We have a number of old leases that have old wells that are shut-in or no longer producing in Oklahoma.
Would it be of any value to write a letter to each company requesting we be released from the old lease or is it a normal course of business that old leases such as these are no longer binding when there is no production?
Can the minerals be leased again if no such language exists in the old lease to require release of lease after a shut-in or production cessation or can the lessee hold the lease forever?
Thanks,
Mel
Dear Ms. Wood,
Rather than trying to track down all the old operators, an Affidavit of Non-Production by a disinterested third party could certainly be deemed sufficient by an examining attorney. As a landman, you want to see a Release of Lease. That does not always happen.
Best,
Buddy Cotten
Ms. Wood,
You can go to OCC (OK corporation commission) get a form for non-production on the property, cost is small. Take it to the Co. Clerk office for filling. This will show that their is no production and therefore, will release the lease if you can't get a re-lease from the oil company. I don't like this as good as an oil company re-lease, but it has work for me in the past.