Division order acarage does not match

I received my division order and the decimal percentage just didn't add up.  I called American energy in Oklahoma and they were very nice and gave me the following information.   My lease states 14.69 acre's, my property tax bill shows 14.6895 assessed and 15.01 actual, and my deeds all show 14.69 acres.  But in calculating my decimal percentage AEP says they re-surveyed the property and came up with 14.352 acres and that's what they are using in the formula.  My question is how can they short my land by .338 acres??  Especially when all records show 14.69 acres.  I am on the Jones pad, Nottingham township in Harrison county.  I am 100% in the unit.   I have not mailed back my division orders as of yet.  Should I get an attorney??  I'm thinking that if we are luck and get $1000 an acre I am losing $300 every month, $3600 a year.  Also the division order states effective date of 8-1-14.  The unit went online 6-16-14 and they have been trucking oil out at a rate of 2 (50,000) gallon semis per hour since, even though the pipe line is completed and pressure tested.  How do we know what they have taken prior to using the pipeline and trucks continue to roll by.

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Permalink Reply by Mike Fulper on October 30, 2014 at 3:01am

You have a point there. but google doesn't make it much clearer either

But.. if EQT made a mistake.. it is in my favor  :)

If you add a ZERO to the front of the decimal.. that makes the

OVERALL decimal equivalent..much smaller...

Maybe I will owe money back to EQT down the road...:)

I will stick with EQT figure for now....

Permalink Reply by WATCHER on October 28, 2014 at 2:49am

That's my suspicion that they missed one of my pins and gave it to my neighbor.  The surveyors marked the old fence line that is no longer the true property line. (however pins are there)  I  have another 145 feet to the west that runs to the old original corner pin.  (sort of an extra triangle) Surveyors did not mark this pin.  My estimate by online calculators is aprox 1/3 of an acre.  Deed confirms  measurements and land being mine and I have had this section surveyed before because of property line disputes.  Guess I'll have to see what THEIR survey shows and go from there.  Harrison county keeps terrible hand written records of land so I can see how mistakes can happen.

Permalink Reply by pinehill on October 28, 2014 at 6:20am

that is interesting, calculated acres on ODNR is 15.31, this is probably closer to actual, so they are shorting you an acre, hope it is a typo

Permalink Reply by WATCHER on October 29, 2014 at 11:24am

Another update;  I have been watching the marathon trucks as they pass by.  All so far are showing DOT placards of flames and the numeric code 1269 for petroleum products.   NO production has been listed for the second quarter????, division order effective 8-1-14???? even though the wells went into production 6-16-14.  I plan to keep everyone up to date on  AEP's royalty payment practices, since we are the first AEP well online.  (Aubrey and Kimble are both crooks, just my opinion and speculation from recent history)  I have a no deduction cost,  no transportation cost,  no enhancement cost and well head price adendums in my lease.  I'm sure this will be overlooked as well as my county documented acreage that they have changed of their own free will.  This may get interesting.  I'm guessing my attorney will make some money in the up coming months.  If no survey record from AEP by  the end of next week, my attorney starts making money already.................

Permalink Reply by Booger on October 30, 2014 at 3:22am

thanks for updates............I for one, will greatly appreciate any update from you - as my area of interest is very close...........anyone else who is anywhere near an AEP area should also be paying attention.

hard to believe they would take product and not report it........but I guess if no one is watching....

Permalink Reply by bo boboski on October 30, 2014 at 9:23am

There really needs to be "somebody watching" ! The State of Ohio is losing tax $$$ if these producers aren't watched. They can sell Oil & Gas without reporting it as far as I can see,  Or they can report only a % of what they are really sucking out of the ground. There is no task force, or inspectors designated to keep tabs.They just go with whatever # s the producers give them. Less royalties paid, less taxes.   Just look the other way?  

Permalink Reply by WATCHER on October 30, 2014 at 9:46am

I have a friend at one of the refineries that have been receiving trucks from my pad. (I almost took this job earlier this year).   It is documented at the refinery what truck # , well #, type of product and how many gallons and of course date and time.  (DOT and EPA demand these records).  Upon review of upcoming royalty checks, if there seems to be any discrepencies my attorney is ready to supeona all records pertaining to this well from the refineries.  I'm hoping this is not the case as it will freeze everyones royalties while case is pending.  I'm hoping that the second quarter results are just late being posted.  (ODNR is behind).  It would be pretty bold to try to steal truck loads that are documented, but on the other hand once it goes into the pipe line there is no real way to verify what really was sent through the pipes??  other than what they say the meter reads.  OHIO needs to regulate and inspect metering devices like they do at the gas stations by dept of weights and measures.  But any mechanical or electrical metering device can be bypassed.  I know.  I'm an electrician and have been told to do it in the past to make production numbers look better.  (manufacturing field not oil and gas)..Same principal.

Permalink Reply by Ryan M on October 30, 2014 at 5:16pm
Just a thought, are you sure all of your acreage falls within the unit? Could be that a sliver of your property falls outside of the unit boundary.

I have not looked at the unit plat but the plat should state your net acreage in the unit. Search the API number on the ODNR well viewer and there should be plat maps available.
Permalink Reply by WATCHER on October 31, 2014 at 2:20am

As I stated above.  I am 100% in the unit and completely surrounded by other properties in the unit.  Platt map states 14.69 acres in unit.  AEP says based on their survey I don't own 14.69 only 14.352.  Waiting on copy of their survey to check measurements.  Then go from there.  I don't know how they can legally change a county and state recorded acreage. My attorney is ready to act.............

Permalink Reply by Dave Rose on October 31, 2014 at 7:48am

Hello everyone. I have a good one. I'm in Beaver County. I own and pay taxes on 10 acres. I am leased with Chspk and a unit has been formed and filed at the courthouse. The unit document states that I have 6.174 acres as the "Net acres in unit"..However it states that I have 6.188 acres as my "Title acres". . It looks to me that I'm getting screwed out of almost 4 acres! My lease is for 10 acres. What gives? Anyone have any ideas. Excuse me for posting here if I should have started a new thread but I haven't seen anyone mention this question before. Thank you.

Permalink Reply by LERRET on November 1, 2014 at 5:26am

I would have their survey examined by a certified Land Surveyor for accuracy. If wrong, file a complaint to the Land Surveyor's regulatory body. Sounds like they took a road out of the survey or something.

Permalink Reply by WATCHER on November 6, 2014 at 6:21am

This reply was deleted and I apologize for using real names in the post.  Future posts will not include any real peoples names.  Again I am sorry................

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