Payne County, OK - Oil & Gas Discussion archives

GWT, I received a response from Donna K. Darnell at OCC yesterday. She said she would forward my complaint to her contact at AEP and it would be distributed to the appropriate person and that person was to respond to Mrs. Darnell. When I hear anything else I’ll let you know. JC

GWT, Did you have the same results as I ? “We’ll find the problem and return your call”. But they never did. I’m cautiously optimistic the Lady at OCC will get positive results and my checks will be forthcoming. And Martha, Thank you very much for all your help. You’re a wealth of information. JC

Thanks Jordan, I didn’t know they were drilling. Always had them offer to lease our interests and say they were not going to drill. Gaston and Truevine used to complete for leases.

Jordan, You’re correct, I just looked at some papers from Crutchmer&Barnes for increased well density. Applicant: American Energy -Woodford. JC

JC - The response from Owner Relations is much better the last few weeks. But, the response from other departments, like accounting, is still unacceptable. I inherited my mineral rights over 30 years ago and have dealt with many other operators. I’ve never experienced such poor handling of royalty payments.

JC, There was a 2005 waterflooding test project in NE OK which greatly improved oil production. Your area in and around section 12-18N-02E is similar to the test location. Here’s the final report on the test area. It’s long and involved, but it may be what you will experience. http://www.netl.doe.gov/KMD/cds/disk37/B%20-%20Native%20American%20…

Bob, I posted the web page. It’s a 2005 OK Osage Co test for horizontal waterflooding. Report says operators have had great success in injecting water between 2 non producing horizontal wells and producing 100 barrels per day per well instead of none. Another report I read said, sometimes they can plug back the horizontal wells and use vertical injection wells which cost far less than the horizontal injection wells.

Has ANYONE had a “good” experience with AEP? I’m leased to them and they haven’t drilled yet, but everything I’ve heard so far has been very discouraging.

S Nathan, AEP, Aubrey McClendon, has been accused of stealing maps and documents from Chesapeake which can be used to find the best sections, so if you are leased to them you know you are most likely in a high production section. That’s the good part. http://www.wsj.com/articles/chesapeake-energy-sues-ousted-founder-1424191849

JC - Thanks for the update. I’m still dealing with AEP directly but not getting results. I may be following your lead with the OCC soon. Good luck.

Has anyone dealt with Truvine Operating out of Ada, Oklahoma? My Sister and I have a small amount of mineral rights in Sec 12, Payne County. JC

JC, I’ve dwelt with Truevine when they were taking leases for other companies. Usually, they are not the operator who drills the wells. What township and range is your section 12 located in?

Martha, Truvine is an operator that drilled 20 or so wells in Noble and Payne. AEW purchased their interest when they purchased calyx.

Martha, It’s Sec 12, Twp 18N, Range 2E; Jordan, I could be wrong but when I looked at Okla Tax Comm website, I believe it said as of Jan 2015 Truvine had wells in this Section. I’m an old coot and could easily have read it wrong. JC

Cannot not access that web page JC. Netl.doe.gov/KMD/etc.etc.JC, which company are you referring to?

BP’s New Feb 2015 Energy Outlook to 2035: “By 2030s US will be self-sufficient in oil (from 40% in 2005); By 2035 N America, which produces almost all global shale gas supply, will still produce about 75% of the total; As demand for gas grows, there will be increasing trade across regions and by the early 2020s and N America will switch from being a net importer to net exporter of gas.” http://www.bp.com/en/global/corporate/about-bp/energy-economics/ene…

Helen, There’s two types of water, fresh water and brine water. Many leases do allow for usage of water except water from lessor wells. This gives lessee the right to use brine water for mud mix and to dispose of the salt water, but not the right to use fresh water from lessor’s water wells. Lessee doesn’t need the oil, but they may need the gas because the well site may not have electricity and/or to bring down production costs. I’d try to modify the clause to “Lessee shall have the right to use, free of cost, gas and water produced on said land for its operations thereon, except water from wells of lessor and at no time shall lessee have the right to drill a well(s) for water.” This clause is just an example and not to be inserted into any lease. Also, if you own the surface you need to have lease language added for the event there are damages from a salt water injection well or disposal well on your property. You should always have an attorney revise your lease or review it before you sign it. Maybe someone else has had better luck, but I have found it’s hard to get a company to agree with no water, gas or oil use. If you can’t come to an agreement, you can wait for pooling.

Monticello Investments has had my minerals leased since April 2014. They filed the paperwork in the courthouse but never paid me the bonus. Now they want to file a lease release and have me forget all about it. Is there a possibility that I can get the money from them if I file a suit in small claims court? I have several emails where I requested the payment going all the way back to June of 2014. I also have an email from Monticello that says that my check must have gotten lost and that they will reissue a new one. That one was dated January 20, 2015.

Bob, What’s your legal description?

With the price of oil being low, there are some questionable O/G companies that are going broke. Getting a lease release might be the best thing. It would allow a company in better financial standing to take your lease and actually pay you for it and have the funds to drill and produce. Have an attorney hold your lease until he receives a company check, then he can release your lease to them.

Small claims allows $7,500, but even if you prevail, you will have to garnish Monticello’s back account and you probably don’t know their account number. Plus, their account balance may be zero and you might not get your lease released.

Martha, it’s sec 23 19n 03e Payne County. He just sent me a copy of the release today by email and said that he was going to file it this week. I’m just wondering if it’s possible for me to collect for the 315 days that he had it leased. I’m willing to spend $200 in small claims court to find out and maybe it will stop him from taking advantage of other mineral owners.