Tangled web of Mineral Rights

Ownership and Title
1

Hi all, I’m trying to help my family sort out a royalty issue and would appreciate advice. In 2012, my parents signed an oil & gas lease for 97.12 acres in Labor 18, League 18, Wichita CSL, Hockley Co., TX. I have a fully executed lease and documents showing it was pooled by Occidental (OXY) in a 2013 Form P-17 with Tract 100 (Labor 15, League 28, Hood CSL) — Lease No. 03780, which has been continuously producing ever since.

However, OXY never updated ownership records after my grandmother passed, and royalties were sent to the wrong address and ended up in suspense. My parents have never been paid.

Our net mineral interest is 0.062499999, and I’ve calculated that the pooled leases have produced ~20 million barrels of oil and ~17 million MCF of gas since 2013.

Questions:

  • Shouldn’t we have been receiving royalties if the pooled lease was producing?
  • Can they argue the lease expired even though it was pooled and producing?
  • How do I estimate what’s owed?
  • Who do I talk to — a landman, attorney, or the RRC?

I’m a geologist, not a landman or lawyer, and I’m trying to get my family the compensation they deserve. Thanks in advance for any insight!

2

Was your grandmother ever in pay? Have you sent the recorded probate and/or deeds to Oxy proving that your parents now have title? Oxy will not watch the deed records for changes. You need to discuss with Oxy’s land department and division order department and find out what they need. Best to send by certified mail. RRC has zero to do with royalties so do not contact them. An oil and gas attorney can also help you.

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