no; you’re trying to make the cases say something they are not saying. If the well is capable of commercial production, but is not being produced because of a lack of market (shut-in), or it is temporarily incapable of production due to mechanical breakdown, then the well is held by production if the revenue if produced would be greater than the cost of operating the well. That is why the failure to pay shut-in royalties is not fatal to ogls in Oklahoma, as it is in other states.
1 Like