and our vast preplanning. Cannon makes the initial investment before forming a prospect by proving up a proposed reservoir using several precise scientific methods. Attention to detail and extensive due diligence is crucial as we have a fiduciary responsibility to our partners with respect to their investment in projects we develop. We work to build long term relationships and business partners. Cannon Operating takes employee satisfaction seriously as well. Employee feedback and surveys reveal comments such as this, "The Cannon team strongly believes that domestic hydrocarbon exploration projects are the fundamental defense from which Americans can free themselves from the grasp of foreign oil and unstable market reactions. While prompting our potential partners to do their due diligence on us, we as a company ensure we do our own due diligence on the land we intend to allow partners to develop with us. A well that Cannon couldn’t see fit in its own portfolio will surely not end up in yours. " Ripoff Report was pleased to learn that Cannon Operating's past and current approach to business is focused on its pledge to total commitment towards client and employee satisfaction.”


"Cannon Operating recognizes that complaints posted on Ripoff Report (whether true or not) are issues that need to be addressed, not ignored. If handled correctly, complaints can be valuable learning opportunities. With the feedback generated by Ripoff Report's review, Cannon Operating has made organizational changes allowing its clients and employees a more streamlined approach to problem resolution and a commitment to a great client experience.

In summary, after our review, which included discussions with Our strategy is to acquire virgin hydrocarbon properties proven up by modern science and provide successful revenue developing prospects to our clients and ourselves. We work to find proven and trustworthy partners in the field to help us deliver success. Ripoff Report is convinced that Cannon Operating is committed to quality delivery of services resulting in total client satisfaction.

Read more about why consumers should feel confident when doing business with a member of Ripoff Report's Corporate Advocacy Business Remediation & Customer Satisfaction Program. Yes, it’s a long name for a program that does a lot for both consumers and businesses alike.

Read about Ripoff Report Corporate Advocacy Business Remediation & Customer Satisfaction Program, a program that benefits the consumer, assures them of complete satisfaction and confidence when doing business with a member business. This program works.

As a matter of policy, when a business becomes a member of the Corporate Advocacy Program they agree to allow Ripoff Report to contact every client who filed a complaint so they can make things right with them. In order to confirm that the complaints were resolved, Ripoff Report is copied on all responses so we can insure that the member business did right by their customer.



Cannon operating LLC Oil and drilling co. that scams investors Garland, Texas


Ripoff Report would like to let readers know that Ripoff Report emailed this customer so the member business could make things right with them. When a business joins the Corporate Advocacy Program, Ripoff Report emails everyone from the past so the member business can make things right with them. Of course, everything within reason. In order to confirm that the complaints were resolved, Ripoff Report is copied on all responses so we can insure that the member business did right by their customer.


A partner in a well we operate made a disparaging remark, then apologized immediately afterward. He is still an active partner with Cannon and we have a great working relationship today. This information shows in Google as a negative part of the Company and it is not accurate.



  • Cannon operating calls on investors and scams them by telling them to invest in oil and natural gas drilling. They claim to have land that produces oil. But none of it is true. They will use one of their friend as another investor and tell them to speak all good about the company. They don't even screen if the investor is accredited. This is against the Texas railroad commission' rule. They cannot get non accredited investor to invest in this kind of investment. They will have to pay for this.

This report was posted on Ripoff Report on 09/20/2012 02:26 PM and is a permanent record located here: http://www.ripoffreport.com/r/Cannon-operating-LLC/Garland-Texas-75043/Cannon-operating-LLC-Oil-and-drilling-co-that-scams-investors-Garland-Texas-944244. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report.

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Updates & Rebuttals

#1 REBUTTAL Individual responds


AUTHOR: DawnM - ()

I would like to make public the written apology to Cannon Operating by the individual that orginally filed the complaint, Jay Patel from Florida.

" I would like to take the time to apologize for the remarks that I made on the Ripoff Report. At the time that I posted the complaint I was very frustrated with my contact person and Cannon because he was not returning my calls and did not keep me updated on my project.

Not being able to get in contact with my representative and growing increasingly concerned I lashed out on the ripoff report.

After speaking with Mr. Baker a few weeks later he explained that Cannon had simply moved locations and the phones were down briefly, but most importantly my representative had been terminated two months prior due to many complaints. I apologized to Mr. Baker for my behavior.

I want to clear up this situation because I believe in William Baker and his team at Cannon Operating. My project was a success and I am now participating in my second project with them. Most importantly I have composed this letter because I do not want the remarks I made in haste to influence perspective investors to pass on future projects with Cannon Operating."


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#2 Author of original report


AUTHOR: Jay Patel - ()

No complaints against this company.

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