Yesterday I got an email from my operator, Red Rocks Oil and Gas, that I wish I’d gotten years ago. This is a game changer. I inherited a 3/16 interest in a producing oil well in Grady County, OK, Section 1-5N-5W, from my grandfather. Red Rocks finally researched my ownership and they say due to mistakes in the original deed and subsequent intended corrections, I have no rights beyond what I do have, the original well going back to at least the 1920’s. Red Rocks spudded a new well on the property last year and hopes to spud two more. I have copies of the deeds and documents Red Rocks is using. Is it possible to correct a deed? I’m thinking that for what I still have to pay for summary probate, capital gains taxes, and then for the sales contract (I want to sell my share) that it probably wouldn’t be worth it.
Jim, these tend to be fact extensive questions. Depending on who does it a deed (or the legal effect of it) can be corrected. This might be a quiet title case or a probate case depending upon the facts. You do not pay capital gains taxes upon receipt of an inheritance. If you sell then there is a consideration.
Agree with Richard. I wouldn’t give up yet. I would have a landman check title to determine what is the exact problem, and then you may need to consult with a lawyer on how to fix it. It is also possible that Red Rocks is incorrect, or they don’t have all the information. something that impacts ownership was never recorded.