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Oil/Gas/Royalty Pymts without a Lease?


I own 100% of surface and 50% of undivided minerals on a 100-acre parcel in Oklahoma.  I recently declined an offer for OGL, but have since discovered that the other 50% owner of minerals was located (he resides out of state) and signed up.  Since the oil company is now no longer courting me, in the event of production of these minerals, how can i best ensure that I'm included in applicable royalty payments?

You should receive notice from the Oklahoma Corporation Commission telling you about a "forced pooling" hearing.  The oil company will hold this hearing and you will then have an opportunity to lease or participate in the drilling of the well.

Your best bet for ensuring that you are included in applicable royalty payments is to be diligent in responding to the notices and keep track of the process.  You will want to negotiate with the oil company and if you call them now and tell them that you are willing to negotiate then you will be eliminating the need to have the forced pooling hearings.

This is your best bet at this point.  If you don't lease you can always participate and pay your share of the drilling and keep a larger share of the value of the produced minerals.  This will require you pay your proportionate share and you may not want to do it...but, this is an option.



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Cliff Williams


I will try to answer any question you have. Even if I reject a question, I still will give a shot at what I would do in your position. The only questions I will not take a shot at would be a highly technical engineering or geological question. I am beginning to see quite a few questions from land men and other oil companies and that doesn't matter to me either. I will attempt to help.


I am an oil and gas attorney that has been in the business for more than 20 years. I have held a series 22 and 63 securities license, been in oil and gas operations, land man, division order analyst all prior to obtaining my law degree. Today, I typically write title opinions verifying ownership of oil and gas minerals, assist landowners in negotiations on oil, gas and mineral leases, easements and conveyances. I also assist oil and gas companies with the sale of working interest ownership as well as common business law issues.

State Bar of Texas, Member of the Tarrant County Bar and the Dallas County Bar Associations.

Multiple oil and gas topical columns on

I have a B.S. degree which I rely upon more than my Business Mgmt degree or Law degree...

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