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Oil/Gas/Oil Wells in Sec 08 and 29 of T20N-R04E


I have leases for mineral rights that I own for the following two Payne County locations: NE/4 S08-T20N-R04E (11.5 acres leased to Devon); NE/4 S29-T20N-R04E (2.24 acres leased to Red Fork). Following are a couple of questions:

1.  I looked at the Oklahoma Tax Commission website for Payne County S08-T20N-R04E and found a well (Newton 1-8MH) with an Active Date of 8/22/2013; production of crude oil August 2013 was 160.78.  Since my lease says "NE/4" S08-T20N-R04E, could you tell me if this well would cover that location?

2.  I checked the same website for Payne County S29-T20N-R04E and found a well (Reef 1-29H) with an Active Date of 6/24/2013; production of crude oil July/2013 was 340.43 and August/2013 was 1012.09.  Since my lease says "NE/4", could you tell me if this well would cover that location?

Thanks for your help.


1. The Newton 1-8MH encompasses a 640-acre spacing unit, therefore any minerals owned in 8-20N-4E would share in that well, including the NE/4. You will likely get a "division order" at some point from Devon Energy asking you to confirm your ownership so they can pay you for any production (assuming the well produces enough to pay anyone.)

2. Same deal with the Reef well, except that Red Fork Investments is the operator of that one currently, rather than Devon.

These are both fairly new wells so no way to tell yet how they're going to do in the long run, but if they continue producing you should soon be receiving a division order from each of the companies. They will technically owe you interest on any royalty payments for production that occurred more than six months before you receive your first check, per 52-570.10 of the Oklahoma Production Revenue Standards Act.) After that, interest is due.

Hope this helps you out.
Frederick M. "Mick" Scott CMM RPL
The Mineral Hub  


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Frederick M. Scott


Oil and gas leasing, lease negotiations, how to best deal with the oil and gas companies or their representatives, buying/selling mineral rights, forced-pooling, correlative rights, deeds and conveyances, and "post-production" costs. I am most experienced with Oklahoma properties and laws, but am able to answer questions concerning other oil and gas producing states in many cases.


I am a Certified Professional Mineral Manager (CMM) certified by the National Association of Royalty Owners (NARO) in Tulsa, OK. I am also a Registered Professional Landman (RPL) with the American Association of Professional Landmen (AAPL). I have managed my family's oil and gas properties in Oklahoma for over 10 years and have dealt with many landmen, title analysts, attorneys and other oil and gas professionals in the process. I have written several articles which have appeared in various oil and gas industry magazines and newsletters. I have negotiated and drafted leases, prepared deeds, affidavits, and other legal instruments relating to my own minerals, as well as performed title, legal research, and curative work for same. I have acquired a good deal of knowledge on the subjects of oil and gas law, mineral appraisal, and landwork over the past ten years, and also worked as a professional landman and lease buyer for a time. I've seen the business from "both sides" and therefore feel confident I can help out most of the folks who ask questions in this forum.

National Association of Royalty Owners (NARO); American Association of Professional Landmen (AAPL)

National Association of Royalty Owners "Action Report" (ROAR); NADOA Magazine, The Mineral Hub, Landman Magazine, and several royalty owner association group's newsletters.

Certified Mineral Manager (CMM), Registered Professional Landman (RPL)

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