I’m a mineral owner in Oklahoma with interests that were/are part of a 1990s unitization agreement. Production ceased on these wells for over 600 days at one point. I am seeing assignments that were recently filed years after the cessation, transferring interests originally that were held in trusts and by LLCs managed by operators or their family trusts. (I have been tracking them through Secretary of State websites across different states.) The new filings are now moving these interests into new private LLCs and individuals and they are backdating them several years.
I have spent long hours going all the way back to 1945 at our local courthouse because most records prior to 1990 are not available online. I have diagrammed the entire unitized area, assignments, UCC filings, etc.—they all link to each other in one way or another. They all link back to the lease holder.
My question is this: if production ceased long enough to terminate the leases years ago (although I can see all of these leases are in fact held by a trust), can these later assignments create valid title chains today—or are they simply transferring nothing?
I just wanted a new lease for our interests with a bonus. (Our minerals were also pooled without notification—our family was not named on the pooling documents.)
This pushed me to start researching case laws and on and on…
I would love any thoughts from others who have seen “assignments” move minerals or interest out of family trusts after a cessation of production occurred.
I also wanted to recommend some research tools you can utilize if you are researching your own minerals in Oklahoma:
Establish a Pangea and ENVERUS account (if you are researching your minerals, while it is a little expensive, it helps tremendously).
START HERE: Pecan Tree Oil and Gas - Tracy Lenz I started here. She is probably the best person I have worked with and the most honest. Her prices are very reasonable for the reports and knowledge she gives you.
OSCN for probate and decrees
SOS Secretary of State - You can pull up all the LLCs, Articles of Organization, etc. (they are in every state)
Need production records in Oklahoma? Email: gpproductionhistory@tax.ok.gov If your minerals are in a unitized area in Oklahoma make sure to ask for WATERFLOOD PRODUCTION RECORDS
(Production records only go back to 1990—you will have to establish a way to purchase prior production through ENVERUS as they hold almost all prior records—it too is an EXTREMELY expensive subscription, but well worth it.)
Be careful with attorneys. They are not all there to help you, neither are landmen—many will actually perpetuate the issue. Bring a big notebook to your County Clerk’s office. They will show you where you can research—and even print the documents for you for a fee.