Today we received a new Division order. Why?

Trinity sent us another DO to be signed and sent back in. Any idea why??

Read the paperwork that came with it. I know that one set of paperwork went out where Trinity was taking over the operatorship of the Newfield wells in Hughes and several other counties. If you answer that set, you may need to write a letter if you want the minimum payout to be less than the $100 in their cover letter and Division Order. They will require a W-9 as well.

There is a w9 in it. but after taking with Ken chessnutt our attorney it seems it’s just a new set of wells and a new DO on another section. Which we are very ok with

That is even better! New wells rather than old wells!

Martha, I think there may be a problem which I just discovered - I should have been paying more attention! To refresh everyone’s memory, Trinity sent a letter dated August 27, 2019 informing us of the transfer of operator from Newfield to Trinity effective the first of the year. There were no new Division Orders - we were only asked to confirm ownership of interests in wells which they listed on an Exhibit A enclosed with the letter, and send them a W-9 form for each owner of record.

My wife and I each have owner #'s and unique lists of wells, and with each well, without exception, Trinity is crediting us with a lesser decimal interest than we certified on our Newfield DO’s. I have not contacted Trinity yet, but will do so.

I would like to know if any others have compared their Trinity decimal interest with the Newfield/Encana/Ovintiv decimals. Could this be a widespread incident. I hope to hear from others with the same situation before I call them.

We sure missed seeing everyone at the OK-NARO meeting. Looking forward to next year.

Wesley

It is common for a new operator to run a new title Division Title report when buying wells from another operator. They would use a different attorney to do it.

There could be some systemic error, so I would go ahead and contact Territory and report your concerns. Be ready with a list of each of your wells, the deed (for the net acres) and the lease (royalty interest) and the spacing order (spacing acres) for each holding. Ask for a copy of the title opinion paragraph that pertains to each of the wells that you have concerns about. Mistakes can happen, both with Newfield/Encana/Ovintiv or with Territory. This may take a while to untangle.

Martha, thank you for your thoughts and guidance for preparations on dealing with Trinity. I have now contacted other family members who have mineral interest involved in this transfer. Some have not been able to check their records but will report back to me in a couple of days. Since my last post, 3 royalty owners have now reported. From this small sample, there are 28 individual wells and the wells in common are only counted one time. There are 37 pairs of RI decimals (Newfield - Trinity) and not a single match. At this point, Trinity has reduced each of 37 decimal interests. I suspect that this is a systemic issue, as there are numerous deeds, leases and varying acres of ownership in this sample. One last question - In the event of a new Title Division Report by Trinity, would there have been revised DO’s issued? Thank again for your thoughts. Wesley Skinner

Yes, I have received new DOs when there was new title information. Looks like Trinity needs to be contacted ASAP. See if the differences have some systemic component such as an assumption of 1/8th royalty instead of 3/16ths or something along those lines. It could also be an acreage decrease if Trinity found a title defect a couple of generations back and decreased everyone by a certain set of acres.

Anyone know what sections this new DO is or what set of wells. I just have missed something?? Hughes county?

Fwp 1031, your posting is of interest to me. I own acreage in S21/07N/10E. What “begs the question” for me is the following: Trinity was given a years extension for drilling additional wells for DORA (well name). I am wondering if, perhaps, this has anything to do with new drilling on my acreage. If anyone knows any new info please post. Thank you…Leta C.

There was no new DO, just the letter, a redacted copy which is attached. Counties are Atoka, Coal, Hughes and Pittsburg. I did not send my copy of Exhibit A as it is marked up with highlighter pen. :slightly_smiling_face: My count was about 474 wells on the list. I do not recollect that Newfield had any drilling in progress recently in the 4 counties covered, so if you had not been receiving payment from Newfield you wouldn’t be missing anything. Hope this helps. WesleyTrinity Newfield transfer letter.pdf (472.5 KB)

Fwp 1031, forgot to add my acreage is in HUGHES COUNTY, OK. TRINITY, of Houston, Tx. is the Operator…Leta C.

If you have questions about your acreage and new division orders (or lack thereof), suggest that you look up your wells on the OCC wellrecords website. http://imaging.occeweb.com/imaging/OGWellRecords.aspx

You can look up by name. Look for the Form 1073. That will tell you if your wells have been sold to someone else.

Hi Leta, I don’t believe this would involve any activity that Trinity has in planning. These are older wells which are near the bottom of their production decline. Wesley

Thank you Wesley_Skinner,

Good to see that you are still in the OIL & Gas Arena. I have utilized your expertise in the past via this Forum. Leta C. Montana

Ok so there is no new money left out by trinity I need to look at or anything correct? Our wells are in Hughes operated by trinity. But they have been going for over a year. Has something changed or everyone is just checking in to make sure. ??

Wesley was checking Division Orders for wells that Trinity bought from Newfield-some of which are in Hughes Co. He and several members of his family seem to have a systemic question as to why the Trinity DO was lower than the Newfield DO which he is checking out. If you have no errors for your wells then no worries.