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Good day everyone. Newbie here and thanks for having me. I have a bit of a dilemma. I inherited working interest in about 50 O&G wells in McMullen county a number of years ago. They were in Dominion's hands but are now in XTO's care. The problem is the monthly maintenance is becoming more than the revenue I receive. I requested XTO to buy me out but they weren't interested. I have tried several royalty interest companies but they aren't interested either. I'm wondering if I can just "quit claim" my interests back to XTO. I cant afford to use part of my SS every month to pay the maintenance. Any suggestions would be greatly appreciated
Sorry for the confusion, what I meant is that as a Working Interest owner, you are responsible for P&A expenses. So, if you requested abandonment of the well(s) and it was accepted by all parties, you might be responsible for this additional expense. As was mentioned, the JOA should outline all of the details in your specific circumstance. Of course, if you sold the interest then you would be transferring that liability to the buyer.
Have you hired a Lawyer?
WHY WOULD THEY BUY YOU OUT? YOU HAVE ALREADY SAID THE WI IS NOT PAYING THE BILLS. I HAVE OFTEN SAID THE FIRST YEARS ARE GREAT----THE LATTER YEARS A REAL Pain! I HAVE HAD WORKING INTERESTS IN AT LEAST 50-70 WELLS, BUT NO MORE.
I WOULD CERTAINLY ASK XTO TO TAKE MY INTEREST.
Thanks for your expert and insightful advice John. SMH