Asked to sign division order, but no evidence of well -?

I am really puzzled by this one - hope to find some expertise here!

On Aug 8, 2017, Coffeyville Resources sent me a Div Order regarding 31-T5 R7 - lease name: "Buswell A & Buswell 15" . This is exactly how the DO appears - both wells. The DO notes, "Our records show a sale of oil has not occurred in the last 18 months. This division order was prepared to reconfirm both your interest and that the lease covering this property is in full force and effect."

I inherited the mineral rights for this area. I do have other producing property, as well as non-producing, in the subject area.

I contacted them and asked for a copy of the lease, since I don't have it. They directed me to the producer, who has not responded.

Here's my problem: I do not find any well with this description, producing, non-producing, PA, ... - at all. This is in Pontotoc County. There are plenty of Buswell wells, but not these two. I looked on the database and cannot find any evidence of anything with this name.

I am not clear on how to interpret this situation and have not returned the division order. Hope someone's got an idea of what my actions should be. Thanks in advance!

Were the API’s for these wells included on the DO? Did it show Arrow as the owner?

There are wells listed on the OCC website for this section. You may have already looked here There are three pages of filings, including several Form 1073 (transfer of ownership) and some show the phone number of the owner.

You didn’t mention checking the OK Tax Comm. production unit (volume reports for the past 12 months) This site also shows the current status of wells in the section. The well names sometime change so the API # might help identify for certain. If you are not familiar with these websites or have any other question, let me know.

The question is whether the lease has expired under the terms of your lease and OK law (whether case law or statutory law). The disturbing wording is "and that the lease covering this property is in full force and effect." This may be an attempt to revive a dead lease. You may be able to find the lease recorded in the deed records under the name of your predecessor. You also need to find out detailed information about the production history and operations of the related wells.

Thanks Wesley! No, the API numbers are not provided. The OCC database you reference is exactly where I looked. I do not find a record of wells with the given name(s). At all - not producing, not PA, nothing. That is what I find so odd.

Thanks TennisDaze! This lease, if existed ever, would have likely been much earlier than I can search on-line in Pontotoc County. (Buswell 15 - Change of Operator) (Buswell 15 - Completion Report)

I did not see a report on a "Buswell A".

Thank you Don! These documents show the well as Buswell #15, but the API is 123-23552A (this may be the confusion, at least some of it). CR told me that the operator is Cantrell. More confusion. Not sure how I missed this, but thank you!

The "A" added to the API may stand for "Amend" where they added additional formations to what were on the original drilling permit.

The Buswell 15 shares the same PUN as the Buswell 1, 2, 4, 12 and 14. The 1,2 and 12 wells have been changed to injection wells. And no production (previous 12 months) is showing on the tax commission's website.

My first reaction was they were trying to validate an expired lease. That would save them spending money and risking possibly better contractual terms if they leased from you again.

I agree with TennisDaze. You need more info. Best of luck.

Thank you Ann! I will investigate further. Very confusing for the marketer to provide Cantrell as the operator:

I received your voicemail regarding the Division Order issued to you for the Buswell A & Buswell 15 property (CRRM Lease No. 632500). I checked our files and unfortunately we do not have a copy in our records.

I recommend you contact the operator of the lease for copies. They are the party that the lease agreement is actually held with. The operator is Cantrell Energy. Their phone number is: (580) 332-2228.

Please let me know if you have any additional questions or if I can be of any additional assistance.