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Permalink Reply by SJT on March 12, 2012 at 10:46am

These affidavits are pretty standard if leases have expired with no wells being drilled.  Check with your attorney, but I expect he/she will say "sign it."

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Permalink Reply by Jim Shoos on March 12, 2012 at 11:01am

In essence you are being asked to sign something that you have absolutely no knowledge of and you would be legally liable if you were proved to be wrong about what you are claiming to be accurate.  They are essentially wanting you to state that there has never been any production on the property that would have served to perpetuate those old leases... since you just bought the property two years ago, how the heck would you know what transpired since 1941???   Tell them that if they will let you modify the document to reflect that you have only owned the property for the past two years and that you can only claim that to the best of your knowledge there hasn't been any production in that time period, and that you personally have not received any monies during that time period... then and only then should you sign it.  Otherwise you are warranting what may or may not have happened 60 years ago.

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Permalink Reply by Blindsquirell on March 13, 2012 at 12:09am

Typically this instrument refers to any knowledge over the past ten (10) years. More than likely the person who delivered this is unaware of the chain of title and present ownership of only two (2) years. This instrument is used to release ALL prior leases of record. You are agreeing to your kwowledge during your ownership NOT the entire history of the parcel. (More than likely this tract was larger years ago)

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Permalink Reply by Michele on March 13, 2012 at 2:33am

thanks everyone,
I believe CKP is using me to play a game for deep mineral rights that they can't get their hands on.

If it only goes back 10 years then why even bring up leases from way back when.
They do know we have had the property for only 2 years.
I also know that one of the lines of the paper is not true so I wouldn't sign it anyway.

They got what they wanted from us and I hate playing these games. If they really wanted these answers they should go do their own homework and figure it out.

Thanks for all the info!!! I'm going to try and not think about it. LOL.
Michele

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Permalink Reply by Blindsquirell on March 13, 2012 at 3:45am

Affidavits are all part of the process of curing title.  ANP are used to release all prior leases of record and it assures the LESSEE that you are not recieving any monies either from delay rental, royalty, storage and/or shut-in fee's.  CHK (I dont know who CKP is) is probably including your acres in a unit and needs this instrument to cure a Drilling Title Opinion (DTO).  Obviously you are under an OGL of theirs and typically there is wording written in the lease that you will comply with any requests of theirs in warranting title.

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Permalink Reply by Jim Shoos on March 13, 2012 at 4:01am

Affidavits of Non Production don't "release" prior leases they are simply relied upon as evidence to substantiate the lack of prior production or payments that would have perpetuated prior leases. 

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Permalink Reply by Blindsquirell on March 13, 2012 at 4:23am

Non Production Affidavits are common in the oil and gas industry and are used as a means of establishing that a "prior" oil and gas lease has terminated.  Oil companies often fail to execute releases of old leases and this kind of affidavit is acceptable.  I believe that the company is asking you to sign an affidavit attesting to the fact that the prior lease has expired/terminated.

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