I recently emailed my contact at Equal Energy to see if the well(s) on our land had started producing. Here's the response..."Date of first sales in the Park City 1-32H well was June 19. The Division Order Title Opinion is being prepared." Can anyone tell me what this means?
Date of first sales is the day they sold oil or gas for the first time, so it is producing.
The Division Order TItle Opinion is an opinion prepared by a Title Attorney that will be a breakdown of every Working Interest owner and Royalty Owner in the Unit. Once that is done they will mail you a Division Order stating your decimal interest in the well and ask you to sign it. Then you will be paid.
If there are any discrepancies in your chain of title they will most likely come out now.
Thanks Scott
FYI Peter. Most of the companies have been 4-8 months after the first day of production before sending out Division Orders and Checks.
That's what I've heard. Thanks.
Thanks, Pete. Is there a way to find out how large the unit is? How much it's producing?
The Park City 1-32H is targeting the Hunton formation @4800’. It is located in Lincoln Co with a surface location of 29-14N-5E and a bottom hole location of 32-14N-5E.
http://imaging.occeweb.com/OG/Well%20Records/1DD0EF7B.pdf
The unit size is the 640 acres per the spacing order.
http://imaging.occeweb.com/AP/Orders/OCC4369509.PDF
You might have some clues to the production when the completion report is filed. Likely you won’t know anything concrete until the checks come out. Available production reports usually lag the sales date by 4-6 months. The gas data “may” be available from the OCC website then. The OTC may be able to provide the oil and gas data then as well. You’d have to inquire about time and cost to fulfill the request. Otherwise you would need to obtain it from subscription based databases or a consultant with such access.
Thanks, Rick. Very helpful.