If you signed the “offer letter”, you still had to reply to the pooling order and confirm that you wanted to participate. If you did not, then they assigned you the lowest royalty/high bonus pair. Those “letters” are for information purposes only.
I am the trustee of my mother’s living trust, with full power of attorney as well. She is no-longer mentally competent. I have a course over-load that I am teaching (university level), but will contact Mr. Ferguson as soon as I am able. So, thank you very much for the name.
Was the trust named in the pooling Order?
No. Her trust is not listed in either pooling order, and I did not receive either (which is hardly surprising, given her trust not being listed).
Is she listed in the pooling order?
No, she is not listed in the pooling order. The initial letters listed her, then the trust, but once the letter declaring intent to participate was sent, it has been dead silence from Roan. I’ve written and left phone messages, but received nothing back. That is why having a name is greatly appreciated.
Are you sure you own an interest and if so, could it be held by an old lease?
Yes, I am absolutely sure. In June when I went down to photograph the well pad I went to the county clerk’s office and verified titles for all my mother’s McClain holdings. The primary is my grandfather’s Choctaw allotment, which she, as sole heir, received via his trust upon his death.
There is the kicker. The allotment. The Bureau of Indian affairs may have had to ratify the lease or the pooling. Contact Roan and see if you can get it straightened out.
While not directly a mineral rights issue, I have an operating company asking to put a pipeline across my surface property in McClain County, to which my family holds the mineral rights with a couple of active wells. So far, it has been “swing and a miss” trying to get a meeting time for looking at the plat, etc. So, first, what is the going rate for allowing a company to lay a pipeline across one’s property? (This is pasture land, by the way.) They operate one of the wells, so it is likely they will connect to it, which should come out when we actually meet. And, do you have suggestions for things I should look out for?
First of all, find a really good attorney who specializes in pipeline easements! This is not something to do on your own. I just sat through a pipeline legal talk at the NARO National convention that was an hour long with all the “gotchas” that could happen. They may present you with a “standard” form. DO NOT SIGN IT!
Here is a non-comprehensive list of some of things to ask. Thanks to my notes from the attorney who presented at the meeting.
-What kind of pipeline? FERC, non FERC, Interstate, intrastate, transmission lines or gathering lines? What are future plans? -How large in diameter? -What materials will be transported? Oil, Gas, NGLS? -How many feet long? How many feet wide will be the easement? -How many pipelines in the ditch, how many ditches? -Where will it be located on the property? -What additional acreage is needed for temporary use-buildings, access road, valves, compression stations? How long is “temporary”? -Who is the pipeline company? -What is the financial strength of the company?
Some things to consider in the language of the lease, How long, indemnification, insurance for damages to others, pipeline specs, damages, type of ditch. double ditch, triple ditch, inspections, top soil replacement, drain tiles, restoration, pipeline co access, livestock, use of easement by landowner, no warranty of title, maintenance, fair market value of land before pipeline, crop value, livestock grazing value, warranty of title, timber/tillable, water resources, loss of development, current use, planned improvements, loss of value of the non-easement acreage. Some of the required addendum done by the landowner attorney can be 15-20 pages long.
As you can see, this is not for the newbie. Please get legal help!
2 Likes
Ms Barnes above reply is the best. One future issue that can come up is whether you can construct a paved road over the easement. Pipeline companies are required to “sleeve” their lines under paved roads, and they may try to stick you with the cost if you decide to develop your land.
Has anyone received division orders for the Commando wells in 12 & 13 5N4W?
I have not. In fact, despite them assuring my attorney some time ago that they would contact me, they have not regarding anything about the Command 12-13-5-4 wells. The merger with Citizen Energy may be part of the problem. I have never seen a merger that did not result in this sort of problem … yet it is still not acceptable.
Given that they pooled after the wells were drilled, that indicated they didn’t quite have everything in tip top shape. That late interest payment will be nice.
OTC production for the Commando 12-13-5-4 wells have been posted through August for oil (7712 and 4900), showing a decline since peak, while gas for the 1WXH well has been posted through September (90858), which is an increase. This seems to indicate fracking in the July-August time frame. What I would like to know, though, is something I don’t know where to look to find. What are the grades of oil from these wells? Sweet? Sour? Something in between? Given the $12/bbl difference in price between sweet and sour, this is rather important in estimating how good these wells really are. Is there a public source for this information?
You will get a price listed on your check stubs. You can compare it to the Sunoco listed sweet and sour price to get a general feel.
Roan still hasn’t provided any information, there has been no division order and no completion report. I saw a statement that they had halted some activities pending the final vote on their acquisition by Citizen. It is as though they disappeared.
Use the WTI price. The check stub will show what the average price per barrel is for the oil sold for the month.
Completion reports for the two Commando 12-13-5-4 wells have finally been reported yesterday on the OCC wellbrowse site. Neither of these completion reports were previously reported by the Daily Oklahoman, Tulsa World nor OK Energy Today, despite the first production dates of 3/10/2019 … but completion information was on the oklahomaminerals site for months. I still have not seen a division order, nor any information from Roan. Some research indicates Roan’s merger process with Citizen continues. OTC reporting of sales has listed oil sales separately for the two wells, but has listed all gas sales as being for the 1WXH well. I am attaching OTC reported production for those not familiar with navigating the OTC PUN search site.
