As a general statement, sometimes these wells are shut down for a period of time for various well treatments, and sometimes these can take weeks. The other thing that can happen is that in a particular month, you may not meet Devon’s minimum threshold of payment, in which case they would accumulate money for you until it does. I don’t know that either of these apply in your case, but that is often what the problem is. Devon is especially overloaded right now, and not particularly responsive.
Rick,
Thanks for the information on Bird’s Nest in Blaine County. I received a payment from Devon on this well monthly from October through March 15 (which was for 1-2013 production) , but nothing since. I’ve contacted Devon and have received no response.
Is that normal that payments would be intermittent? I see production numbers at OCC for January and February.
Steven,
The oil companies should be paying each month sales occur unless they area under the threshold as JW stated. They have to pay if the amount is over $10, but can amounts up to $100 if they have an agreement with the owner. I think you will find that agreement in your division orders. Most have it. If you look at your check stubs, I think you will find gas sales to be minimal and monthly oil is what drives up your check. The OCC number you are seeing are only for gas production.
This well is producing low enough that the tank may not be filling to a full truck load each month. I see that happen quite a bit with our wells. They will sell 150-180 barrels at a time and 1 (to several) months will skip and it is not producing much.
Been offered a Lease in Stephens co. for $ 300.00 bonus and 3/16 for 3 yrs. is this the going rate. for sec. 33-T2N-07W? Thanks for any info.
For everyone in these discussions…
Do NOT do business with Ferrell Oil out of Oklahoma City. We had an offer to purchase minerals in Grady County, 11-03-06. Jim Meyer with Ferrell said he represents a college endowment fund and wanted to purchase our property for the school. We negotiated a purchase contract with them and was asked to fax it to them with our signature so they could show it to the school to get funding to close the purchase. He said it would take 30 days to do a title opinion. They, however, never did sign the contract and return it to us.
As it turns out, they are a broker and do not purchase property for their clientele rather than look for a buyer once you agree to sell to Ferrell Oil. They will want to issue you a 30 day bank draft and if they can’t find a buyer for your property in those 30 days, they just don’t pay the draft. We negotiated to be paid by ACH/Wire Transfer.
We will find another buyer but DO NOT do business with Ferrell Oil out of Oklahoma City unless you want to sit around, be lied to and then never get the deal closed.
Also be wary of them doing business under another name.
I had the suspicion that this was their strategy. Deep sixed the offer.
Rick and JW,
Thank you for the information regarding Bird’s Nest. I finally heard from Devon. They overpaid me in November. It looks like someone entered numbers, realized they were wrong and then entered new numbers in three categories - but failed to delete the first set. Considering how complicated the reports are, this is not something that jumps off the page (at least not to me). They discovered the problem in February or March. They thus are offsetting payments for April and May and likely part of June. I wish they had bothered to tell me: I had to contact them multiple times to get a response. Their mistake causes some minor tax issues (which I can deal with), but is otherwise just a cash-flow problem now that I know.
Steven:
I have some interests in several wells in the Cana Woodford. On my statements, there are an incredible number of adjustments, going back multiple months. This is not only true of Devon, but other operators such as Cimarex. In most cases they are minor adjustments, sometimes positive and sometimes negative. Sometimes there are literally several pages for an individual well. Gas accounting has got to be a nightmare. The scary thing is that you really have no way of knowing what is right and what is wrong for the most part.
Chatham, Jimmy R shallow well came in at 10 bbls. oil per day and 5,000 cubic ft. gas. That say on 35-01s-03w in Carter Co.
XTO Energy Inc. Sec. 3s,2e Dry TD 17,932 ( OUCH!!!, Hate to have to report that one!) Wonder if they did 3D Siesmic there?
Yale Oil Asso. Inc. Completion at 95 bbls. oil and 20,000 cubic feet. of gas TD 11,627 on Sec. 29 5s,2w.
Thank, Linda, it is Canadian County and I remember that it was NW of you. I hope things are booming in your “neck of the woods”.
Linda, listen we don’t mind begging Hutch for information if that’s what it takes. ha
Report below was in the Oklahoman yesterday.
Hi Linda, any news you know of on 8-13N-9W? Hopefully something is happening here. Hope all is well with you, very sorry to hear of your father’s passing.
Sorry, Jeanie, I don’t. What County is that? It’s really quite a bit further NW of my usual stomping ground and I don’t see anything in the Oklahoman yesterday about it. Hutch and the Boys might can check out the OCC website for you. I can’t do diddley on it! lol
Knew Hutch would come through if we begged!
Thanks, Jeanie, doing well as far as dad’s passing is concerned. Of course we will really miss the dad we had for so many years but felt we lost him a year ago when his illness became so bad and after watching his misery for so long it’s a relief to let him go! We have so much to do now in going through his stuff that I’m glad there were four of us kids and our families to help now. You collect a lot of stuff in 93 years! Thank goodness he cleaned out and got rid of much of the old paperwork after mom died in 94! She recorded EVERYTHING. She kept very good books but kept as I said everything! She was a good housekeeper too but once she found some of my brother’s old “sneakers” when cleaning closets when he was in college. She washed them up and when he came in was so proud to present them to him. He said “Oh, mom, throw those away they are worn out” and she said “Now, Ray, if you did without shoes as much as I did growing up you’d be glad to get some that looked that good” lol We were so thankful dad always made us a good living so that we didn’t have to live like they grew up! We had what we needed even though, I’m sure, probably not all we wanted. I don’t remember wanting them so they probably weren’t really the important things. He always wanted for his kids the thing they never had. THANK YOU, DADDY! JOB WELL DONE! WE LOVE YOU!
“things” he never had not “thing”. Ms. Type-O strikes again!
Jeanie, it looks like Devon has that section covered up with wells, 9 to be exact. Does the name Roer mean anything to you? #1 was completed in 2010 and the rest started drilling around the first of this year. #2 was completed in June, I don’t see completion reports on the rest of them.
Hey Hutch, Roer does mean something to me as a matter of fact it means a lot! Thanks for the information about the wells, that makes me happy!!
No begging required, I’m a pushover!