Contested lease-div. order

Red Bluff has drilled a new well for all of Section 29, Canadian County, OK. The OCC Well Record site shows a SPUD date of 11/1/18 and production commencing on 1/25/19. It would appear division orders might be mailed out in June or July.

I, and other family members, hold mineral rights in the E/2 NE/4. Since the previous lease holder had not made royalty payments in over two years, we entered, on June 13, 2018, into a lease agreement with Tributary to try to secure the release of the lease from the previous lease holder and establish Tributary as the lease holder. This process is still underway.

If this issue has not been resolved before the division orders are to be issued, what will happen? Will the division order be held in abeyance?

I will appreciate any information/suggestions on this question.


Looks like Red Bluff Resources filed lease extensions. If valid, you were probably bound by the terms of the original lease. There probably should have been a tender of another lease bonus.

One would have to carefully analyze the transaction with Tributary. Too complicated to sort out in a forum setting.

Thanks, Richard. Do these two listings refer to sections 7 and 30? Or, am I not interpreting correctly?

The previous lease holder for Sec 29 E/2 NE 4 is not Red Bluff - which I did not make clear. Tributary has just informed us they are renewing our lease agreement for a second year which seems to assure us they still are actively pursuing getting control of this lease? But as you say, it probably is too complicated for a forum setting.

We hold leases with Red Bluff for another 80 acres in section 29 and for the NE 4 of section 29. Just to be sure I don’t misrepresent Red Bluff, they have paid us lease bonuses in a timely fashion for those holdings.

Will appreciate any further responses you have - especially my first question in this post.

Ted Garten