Township 7 North, Range 3 West

Were you forced pooled for the Brody well or did you have a lease?

For what it is worth, every thing I know about this business I learned the hard way. Beware of the envelope draft. This is not a check, but something one takes to the bank, and they send it out for collection. Then, the oil company pays the funds to the bank, but they only do it when all of the interested parties have returned their envelopes. The oil companies does this at their own sweet time. We did this process for years, but the last envelope draft I received, I took to the bank. But the little lady that always took care of it for me had retired. The person working that desk then was a high school girl that worked part time. She sent the draft to the bank’s collection department. After months, I finally asked the bank where my money was. Turns out, the bank still had the draft because they didn’t know what to do with it. They couldn’t figure out how much money I owed the bank. I didn’t own them anything. Demand a check!

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Mr. Gill - Thank you for sharing that information! I thought the ONLY WAY it worked was the envelope draft - so I was expecting another month or more of fiddling around… If Fillmore sends anything but a check, I will tell them it isn’t acceptable! Thank you, again!

Mr. Pfisch - Just wanted to let you know that the Forum Administrator sent me a nice note saying: “When issues come up regarding specific people that could play into legal type matters, the names of parties are not to be included here. A productive conversation surrounding such things can be had without using specific names. Please note this going forward. This helps keep this site from becoming unduly cumbersome to administer. Thank you. MRF Administration…” So he “EDITED” my post…which was ok… Now I know… :wink:

Administering forums is not easy, neither is avoiding delving to the realm of legal advice. Sometimes the border between business advice and legal advice is not a bright line. I only raise the issue because Texas has gone after landmen for “practicing law.”
IMHO, the business advice on this forum is top notch for the most part.

I have a lease.The lease is dated 30th day of April 2018.Also ther is a part in this lease that I noticed after I signed it,my fault I know but it reads,It is the intent of the Lessor to lease,and Lessor does hereby grant,demise,lease and let unto Lessee,all oil,gas and other minerals owned by Lessor in Section 20 Township 7 North,Range 3W,McClain County Oklahoma whether or not properly and completely described herein.After this I am now thinking that when a well is drilled all the money due will be paid to Fillmore and not me.Can you answer this for me.I hope I am wrong and if not I cant believe that a company would do that to some one.Thanks,David.

No I did not sign a draft payment of the lease.I just signed a standard lease that does not mention when I will be paid.That was a conversation with the landman who said I would be paid by bank draft within 40 days.

Mr. Pfisch - I hope I did not offend you. I just wanted you to know why I did not do as you suggested. Actually, I did, but the Administrator edited the post. I have the highest regard for you and the other wonderful people on the Forum who help people like me. I hope you will continue to assist me… I, too, believe the business advice on this forum is top notch! I truly appreciate your advice…

No offense was perceived or taken. I believe in the free exchange of ideas as a way to learn both directions.

Thank you for checking to see if the lease was filed and, also, for your information!

I checked the records at the URL you supplied just to understand a little more about the website. I saw where my and my sister’s leases for Section 14, T7N, R3W had been filed. Both our leases, dated July 17, 2018, were from us (as Lessors) to Fillmore Energy Resources, LLC, as Lessee. They were filed on 8/16/2018. The item that caught my eye was a lease (for the same minerals) from David W. McGee, Lessor, to Fillmore Energy Resources, LLc, Lessee,that was filed on the same day, but the lease has been changed and was dated July 19, 2018. I don’t understand. I don’t know how Mr. McGee can lease something that isn’t in his name??? What did they do? Can you explain this to me? Thank you…

Most likely, if you look at your deed or probate documents you have some percentage of your described minerals. Something like 40/160ths NW4 14-7N-3W of 160 gross acres or something similar. The lease will only have the word description, but not the fractional part. Over time, the original 160 acres have been split up by being passed down by generations and generations. The whole 640 acres can now have hundreds of owners. Everyone who leases or is pooled will add up to the original 640 acres (or the Division Order title opinion will find the errors).

Thank you! That makes sense… Makes one think that Fillmore is possibly tying up leases in that area… Teddie

You have a fractional undivided interest (i.e., a certain number of net mineral acres-say 40 nma) in a tract (the gross acres-say 160 acres). That would mean you own 1/4th of the minerals under the 160. It is rare for one owner, or even one family, to own 100% of the minerals under a tract.

To better understand Google “fractionalization of minerals in Oklahoma”, or look at:

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Thank you! Makes perfect sense… don’t know why I didn’t figure that out! Teddie

Section 14, T7N, R3W - Ongoing saga… Yesterday I finally was able to talk with Beau Bauerschmitt who is Owner-Operator of Beauerschmitt Land and Title and Managing Partner of Fillmore Energy Resources. When I asked him about payment on the lease we have with Fillmore, he said there were some ‘issues.’ He did a lot of talking, but what I THINK it all boiled down to is that he believes there is an existing well on that Section and the spacing unit for that well is a full 640 acres. He wasn’t sure if it was a vertical well or a directional/horizontal well. He thought perhaps my nma had been pooled. I have never received a lease offer nor was I contacted about pooling on this section. So, at this point he is saying that I can’t lease the nma because it is not clear whether the land is already ‘under leasing or pooling.’ He said that sometimes what the operator puts on the paperwork is not what actually happens… He says he is going to look into it…So don’t know if this is another stall tactic or what. One would think Fillmore would have made sure the nma were not tied up in a lease or a well prior to making an Offer to Lease… The Offer to Lease letter from Fillmore did not contain any caveats regarding the lease offer being subject to any existing leases or existing wells. How would I find out about an existing well (if there is a well), the spacing on an existing well and if it had been pooled? Are his ‘issues’ legitimate? Thank you!

There is an 80 acres spaced lateral well in the sw/4 sw/4 ne/4 ne/4. So as long as your mineral are not beneath this tract you are free to sign a lease.

Hope this helps.

Tommy, thank you for that information. My minerals are in the SE 1/4 of Section 14. So it appears, if I am reading the legals correctly, there is no overlap. Teddie Bruce

Fillmore just backed of my lease in Sec-20-7N-3W in McClain county.They didn’t even call and tell me.My Landman Ryan Riddle did.Ryan apologized and told me he upset Fillmore for stringing me along and that he is done working with them.I told him I wanted the lease mailed to me instead of them shredding it because at this point I do not trust them at all.The whole deal from the beginning has been a nightmare.They told me a lease and that I must have lost it.Then mailed me another one but the lady on the phone was short and rude to me.They strung me along for over 60 days.I received the original lease in the mail today along with paperwork saying that the lease has been released.To everyone reading this I would not do business with Fillmore Energy period.

http://imaging.occeweb.com/OG/Well%20Records/02FBF490.pdf

Completion report for Morehead 1-14. Hoxbar Deese at 40 ac Woodford Hunton at 80 acre spacing. Originally Hunton spaced at 40 acres then changed to 80 acre by Order 569004

http://imaging.occeweb.com/OG/Well%20Records/02FC618E.pdf Completion report for Jensen #1-14 also 80 acre spacing per 569004. Hoxbar Deese at 40 ac Woodford Hunton at 80 acre spacing. Both are online in 2018.

Okland Pooled the W2 of SE4 in 2010 80 acre spacing. I don’t see that they ever drilled the well, so the pooling would be over. No well in the SE4 of 14. So looks like you are open. They need to pay you or release the lease unless they can show a well that is producing at 640 ac spacing.