We have mri in 2- wells located in 26 -10N - 5 W, Grady county. In the ‘OG Well Status’ field, one well is listed as AC with the other as ND. The AC well is producing with appropriate documentation in the OCC database. The remaining well is listed as ND. I assume this to mean ‘not developed’. Basis for this is there is no completion, production or other pertinent documentation that I have found to this point. Additionally, I see “PA” assigned to other listed wells. I translate this to mean " Plug and Abandon".
Our communication with Roan results in ". . . that well is pending title work . . . ". This is a strange explanation to us, i.e. neophytes to the game, in that, to our recall of the leasing process during the 11/2015 time frame, extensive ‘title work’ was completed at that time to arrive at a ‘signable’ lease document.
So, is the subject ND well on the way to P&A or is there a more positive alternative in the future? What is the definition of the AC status designation?
The Griffin 26-35-10-5 1XH has been completed. Dec 2017. It goes south into 35. The other one was apparently spud, but I do not see a completion. Linn started these. They went into bankruptcy and now Roan was the resulting company that came out of this portion. Hence the time delay.
The title report which was done for leasing is different than the title report which is done for the Division Order. The DOTO (Division Order Title Opinion) is much more rigorous since the DO is a contract for paying royalties. There are hundreds of mineral owners in each section.
If the operator is late in paying after the 180 days from first production, they owe you interest, but you have to ask for it.
The other one is actually on production. It is posted on the Gross Production site. Your royalty payments will be determined by the percentage of perforations in each section, your net acres and your royalty choice.
Thank you, Martha, for your reply and insight. it is greatly appreciated. For You and yours, have an enjoyable, eventful, meaningful and safe Fourth of July holiday.