Canadian County Offer

Our family recently received an offer to sell a mineral interest in Canadian County, OK 12-13N-9W, E SE. We were unaware of our ownership but preliminary research suggests an undivided 1/6th interest dating back to 1997. There looks to be an active well, Spears 12-1, spud in 1992 on the acreage but we have never seen royalties. OK’s OCC map link shows gas production in 1990 thru 1992 but not sure we’re viewing correctly.

We would really appreciate some guidance on a couple of questions: 1) Does 13.33 NMA look right? 2) If there is current production, is there a limitation on recovering unpaid royalties in OK? 3) Any nearby new permit or rig activity? 4) Thoughts as to asking price? Thanks in advance everyone.

Offers to buy are frequently ahead of the bit. You may have pending royalties from the Maxine 1-12H which has been online since 2010. Contact Coterra Energy Inc. which is the operator. You may have funds in suspense which may need some title work.

  1. Cannot comment on the acreage amount as have no data. But it is in the ballpark of many I have seen.

  2. You should check unclaimed funds with the state Treasurer’s office and also contact Coterra.

  3. You are surrounded by sections with multiple horizontal wells. Cimarex/Coterra has filed for four more wells. That is why you are getting the offer. Do you have your names and addresses properly filed with the county recorder of deeds? If it were me, I would get any past royalties claimed and hang tight for the new wells. I have acreage nearby and have been quite happy with the royalties received. Much higher than the offers I received.

Good Advice. Sounds like a plan. Thanks Martha

Ask for “title requirements” to get the royalties into “pay status”. In Oklahoma this usually requires a probate. Probate sounds intimidating but it is a fairly simple for the heirs.

This post is not legal, tax or investment advice. Reading or responding to this post does not create an attorney/client relationship.

Thanks Richard. Appreciate the guidance.

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