Hi,
Can I get some information on Validus Pooling order. Cause Cd 2024-004011, order number 759402 The order itself is hard to wrap your head around. What would be the point of taking the cash considerations with less total royalty?
2-5N-4W- You only have 20 days from August 3 in which to answer the pooling so do not delay. Send by certified mail return receipt and keep copies of everything you send. Do you need a template letter?
You have several choices: $800 @ 1/8th $650 @ 3/16th $500 @ 1/5th $0 @ 1/4th Many of us would prefer the higher 1/4th royalty even if there is no money up front. I would rather have 1/4th royalty from one OR more wells for decades than one bonus payment and 1/8th which would be half the royalties for all those years. As you can see, the section has surrounding sections with multiple wells.
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Best practices when making a pooling election in Oklahoma
- Be on time, 20 days from the date of the order, not when it was received.
- Send notice of Election to the address listed in the order clearly stating the royalty and bonus/consideration.
- File a copy with the Oklahoma Corporation Commission.
- File a copy of the election with the county land records so that this information is clear both for your family but also future division order analysts. Must comply with recording statutes.
I agree with Ms. Barnes, savvy owners tend to opt for the highest royalty even if the bonus is $0.
Notice: Informational only. No attorney-client relationship is formed by this post. I am an Oklahoma-licensed attorney, but this is not legal advice. Do not share confidential facts in this public space.
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Richard, What is the address that you use for the OCC. I think I saw where it changed and I didn’t save it.
Whose attention do you make it to?
Thanks.
Hi,
Thanks for the info, a template letter would be much appreciated.
The lease didn’t have a length of time. How does that work if you wanted to transfer your minerals down the road? Thx.
I usually file online with the OCC, save postage, immediate filing.
Sorry, I don’t publish forms.
Transferring down the road would be subject to any existing lease, pooling order, etc. Usually not a problem unless someone wants a Warranty deed.
Notice: Informational only. No attorney-client relationship is formed by this post. I am an Oklahoma-licensed attorney, but this is not legal advice. Do not share confidential facts in this public space.
The pooling acts as a lease substitute. Just as a lease follows the mineral ownership through a title transfer, so does a pooling as long as the terms are still in force for the wells that are drilled. You can either lease or pool, but not both.
Here is a pooling response template letter. Replace the red parts with your information and the info from the pooling case. Turn black and then send by certified mail return receipt with your W-9.
Richard, I have never tried the direct online route with the OCC, what is the link for that? Is it inside the Electronic Filing website?
For some reason I can’t access the template. Could you post it again? Thanks.
0_Force Pool template letter.docx (13.5 KB)
Helps if I actually post it. I fixed a typo and then forgot.
Haha. Something that seems odd is the pooling order wasn’t sent certified mail. I guess you get something whether you get it and respond or not so it’s not worth it? The way this one was done is so different to ones we’ve had in the past, I think it has some of my family members questioning the validity of it. And the limited times not helping. I do find your posts super informative. So thank you for your help.
You can keep track of all cases on the OCC Electronic Case Filing website.
It is absolutely imperative to pay attention to your sections and whether they are leased or not. If the agents cannot find you because your address has changed, then they cannot lease you if you are open.
If you choose not to lease and they cannot find you for a pooling or you choose not to answer in the 20 days, then you will be assigned the lowest royalty and miss out on higher royalty for the life of the wells.
Ok thank you. Where can I find our net mineral acres.
If you have your deed or a probate, you may be able to back them out by reading it and do the math. If an agent is asking you to lease, you can ask them what they show. Or if you go the pooling route, you can take the total bonus divided by the per acre price and back it out.