Division Order Mystery

I recently received a division order from EnerWest Trading for the Trotter-Steckel #1, API 3513721029. This is an old well, completed in 1974 by Samedan. Mobil Oil was the buyer. After an exhaustive check through records, the last payment that I received was dated 10/31/2013. PUN reports dated 1/29/2022, 3/18/2022 and 11/3/22 class the well status as shut in. A form 1073MW dated 4/21/23 shows status as “TA” (Temporarily abandoned). Another 1073MW dated 1/11/2024 and a secnd 1073 dated 2/26/25 gives the status as Active. There was no revenue from Jan. 2010 through 2012, one payment in 2013, and no further payment or production since Oct. 2013 that I have been able to find. However, there appears to be some activity toward a horizontal well in that location. When I search the OTC for this well here is no result at all at the present time.

How long can a well be “Held by Production” when there has been no activity for years? When I called EnerWest the company was basically not too helpful except to tell me they had picked up a tank of oil in April and would be making payment in June. I did tell them that I was not willing to sign their DO without further information and that they do not have to have a signed DO for disburse revenue, only a social security number. I fear that someone is trying to use the old leases by using some minimal amount of production to claim HBP when there has been nothing for years. Any insight into these situations would be greatly appreciated! Thank you in advance.

You should review the terms of your oil and gas lease. A copy should be in the deed records.

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Your section 9-1S-4W also has wells from the Alma Penn Unit N and the North Alma Deese Unit waterfloods. Old wells included Trotter and Steckel names, so you might be held by the Unitization documents. If any well in the unit is producing, all the minerals owners get their share of the proceeds from the whole unit. Your particular well may not have any production.

Here is a copy of the agreement.

Mach, Cheyenne and Continental do have horizontal permits nearby.