Would like to know if anyone with interest in this well has received a division order or royalty payment. Red Rocks Oil and Gas is the operator and the well has been producing since Aug. 2017 ( 18 months ). I was informed by the people at Land Advantage ( 405 760 9851 ) who send the division orders that they have not yet received any Title Opinion work, thus no division orders. Apparently, Land Advantage works for or with Red Rocks and R.R. will not return calls. So I’m just wondering what the actual situation really is. Also, the good people at NARO told me that this is not that uncommon an occurrence, but not sure,maybe I didn’t explain it well. Anyway, thanks for any response.
Red Rocks seems to be behind on my acreage in other areas. On the good side, if you aren’t paid in the six months statutory time frame, they owe you 12% interest if your title is clear.
I understand that Martha,however NARO told me there is away to avoid the penalty, which did not quite register with me.Also, if I understand correctly, the 12% is per annum or 1% per month. Is that correct and does compounding ever kick in? Thanks
If your title is clouded and needs curative measures, the interest is much less. If they pay the royalties early before they send out the correct Division Orders, they can squirrel around the penalty.
I could understand if this was an individual case, but I was informed that no division orders have been sent for this well and this is after 18 months of production. I would think that the vast majority of the title opinion work should have been completed a long time ago.
ONEOK has filed Notices of Gas Contract Dedication as to this unit. If there is a dispute as to who is entitled to purchase the gas (and therefore the price to be paid), there might be a lawsuit holding up the proceeds.
Also, 280 acres of Section 25 is in the Lindsey Deese Unit. With approximately 25 wells drilled in this Section, title could be really cut up.
Rose B Harrison active date is 8/22/17 on the tax site. Send certified mail letters with return receipt requested asking for your statutory interest and that might get them moving.
I know they are very far behind on title opinions on some of my tracts, but two years seems a bit excessive. Might be time for an attorney to intervene.
Thanks Martha. We sent a certified letter over a month ago requesting payment, interest and the Title Opinion/ Division Order that pertains to our interest,however, no response. About a week ago, received an offer to purchase our interest in Section 25 for $ 2700 an acre.
Sounds like a lawsuit.