Question about Mineral Rights and Oil Services

[Tbar]

Look up the mineral and surface contracts and see how long it states they have to cap the well once it stops producing.

Have your lawyer send a letter to the company demanding it be shut in. Also contact the TECQ.

[dope hunter]

Look up the mineral and surface contracts and see how long it states they have to cap the well once it stops producing.

Have your lawyer send a letter to the company demanding it be shut in. Also contact the TECQ.

I'm trying to get the lease agreement to see what it says.

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[XR650RRider]

The oil company paid for a lease at one time. They have rights to a certain area around the well and they actually have more rights than the surface owner. Have a friend where the land owner built a pond and a pumping unit was in the dam. Salt water injection well in the middle of the pond. Lots of dozer work by the land owner. Texas RRC fined the land owner and made them remove all of the dirt and pay for repairs to flow lines. You can get the API number from the sign at the lease entrance or at the well itself. You can get a lot of information off of RRC website, look for GIS app. As long as they are monitoring the well as required by RRC, it can remain inactive for a long time. http://www.rrc.state.tx.us/about-us/...ic-gis-viewer/

[Low Fence]

The oil company paid for a lease at one time. They have rights to a certain area around the well and they actually have more rights than the surface owner. Have a friend where the land owner built a pond and a pumping unit was in the dam. Salt water injection well in the middle of the pond. Lots of dozer work by the land owner. Texas RRC fined the land owner and made them remove all of the dirt and pay for repairs to flow lines. You can get the API number from the sign at the lease entrance or at the well itself. You can get a lot of information off of RRC website, look for GIS app. As long as they are monitoring the well as required by RRC, it can remain inactive for a long time. http://www.rrc.state.tx.us/about-us/...ic-gis-viewer/

Yep. They can pay some absurd “permit fee” or equivalent like $10-$15 a year and never ever ever ever cap it.... ever. All lawyers will do is eat up money on your part... cause in the the end you have to beat their lawyers.

There’s a way it should be handled.... and the way it WILL be handled (if not a major oil company )... and since you have the issue to begin with I’m guessing it’s not a big oil company

[brokeno]

Try to settle it without getting attorneys involved you'll never win against oil companies. Try to talk to them about the oil on the ground or running off into your tank and tell them to fix it or your next call is to the rrc. You don't want to get on the oil companies bad side since they have your property tied up in a lease or you'll never have a chance of getting any more production on your property. Good luck they should fix everything because they don't want to get a fine from the state.

[meangreen04]

PM sent

[dope hunter]

I'll get with you tomorrow

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[Ben]

Question about Mineral Rights and Oil Services

Some good information here but also some very inaccurate.

I own and take care of wells similar to the one in question and here’s my take on it. My family also owns land across Texas and New Mexico so I’ve been on both sides of this.

It seems as though there’s already been correspondence with the company who operates the well. If this isn’t getting you where you want, you can speak directly with the RRC, but it’s doubtful that they’ll do anything more than make the operator work on the oil soaked ground a little. They’re not going to make the operator “cap” (I’m assuming this means plug) the well unless there’s proof that the well is contaminating ground or surface water somehow.

I would find the leasing agreement before anything else. Best case scenario is that the lease and its terms have expired at some point due to lapse in production, etc and you can get an attorney involved. Even then, that doesn’t get the well plugged, but it could get you some leverage.

Where is the property located? If you’ll give me a little more information, I’ll take a quick look at it and see if anything pops out.


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[marceco]

When does the lease expire ? I have never heard of a " Forever " lease . Or , does The Oil Company OWN The Mineral Rights ?

[landman650]

My mother and her brother and sister have recently inherited my grandparents property, 100+ acres, and with the land they inherited the mineral rights. The property has been split up and there is a stock tank on my parents portion of the land. On my parents land there is 2 pumpjacks 1 is currently pumping and the other hasn't pumped in over 10 years. The one that doesn't work is located close to a stock tank that my parents would like to have re-worked and made larger. The only problem is that the sucker rod that the service truck ties off to is about 15' from the edge of the tank, and if it was re-worked, the sucker rod would be under water. Also, there pumpjack leaks oil, and every time it rains, the oil washes down to the stock tank. My parents would love to have to well capped off, but the oil service company doesn't want that option. When my parents complain about the leak the o only thing the service company does is comes out and covers it up with dirt. I guess my question is, do my parents have any leverage with a service company about having them remove the pumpjack and capping the well, or are the just plain out of luck? Below is a pic of the property where the pumpjack is located.



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There's a few layers to this question. I have 12 years of experience, 7 years in the field and the last 5 in-house as a landman in various roles.

You don't need to deal with the service company, you need to talk to the operator. Go on TX RR Commission to ensure that you know who the current operators of the wells are. You can also see the status of these wells. If you need help with this PM me. This really is the first step in this process. You can get valuable well info from this.

You do need to figure out the language in the active oil and gas lease along with surface agreements if there are any. You should be looking for provisions such as surface use and shut-in language.

If you have not been, start recording by picture and send to the operator the evidence of pollution. In only certain instance can you demand the operator cap or as we call it plug and abandon a well and it is not cheap. As long as the operator is within its legal rights or the well is producing, you are subject to the terms of the lease the original Lessor signed.

I personally wouldn't lawyer up without the above questions answered and have done a bit of research into the right oil and gas attorney. You do not always need an attorney for this stuff but just the right knowledge to back up your stance.

If I were the operator, I would have someone go check out the wells you are talking about. If I was the operator I would already know the status of these wells(legal status according to the txrrc). If I were the operator, I would also have immediately pulled up the oil and gas lease and surface agreements to decide what my options were. You should be equipped with the same tools as the operator has on hand to discuss this issue with them

If you need help, feel free to PM me. I'll send you my email for quicker correspondence.