What i know;
Own all minerals top to bottom in SW QtrSection 35, currently HBP for Hacther 1-35 well. Zephyr Operating
Own from Top of Chester formation down in SE Qtr Section 34.
Section 35 and 34 were pooled in 2005 by Zephyr for Hatcher 1-35.
Minerals in SE Qtr Section 34 were never leased for Hatcher 1-35. Zephyr Operating leased minerials in SE Qtr Section 34 in 2008.
Zephyr sold all or portion of Sec 34/35 leasehold to Cimarex in 09/10 (somewhere in there).
No well was drilled in Section 34 by Cimarex, Zephyr or anyone.
Section 34 lease was 3 year term and expired in Aug 2011.
What i don't know;
How many NMAs hold in Section 34 below Chester Formation
Is land leased or being HBP from Hatcher or anybody else
Does Cimarex or Zephyr have to give me release of lease if not leased anymore
How many other folks hold minerals in the SE Qtr of Section 34
Pecan One,
IF THIS LAND IS IN OKLAHOMA, and based on the information you've provided, here are my answers as a professional oil and gas division order analyst who analyzes title ownerships for a living:
1. "How many NMAs (you) hold in Section 34 below Chester Formation." You said you own 100% mineral rights below the (base of the) Chester Formation in the SE/4 if Section 34. A regular section contains 640 acres; an irregular section will hold 640 +/- but adjustments are only made along the top edge and left-side edge of the section. All other quarter sections will always contain round numbers. So the SE/4 must be 160 acres. Answer: you own 160 gross and 160 net mineral acres (NMA) in the SE/4 of Section 34, but only below the base of the Chester.
2. "Is the land leased or being HBP from Hatcher or anybody else". Answer: the deed records for the county in which the land is located should contain a Declaration of Pooled Unit or a recorded forced-pooling order that gives the total size of the pooled unit (you say the Hatcher involves both Section 34 and 35). It could be 160 acres, 320 acres, or even 640 acres or anything in between. The Declaration or Order will state what it is. Plus, it will state exactly what lands are included inside the producing unit. Then the Oklahoma Corporation Commission website will have information about what wells are producing that include your depth and your acreage. Go to www.occ.state.ok.us/Orawebapps/OCCORaWebAppsone.html to access the database.
3. "Does Cimarex or Zephyr have to give me a release of lease if not leased anymore." Only if your lease has a clause in it that says they agree to do that. Otherwise, simply write a letter to Cimarex and to Zephyr (they might each still own a piece of your lease as of record title) and request a signed Release of Oil and Gas Lease. When you get it, you will have to send it to the County yourself for recording. They are not required to record it for you unless your lease said they were required to.
4. "How many other folks hold minerals in the SE/4 of Section 34." Ah, therein lies the rub. You would have to know how to run title at the courthouse deed records to find that out. And hiring someone to do it for you will cost anywhere from $200/day plus expenses up to $450/day plus expenses, depending on who you hire.
So if your land is not in Oklahoma, most of the information I gave above in #1 and #2 will be different. But the rest would be the same.
Marsha Breazeale, M.Ed., CDOA, CPLTA