106-2010-02aogc2.state.ar.us/hearing applications archive/2010/february/106-2… · 4. applicant...

JERRY L . CANFIELD, P .A .

THOMAS A. DAILY, P .A .

WYMAN R. WADE, JR . , P .A .

DOUGLAS M. CARSON, P .A .

ROBERT R . BRIGGS, P.A. † *

C. MI CHA EL D AILY , P.A. †

COBY W. LOGAN

L. MA TTH EW D AVI S, P.A . †

COLBY ROE

* Fayetteville Office

† Al so L icensed in Oklahoma

DAILY & WOODSA PROFESSIONAL LIMITED LIABILITY COMPANY

ATTORNEYS AT LAW

KMW BUILDING58 SOUTH SIXTH STREET

P.O. BOX 1446FORT SM ITH, AR 72902

TELEPHON E (479) 782-0361FAX (479) 782-6160

______________

COMMERCE PARK I I BUILDING2049 EAST JOYC E BOULEV ARD, STE. 301

FAYETTEV ILLE, AR 72703TELEPHON E (479) 582-0361

FAX (479) 251-8111

JAMES E. WEST

PHILLIP E. NORVELL *

DALE CARLTON *

OF COUNSEL

_______

HARRY P . DAILY (1886-1965)

JOHN P. WO ODS (1886-1976)

JOHN S. DAILY (1912-1987)

February 2, 2010

Arkansas Oil and Gas Commission301 Natural Resources Drive, Suite 102Little Rock, Arkansas 72205

Re: ORDER REFERENCE NO. 106-2010-02

Application of SEECO, Inc. for Integration of All Unleased Mineral Interests andNon-consenting Working Interests in a unit described as Section 30, Township 9North, Range 16 West, Conway County, Arkansas

Commissioners:

SEECO, Inc., 2350 N. Sam Houston Parkway E, Houston, TX 77032, hereby applies tothe Arkansas Oil and Gas Commission for the integration of all unleased mineralinterests and non-consenting working interests in its proposed drilling unit which isdescribed above.

1. The proposed drilling unit is an established unit as defined in paragraph (f) ofArkansas Oil and Gas Commission General Rule B-43. Applicant proposes to drill ahorizontal well from a non-exceptional surface location in the Northwest Quarter downto a non-exceptional bottom hole location in the Northeast Quarter of the above-described unit. The proposed well will be drilled to a total vertical depth of 3,296 feet totest the Fayetteville Shale Formation. Applicant has obtained one or more oil and gasleases covering its proposed drill site.

2. Applicant owns oil and gas leases covering a substantial part of the proposedunit. Applicant should be named as operator of the well. The person or persons to beintegrated are shown in Exhibit "A" attached hereto and made a part hereof.

3. Applicant has made diligent efforts to negotiate with the non-participatingleasehold working interest owners, each of said parties owning an oil and gas leaseholdinterest in the proposed unit, but applicant has been unable to secure an assignment ofthe leasehold interest on an equitable basis or to secure participation by said parties inthe drilling of the proposed well.

4. Applicant states that it has made repeated efforts to negotiate with the owners ofthe unleased mineral interests in order to agree on a plan of development of said drillingunit; that those owners have been offered an opportunity to participate in the proposedwell; that they have been offered a fair and reasonable bonus consideration for theexecution of an oil and gas lease covering their interests; that they have been furnishedwith a proposed oil and gas lease and a copy of the AAPL operating agreement formwhich applicant proposes to use in connection with the drilling of said well; but that all ofthe efforts of the applicant have produced no agreement by said parties.

5. Applicant states that it is in the best interest of conservation and the protection ofcorrelative rights of all interested parties that the proposed unit be developed for oil andgas production without undue delay.

6. In order that applicant may proceed with the orderly development of said unit,applicant hereby requests that the Arkansas Oil and Gas Commission issue its order, inthe alternative, that:

(a) The owners of non-consenting oil and gas leasehold workinginterests indicated above shall participate in the cost of drilling,testing and completion of the test well to be drilled by applicant onthe captioned unit, subject to the terms of an Operating Agreementwhich substantially employs the terms of the AAPL Operatingagreement, with a COPAS attached.

(b) All of the non-consenting oil and gas leasehold working interestswithin the proposed unit shall be force pooled and integrated intosaid unit, and a reasonable risk factor shall be established andassessed as a penalty against said integrated interest.

7. Applicant further states that due to the risks and costs inherent in the drilling ofthe proposed well, the Commission should fix a reasonable risk factor to be assessedas a penalty against the integrated interests within the unit. The risk factor should beapplied to the proportionate cost and expense of drilling, completing and equipping thewell, which would have been borne by the interest of said parties had they participated. Applicant requests that if the integrated parties do not elect within 15 days afterissuance of the Commission's order as between alternatives (a) and (b), it shall beassumed that the integrated parties elected alternative (b) in lieu of the right toparticipate in the working interest in said unit.

8. Applicant requests that the Arkansas Oil and Gas Commission set this matter forpublic hearing, and after same, issue its order, in the alternative, that:

(a) Each of the owners of the unleased mineral interests indicatedabove execute and deliver to applicant a one year oil and gaslease, on an AAPL lease form, for a bonus consideration of$550.00 per net mineral acre to be paid as fair and reasonable

compensation in lieu of the right to participate in the workinginterest in said unit, and that said oil and gas lease provide for a 1/8royalty on oil and gas.

(b) Each of the owners of the unleased mineral interests indicated aboveexecute and deliver to applicant a one year oil and gas lease, on an AAPLlease form, for a bonus consideration of $450.00 per net mineral acre tobe paid as fair and reasonable compensation in lieu of the right toparticipate in the working interest in said unit, and that said oil and gaslease provide for a 1/6 royalty on oil and gas.

(c) Each of the owners of unleased mineral interests indicated abovebe force pooled and integrated into the captioned unit withassessment of a reasonable risk factor penalty against theirinterest.

(d) The owners of unleased mineral interests shall participate in thecost of drilling, testing and completion of the test well to be drilledby applicant on the captioned unit, subject to the terms of anoperating agreement which substantially employs the terms of theAAPL Operating Agreement.

Applicant further requests that said mineral owners be required to elect within fifteen(15) days after issuance of the Commission's order which method will be pursued in thedevelopment of the above described unit, and, in the event no election is made, that itshall be assumed that the owner of said unleased mineral interest has elected to accepta bonus of $550.00 per net mineral acre as compensation in lieu of the right toparticipate in the working interest in said unit, and with the royalty to be 1/8.

9. Applicant further states that due to the risks and costs inherent in the drilling ofthe proposed well, the Commission should fix a reasonable risk factor to be assessedas a penalty against the integrated interests within the unit. The risk factor should beapplied to the proportionate cost and expenses of drilling, completing and equipping thewell, which would have been borne by the interest of said parties had they participated.

10. Applicant further requests that this Commission's order specifically provide thatany party electing either to participate or be force pooled subject to recoupment of a riskfactor penalty be bound by the terms of the attached AAPL Operating Agreement for thelife of commercial production within the unit so that all future unit operations might beproposed pursuant to the provisions of such agreement without the necessity of futureaction by this Commission.

11. Applicant also requests that said order be made applicable to any unknownspouse, heir, devisee, personal representative, successor or assign of said parties.

12. The names and addresses of parties interested in this proceeding are set forth in

Exhibit "A" attached hereto and made a part hereof.

13. Please note the appearance of Thomas A. Daily of Daily & Woods, P.L.L.C., P.O.Box 1446, Fort Smith, Arkansas, 72902, on behalf of applicant.

Very truly yours,

Thomas A. Dailyjmt

Brents 09-16 #1-30H Section 30 – T9N – R16W Conway County, Arkansas

EXHIBIT A

INTERESTED PARTIES MINERAL OWNERS

Banks, Terrie See Page 20 of Exhibit B

Blaylock, Elzie, Heirs See Page 1 of Exhibit B

Bourland, Ethel, Heirs See Page 2 of Exhibit B

Bourland, James E., Heirs See Page 3 of Exhibit B

Bourland, Robert E. See Page 4 of Exhibit B

Byers, Brandon W. See of Exhibit B

Canady, Charles E. See Page 6 of Exhibit B

Canady, Cirk aka Kirk Canady and Birdie Canady, Heirs See Page 6 of Exhibit B

Canady, Curtiss R. and Carlene Canady See Page 8 of Exhibit B

Canady, Kelsey and Mary Canady See Page 6 of Exhibit B

Canady, Runall and Sharon Canady See Page 6 of Exhibit B

Canady, Theauther and Gwendolyn Canady See Page 6 of Exhibit B

Chambers, Darrell and Marcia Chambers See Page 6 of Exhibit B

Consolidated Resources Company LLC See Page 9 of Exhibit B

Davis, Janice I. See Page 10 of Exhibit B

Earl, Mrs. Carra H., Heirs See Page 11 of Exhibit B

Page 1 of 3


EXHIBIT A

INTERESTED PARTIES

Fitzpatrick, Lakeithra See Page 12 of Exhibit B

Foster, Catherine See Page 19 of Exhibit B

Frick, Esther, Heirs See Page 13 of Exhibit B

Garlington, Anna, Heirs See Page 14 of Exhibit B

Gyce, Kimberly M. See Page 15 of Exhibit B

Hash, Barbara K. See Page 16 of Exhibit B

Hawthorne, Gertha See Page 1 of Exhibit B

Huey, Cynthia Dawn See Page 3 of Exhibit B

Light, Mary D. See Page 17 of Exhibit B

McClunie, Carreleta See Page 18 of Exhibit B

Meeks, Cleotis, Heirs See Page 19 of Exhibit B

Meeks, Jaretha V., Heirs See Page 20 of Exhibit B

Meeks, Mary Malendy, Heirs See Page 21 of Exhibit B

Meeks, Napoleon See Page 19 of Exhibit B

Meeks, Opal M., Heirs See Page 22 of Exhibit B

Miller, Theon See Page 21 of Exhibit B

Page 2 of 3


EXHIBIT A

INTERESTED PARTIES

Page 3 of 3

Moore, T. C., Heirs See Page 23 of Exhibit B

Morton, Henry and Hettie Morton, Heirs See Page 24 of Exhibit B

Pixley, Zelma Maxine See Page 25 of Exhibit B

Porter, Victor See Page 26 of Exhibit B

Randolph, Wesley See Page 27 of Exhibit B

Wright, Willie James and Mae Ester Wright See Page 6 of Exhibit B WORKING INTEREST OWNERS:

BP America Production Company See Page 28 of Exhibit B

Ceres Resource Partners, LP See Page 32 of Exhibit B

Chesapeake Exploration, L. L. C. See Page 33 of Exhibit B

Petrohawk Properties, LP See Page 37 of Exhibit B

SE Land Acquisitions, LLC See Page 38 of Exhibit B


EXHIBIT B

RESUME OF EFFORTS TO LEASE

Elzie Blaylock, Heirs Gertha Hawthorne October 31, 2009 Searched the internet and local phone directory for owner’s contact information.

Nothing found. Searched office records. Nothing found. November 2, 2009 Owner is a possible heir of Blanche Meeks. Called Alicestine Morris, another

heir of Blanche Meeks. Found that owner is deceased and had 13 children. Mrs. Morris suggested we call Lloyse McClunie and Marvine Meeks.

November 5, 2009 Spoke with Ms. McClunie. She said that all of the heirs of Blanche Meeks would

be leasing with a third party. She and Marvine Meeks already had. Asked her for heirship information for Elzie Blaylock. She said that Geraldine Simmons might be able to help.

November 10, 2009 Called Geraldine Simmons. She said that all of the Blanche Meeks heirs had

decided to lease with a third party. She saw no point in providing heirship information, since they would not lease with us.

November 14, 2009 Spoke with Marvine Meeks. Got the same response. All heirs would be leasing

with a third party. She said to call Geraldine Simmons November 19, 2009 Called Geraldine Simmons back. She said that Elzie had a daughter named

Gertha. Obtained her phone number. December 1, 2009 Called Gertha. No answer, left a message. December 9, 2009 Called again, still no answer. December 14, 2009 Searched internet. Found an address. Mailed a lease proposal letter. December 22, 2009 Called again, still no answer. Left another message. January 6, 2010 Called again, still no answer. Left another message. January 20, 2010 Called again, still no answer. Left another message. January 25, 2010 Spoke with Gertha Blaylock. She said that she had already leased her interest to

a third party. She said the whole family had leased. No third party lease found of record to date. She said her name is now Gertha Hawthorne.

February 2, 2010 Well proposal letter and AFE mailed to Elzie Blaylock, Heirs in care of Gertha

Hawthorne.

Page 1 of 38


EXHIBIT B


Ethel Bourland, Heirs The known heir of Ethel Bourland has leased his interest to SEECO, Inc. (See below). Heirship was determined by heirship affidavit and not by judicial probate. Therefore, this interest is being named for protection purposes. Jay Fontaine February 2, 2010 Well proposal letter and AFE mailed to Ethel Bourland, Heirs in care of

Jay Fontaine.

Page 2 of 38


EXHIBIT B


James E. Bourland, Heirs Cynthia Dawn Huey September 15, 2009 Checked office records. Located a phone number and address for owner. September 18, 2009 Called owner and left message after multiple attempts. September 23, 2009 Mailed lease proposal letter. October 3, 2009 Called owner. No answer. Left message. October 15, 2009 Called owner’s mother, Barbara Bourland, and got a new phone number

for owner. Called. No answer. Left message. October 26, 2009 Called owner again. Still no answer. Left message explaining purpose of

call. November 3, 2009 Called owner. A man answered. When I asked to speak to Cynthia, he

hung up. Called back. No answer. November 10, 2009 Called owner. Man who answered hung up when I asked to speak to

Cynthia. November 11, 2009 Unable to contact Cynthia Dawn Huey. November 24, 2009 Called owner, no answer. Left a message. December 5, 2009 Mailed a second lease proposal letter to owner. December 19, 2009 Called again, still no answer. Left another message. January 5, 2010 Called again, still no answer. Left another message. January 19, 2010 Called again, still no answer. Left another message. January 25, 2010 No return call. No response to lease proposal letters. February 2, 2010 Well proposal letter and AFE mailed.

Page 3 of 38


EXHIBIT B


Robert E. Bourland October 30, 2009 Located owner’s contact information in office files. Called, spoke with

owner. Discussed lease terms. Owner agreed to lease. Lease and related documents being prepared.

November 3, 2009 Lease and related documents mailed. November 11, 2009 Called owner to verify they had received the lease. Mrs. Bourland said

they had. December 10, 2009 Called, spoke with owner’s wife. She said they would send the executed

documents in soon. December 30, 2009 Called owner, no answer. Left a message after several attempts. January 4, 2010 Called owner, no answer. Left a message. January 9, 2010 Called again, still no answer. Left another message. January 21, 2010 Spoke with Mrs. Bourland. She said they had had some health issues

lately, and have put everything on hold. She said she had misplaced the lease and asked that another one be sent.

January 26, 2010 Mailed another lease and related documents. February 2, 2010 Well proposal letter and AFE mailed.

Page 4 of 38


EXHIBIT B


Brandon W. Byers December 3, 2009 Found that owner is an heir of T. C. Moore. Obtained contact information

from Reagan Byers, another heir. Called, no answer. Left a message. December 11, 2009 Spoke with owner. He will consider the offer. December 23, 2009 Spoke with owner. He agreed to lease. Lease and related documents

being prepared. January 8, 2010 Lease and related documents mailed. January 19, 2010 Spoke with owner. He said he had received the lease. He would execute

it and send it back soon. January 24, 2010 Waiting for executed documents to be returned. February 2, 2010 Well proposal letter and AFE mailed.

Page 5 of 38


EXHIBIT B


Cirk Canady aka Kirk Canady and Birdie Canady, Heirs Charles E. Canady Curtiss R. Canady and Carlene Canady See Page 7 of Exhibit B Kelsey Canady and Mary Canady Runall Canady and Sharon Canady Theauther Canady and Gwendolyn Canady Darrell Chambers and Marcia Chambers Willie James Wright and Mae Ester Wright September 26, 2009 Found various deeds in Conway County records from strangers to title.

Instrument prepared by Howard Yates, a local attorney. Tried to contact Mr. Yates. He was out of the office.

October 10, 2009 Contacted Mr. Yates office. He said they were in the process of obtaining

information on the Canady Estate and will prepare heirship affidavits when finished. They will supply them to us.

October 23, 2009 Heirship information being obtained. November 7, 2009 No affidavits of records to date from attorney’s office. Called, they are

still gathering information. November 22, 2009 Heirship information being obtained. December 7, 2009 No change in status. Still determining heirship. December 22, 2009 Still no affidavits of record to date. January 8, 2010 No change in status. Still determining heirship. January 19, 20010 Spoke with attorney. They think they will finish some time next week.

They will call when the affidavits go of record.

Page 6 of 38


EXHIBIT B


Cirk Canady aka Kirk Canady and Birdie Canady, Heirs continued from Page 6 of Exhibit B January 25, 2010 The attorney’s office called and said the instruments are of record. January 26, 2010 Obtained a copy of the affidavit. Comparing the affidavit, various deeds,

and leases already of record to see how to distribute the interests. January 27, 2010 Trying to locate phone numbers and addresses for heirs. Possible

addresses and phone numbers located for all parties. Found phone numbers for all parties. Contacted everyone except Darrell and Marcia Chambers. All say they will discuss the offer amongst themselves and will speak with Curtiss Canady to get his input. Tried to leave a message for Darrell and Marcia Chambers, but their mailbox was full.

February 2, 2010 Well proposal letter and AFE mailed to all parties.

Page 7 of 38


EXHIBIT B


Curtiss R. Canady and Carlene Canady December 12, 2009 Owner has leased with us in the past. Located owner’s contact

information in office files. Called, spoke with owner. Discussed lease terms. He said he did not want to lease at this time.

December 23, 2009 Spoke with owner. He said they are still trying to resolve a royalty issue

in other sections. He did not want to lease at this time. January 7, 2010 Spoke with owner. Increased offer. He said he will wait to be integrated. January 21, 2010 Spoke with owner again. No change in status. He will wait for integration

proceedings. February 2, 2010 Well proposal letter and AFE mailed.

Page 8 of 38


EXHIBIT B


Consolidated Resources Company LLC October 28, 2009 Located an address and phone number for owner. Called, spoke with a

receptionist. She said we needed to speak with Dan Willis. Mr. Willis was on the phone at the time. Left a message for him to call.

October 29, 2009 Mailed lease proposal letter to owner, in care of Dan Willis. November 5, 2009 Called Mr. Willis again, left another message for him to call. November 19, 2009 Called Mr. Willis again. He was not in. Left a message with the

receptionist for him to call. December 2, 2009 Mailed second lease proposal letter. December 18, 2009 Called again, left another message. January 5, 2010 Called Mr. Willis again, left another message with the receptionist. January 11, 2010 Spoke with Mr. Willis. Discussed the lease terms. He said our terms are

unacceptable. He will wait for integration proceedings. January 20, 2010 Received an email from Consolidated Resource Co. agreeing to lease with

certain provisions. Waiting for approval on the provisions. February 2, 2010 Well proposal letter and AFE mailed.

Page 9 of 38


EXHIBIT B


Janice I. Davis December 10, 2009 Talked to owner who said her sister, Barbara Hash, is the spokesperson for

her and her sisters. Called Barbara Hash. No answer. Left detailed message.

December 12, 2009 Called and spoke with Barbara Hash. Made lease proposal offer. She said

she and her sister’s have had a better offer from a third party. December 31, 20009 Called Barbara Hash. No answer. Left a message. Barbara Hash returned

call. Made new lease proposal offer. She said that she and her sister’s are still considering offer.

January 13, 2010 Called Barbara Hash. No answer. Left a message. January 15, 2010 Received a call from Barbara Hash. She informed me that she and her

sisters owned minerals in other sections. Told her I would look into it and call her back.

January 18, 2010 Called Barbara Hash. No answer. Left message. January 19, 2010 No return call. Called Barbara Hash. No answer. Left a message. January 25, 2010 No return phone call to date. Called Barbara Hash. Left message after

multiple attempts. February 2, 2010 Well proposal letter and AFE mailed.

Page 10 of 38


EXHIBIT B


Mrs. Carra H. Earl, Heirs The heirs of Carra H. Earl have leased their interest. Some to SEECO, Inc. (see below), some to Chesapeake Exploration, L. L. C. (see Page 33 of Exhibit B). Heirship was determined by heirship affidavit and not by judicial probate. Therefore, this interest is being named for protection purposes. Carolyn Musselman fka Carolyn Earl Humphreys Musselman Billie Earl, Jr. aka Billie Earl February 2, 2010 Well proposal letter and AFE mailed to Carra H. Earl, Heirs in care of

Carolyn Musselman.

Page 11 of 38


EXHIBIT B


Lakeithra Fitzpatrick October 31, 2009 Searched the internet and local phone directory for owner’s contact

information. Nothing found. Searched office records. Nothing found. November 2, 2009 Owner is a possible heir of Blanche Meeks. Called Alicestine Morris,

another heir of Blanche Meeks. Obtained owner’s phone number from Mrs. Morris.

November 5, 2009 Called owner‘s home. The number was disconnected. Called Alicestine

Morris back to tell her about the disconnected phone. She suggested we call Lloyse McClunie and Marvine Meeks. Called Ms. McClunie. She said all the heirs of Blanche Meeks would be leasing to a third party. She did not have a current phone number for owner. She said to call Geraldine Simmons.

November 10, 2010 Called Mrs. Simmons. She also stated that all the heirs would be leasing

with a third party. She saw no reason to provide any contact information for owner.

November 18, 2009 Mailed lease proposal letter. December 2, 2010 Spoke with Marvine Meeks. She did not know how to reach owner. She

too stated that all the heirs of Blanche Meeks were leasing to a third party. December 16, 2010 Searched the internet for a new phone number. Nothing found. December 29, 2009 Mailed another lease proposal letter to owner. January 11, 2010 Expanded internet search for owner’s contact information. Nothing new

found. January 21, 2010 Expanded internet search for any new information. Again, nothing found. January 25, 2010 Unable to communicate with owner. February 2, 2010 Well proposal letter and AFE mailed.

Page 12 of 38


EXHIBIT B


Esther Frick, Heirs Janice I. Davis See Page 10 of Exhibit B Barbara K. Hash See Page 16 of Exhibit B Mary D. Light See Page 17 of Exhibit B Zelma Maxine Pixley See Page 25 of Exhibit B

Page 13 of 38


EXHIBIT B


Anna Garlington, Heirs The heirs of Anna Garlington have leased their interest to Chesapeake Exploration, L. L. C. (See Page of 33 Exhibit B). Heirship has not been confirmed. Therefore, this interest is being named for protection purposes. February 2, 2010 Well proposal letter and AFE mailed to Anna Garlington, Heirs in care of

Dorthelia Daniels.

Page 14 of 38


EXHIBIT B


Kimberly M. Gyce December 3, 2009 Obtained owner’s contact information from Karen Moore, who provided

heirship information for Hallord Moore, an heir of T. C. Moore. December 11, 2009 Called, spoke with owner. Discussed lease terms. She said she would

discuss the offer with her husband and siblings. December 23, 2010 Owner agreed to lease. Lease and related documents being prepared. January 9, 2010 Lease and related documents mailed. January 19, 2010 Spoke with owner. She said they had received the lease and were

reviewing it. February 2, 2010 Well proposal letter and AFE mailed.

Page 15 of 38


EXHIBIT B


Barbara K. Hash December 10, 2009 Called Barbara Hash. No answer. Left detailed message. December 12, 2009 Called and spoke with Barbara Hash. Made lease proposal offer. She said







Page 16 of 38


EXHIBIT B


Mary D. Light December 10, 2009 Talked to owner who said her sister, Barbara Hash, is the spokesperson for









Page 17 of 38


EXHIBIT B


Carreleta McClunie October 31, 2009 Searched the internet and local phone directory for owner’s contact


another heir of Blanche Meeks. Mrs. Morris said that we should call Lloyse McClunie and Marvine Meeks. They may know how to reach owner.

November 5, 2009 Called Ms. McClunie. She said all the heirs of Blanche Meeks would be

leasing to a third party. She did not have a current phone number for owner. She said to call Geraldine Simmons.

November 10, 2010 Called Mrs. Simmons. She also stated that all the heirs would be leasing

with a third party. She saw no reason to provide any contact information for owner.

November 18, 2009 Mailed lease proposal letter. December 2, 2010 Spoke with Marvine Meeks. She did not know how to reach owner. She

too stated that all the heirs of Blanche Meeks were leasing to a third party. December 16, 2010 Searched the internet for a new phone number. Nothing found. Called

Alicestine Morris again. She did not have any new information. December 29, 2009 Mailed another lease proposal letter to owner. January 11, 2010 Expanded internet search for owner’s contact information. Nothing new

found. January 21, 2010 Expanded internet search for any new information. Again, nothing found. January 25, 2010 Located a phone number for someone with a name similar to owner’s.

Called, February 2, 2010 Well proposal letter and AFE mailed.

Page 18 of 38


EXHIBIT B


Cleotis Meeks, Heirs Catherine Foster Napoleon Meeks October 31, 2009 Searched the internet and local phone directory for owner’s contact


another heir of Blanche Meeks. She said that owner is deceased. Obtained a name of phone number for one of his children.

November 5, 2009 Called, spoke with Catherine Foster, daughter of owner. She confirmed

that her father is deceased. She also said that her mother is deceased. She has one brother, Napoleon Meeks. Discussed lease terms. She said she would speak with some of her relatives and call back.

November 16, 2009 Spoke with owner’s daughter, she and her brother are still considering

offer. November 20, 2009 Spoke with Catherine Foster, she said they had received a better offer

from a third party and had decided to lease with them. December 3, 2009 Spoke with Catherine Foster. She said they had not leased with anyone

yet, but had decided to go with a third party. December 17, 2009 No change in status. She and her brother will leased with a third party. January 5, 2010 Called again. Catherine Foster and Napoleon Meeks have not leased with

a third party to date. They still maintain they will wait and lease with the third party.

January 21, 2010 No change in status. February 2, 2010 Well proposal letter and AFE mailed.

Page 19 of 38


EXHIBIT B


Jaretha V. Meeks, Heirs Terrie Banks October 31, 2009 Searched the internet and local phone directory for owner’s contact


another heir of Blanche Meeks. She said that owner is deceased. Obtained the phone number for owner’s daughter, Terrie Banks.

November 5, 2009 Called Terrie Banks, no answer. Left a message. November 12, 2009 Called again, still no answer. Left another message. November 20, 2009 Called again, still no answer. Left a message. Searched internet for an

address for owner. Found an address. Mailed lease proposal letter. December 3, 2009 Called Terrie Banks, no answer. Left a message. December 18, 2009 Called again, still no answer. January 5, 2010 No return call. No response to lease proposal letter. Called again, still no

answer. Left another message. January 20, 2010 Called again, still no answer. Left another message. February 2, 2010 Well proposal letter and AFE mailed.

Page 20 of 38


EXHIBIT B


Mary Malendy Meeks, Heirs Theon Miller October 31, 2009 Searched the internet and local phone directory for owner’s contact


another heir of Blanche Meeks. Obtained a phone number for Theon Miller, owner’s son. Called, no answer. Left a message.

November 10, 2009 Called again, left another message. November 18, 2009 Called again, still no answer. Searched the internet for an address for Mr.

Miller. Located an address. Mailed lease proposal letter. November 30, 2009 Theon Miller called in response to the lease proposal letter. Explained to

him that we needed heirship information before we could lease. He did not have all the information needed to complete the heirship affidavit. He will try to get the information needed and call back.

December 8, 2009 Called Theon Miller again. He said he had not obtained the necessary

heirship information yet. December 21, 2009 Called Theon Miller again. He was unable to get the needed information.

He said he hadn’t always lived at home and did keep in touch with his family.

January 6, 2010 Mr. Miller still is unable to get the necessary information. January 20, 2010 No change in status. Mr. Miller hasn’t been able to provide us with

heirship information. February 2, 2010 Well proposal letter and AFE mailed.

Page 21 of 38


EXHIBIT B


Opal M. Meeks, Heirs Lakeithra Fitzpatrick See Page 12 of Exhibit B Carreleta McClunie See Page 18 of Exhibit B

Page 22 of 38


EXHIBIT B


T. C. Moore, Heirs Brandon W. Byers See Page 5 of Exhibit B Kimberly M. Gyce See Page 15 of Exhibit B Wesley Randolph See Page 27 of Exhibit B

Page 23 of 38


EXHIBIT B


Henry Morton and Hettie Morton, Heirs Owner came into title via a quitclaim deed dated May 11, 1971 and recorded in Deed book 107 at page 83. November 17, 2009 Searched office records for owner’s contact information. Nothing found.

Searched local phone directories, nothing found. November 28, 2009 Searched internet. Nothing found. Searched SSDI records. Found a

Hettie Morton who died in Pulaski County in Arkansas in 1985. Unable to verify if this person is owner, however, a quitclaim deed was found with Henry and Hettie Morton as grantors. Their signatures were notarized in Pulaski County, Arkansas. The record showed that Hettie was born in 1894.

December 10, 2009 Checked courthouse records again for any other possible leads. Nothing

found. December 22, 2009 Called some Morton’s in the area. None contacted knew owner. January 20, 2010 Called Sherman Garlington, he sold Henry and Hettie Morton the interest.

He is also listed on the tax rolls as the owner of the property. He said that Henry and Hettie Morton are deceased. He knew that Hettie had a brother, but thought he was deceased. He did not know the brother’s name. Sherman Garlington insists that the property is his. He says he purchased it at a Sheriff’s sale. Reviewed courthouse records and did not see a Sheriff’s sale for this tract.

January 21, 2010 Spoke with Sherman Garlington again, he said he had a copy of the deed

where he purchased the property. He would find it. Sherman is leased to SEECO, Inc. in this tract.

January 24, 2010 Status remains unchanged. No new sources have surfaced and no new

knowledge of this owner or heirs of this owner’s whereabouts has been obtained. Unable to locate owners or their heirs.

Page 24 of 38


EXHIBIT B


Zelma Maxine Pixley December 10, 2009 Talked to owner who said her sister, Barbara Hash, is the spokesperson for









Page 25 of 38


EXHIBIT B


Victor Porter Owner has been integrated in the past. Prior to those integrations, extensive work was done to locate owner with no success. Owner came in to title via a trustee’s deed dated March 8, 2001 and recorded in Oil and Gas book 88 at page 542. October 31, 2009 Searched office records, internet and local phone directories for owner’s contact

information. Nothing found November 2, 2009 Spoke with William Mathis, III, another mineral owner in this tract. He said he did not

know how to reach owner. He said that he had a phone number at work for someone he thought might have owner’s contact information.

November 3, 2009 Spoke with Mr. Mathis again. Obtained a phone number for a Mrs. Wilson. Called her,

she said she had heard of owner, but did not know how to reach him. November 4, 2009 Obtained possible contact information. Called, left a message. November 9, 2009 Called again. Spoke with Bobby Smith, a friend of owner. Obtained owner’s phone

number. November 11, 2009 Called again, spoke with Victor Porter. Discussed lease terms. He agreed to lease, but

was not sure that he was the right person. November 12, 2009 Called again, spoke with Victor Porter. Determined that he was not owner. November 13, 2009 Called the Flora Bank and Trust in Flora, IL. They were co-trustees of the trust in which

owner received his interest. Spoke with Linda Leak. She said she would review her files and see if she could find an address.

November 19, 2009 Spoke with Linda Leak again. Obtained an address for owner from 2001. Checked

internet for a phone number associated with that address. None found. Information obtained from the internet also showed that someone else lived there.

November 21, 2009 Expanded internet search. Located some phone numbers for possible relatives of owner. December 3, 2009 Checked courthouse records again for any possible information on owner. Nothing

found. December 23, 2009 Searched the internet again for any possible leads. Nothing found. January 5, 2010 Expanded internet search again, found a possible phone number. Called, no answer. Left

a message. January 21, 2010 Status remains unchanged. No new sources have surfaced and no new knowledge of this

owner or heirs of this owner’s whereabouts has been obtained. Unable to locate owner or the heirs of owner.

Page 26 of 38


EXHIBIT B


Wesley Randolph December 3, 2009 While calling other mineral owners, learned from Sharon Moore, that

owner is an heir of T. C. Moore. She did not know how to reach him. She said she would ask around and see if she could find him.

December 11, 2009 Spoke with Sharon Moore again. She said she had been unable to locate

him. Searched internet for owner. Several Wesley Randolph’s found all over the U. S. Unable to determine which one might be owner. Called a few listings. No one contacted was owner.

December 23, 2009 Spoke with Sharon Moore again. She said she had talked to some other

family members. No one knew where he was. Called more listings, still no success.

January 5, 2010 No change in status. Unable to locate owner. January 18, 2010 Spoke with Sharon Moore. She still did not know how to reach him. January 24, 2010 Status remains unchanged. No new sources have surfaced and no new

knowledge of this owner or heirs of this owner’s whereabouts has been obtained. Unable to locate owner or heirs of owner.

Page 27 of 38


EXHIBIT B


BP America Production Company BP America Production Company owns a working interest in the following Oil & Gas leases recorded in Conway County, Arkansas:

1) Hervey Chambers and Kathy Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 479.

2) Bruce Canady and Katherine Canady to Strata Minerals, Inc. dated May 3, 2006 and

recorded in Oil & Gas book 124 at page 483.

3) Alberta Harvey fka Alberta White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 487.

4) Charles Curtis Martin Irwin and Laura Ann Irwin to Strata Minerals, Inc. dated May 3,

2006 and recorded in Oil & Gas book 124 at page 491.

5) Werelee White and Charlene White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 495.

6) Dominic Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas

book 124 at page 499.

7) Ricky Robertson and Juanita Robertson fka Juanita D. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 503.

8) Gola Byers fka Gola White and Hurley Byers to Strata Minerals, Inc. dated May 3, 2006

and recorded in Oil & Gas book 124 at page 507.

9) Karen Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 511.

10) Charles Toney and Marcelle Toney fka Marcelle White to Strata Minerals, Inc. dated

May 3, 2006 and recorded in Oil & Gas book 124 at page 515.

11) Byron Robertson and Norma Robertson fka Norma J. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 519.

12) Marcellus Cunningham and Joycy Cunningham fka Joyce R. Chambers to Strata

Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 523.

Page 28 of 38


EXHIBIT B


BP America Production Company continued from Page 28 of Exhibit B

13) Vondra Rainey to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 527.

14) Terrell Rainey to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


15) Kenneth Perry and Sharon Perry fka Sharon K. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 535.

16) Albert White, Jr. and Essie White to Strata Minerals, Inc. dated May 3, 2006 and


17) Roman Reed and Bonnie Reed fka Bonnie A. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 543.

18) Warren McKey and Ruth McKey fka Ruth A. Chambers to Strata Minerals, Inc. dated


19) Leonard Louis and Sheryl Louis fka Sheryl Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 551.

20) Dwight Canady and Linda Canady to Strata Minerals, Inc. dated May 3, 2006 and


21) Victor V. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 559.

22) LaMonte Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


23) LaVette Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 567.

24) Kenneth Abrams and Rita Abrams fka Rita S. Chambers to Strata Minerals, Inc. dated


25) Carlton White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 575.

Page 29 of 38


EXHIBIT B



26) Charles Dwayne Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 579.

27) Evonne LaVera Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil &

Gas book 124 at page 583.

28) Gwendolyn Hemmingway fka Gwendolyn White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 587.

29) Mervin L. White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


30) Mary White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 595.

31) Robert Black and Lee Ather Black fka Lee Ather Canady to Strata Minerals, Inc. dated


32) Dorthelia Daniels and James A. Daniels to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 324.

33) Thurman Garlington and Joyce Garlington to Chesapeake Exploration Limited

Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 607.

34) Mary Alice Wallace to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 612.

35) Vanessa Spencer to Chesapeake Exploration Limited Partnership dated February 22,


36) Sherman A. Garlington to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 647.

37) Lillian M. Moore and Wilbur Moore to Chesapeake Exploration Limited Partnership

dated February 22, 2007 and recorded in Oil & Gas book 145 at page 713.

38) Wayne S. Garlington and Juliette Garlington to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 718.

Page 30 of 38


EXHIBIT B



39) Truman L. Garlington and Marsetta Garlington to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 146 at page 20.

40) Benjamin Franklin Garlington, Jr. and Mae Ester Garlington to Chesapeake Exploration

Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 146 at page 678.



42) Ladell J. Garlington and Dorris Garlington to Chesapeake Exploration Limited


43) Calvin E. Garlington and Clara M. Garlington to Chesapeake Exploration Limited Partnership dated April 5, 2007 and recorded in Oil & Gas book 147 at page 429. (Ratification found of record from Rickey D. Garlington and Marilyn Garlington, Rufus C. Garlington, Jr., Albert G. Garlington and Birdie Mae Garlington. Said ratification is dated April 17, 2007 and recorded in Oil & Gas book 160 at page 146.)

44) Elaine Garlington Brown aka Elaine Brown and Charles Brown to Chesapeake

Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 148 at page 170.

45) Michael W. Garlington and Brenda Garlington to Chesapeake Exploration Limited


46) Pamela Walker and William Walker, Jr. to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 153 at page 34.

47) John C. Earl to Chesapeake Exploration, LLC dated April 17, 2008 and recorded in Oil &

Gas book 165 at page 438. Chesapeake Exploration, L. L. C. assigned an undivided interest to BP America Production Company. Said assignment is effective July 1, 2008 and recorded in Oil & Gas book 171 at page 610. February 2, 2010 Well proposal letter and AFE mailed.

Page 31 of 38


EXHIBIT B


Ceres Resource Partners, LP Ceres Resource Partners, LP owns a working interest in the following Oil & Gas leases recorded in Conway County, Arkansas:

1) American Heart Association to Triple A LLC dated October 27, 2008 and recorded in Oil & Gas book 173 at page 645. (An amendment to the lease was found recorded in Oil & Gas book 174 at page 40.)

2) Arkansas School for the Blind by Jim Hill, Director to Triple A LLC dated November 20,

2008 and recorded in Oil & Gas book 174 at page 489. Through various assignments, these leases are now owned by Ceres Resource Partners, LP. February 2, 2010 Well proposal letter and AFE mailed.

Page 32 of 38


EXHIBIT B


Chesapeake Exploration, L. L. C. Chesapeake Exploration, L. L. C. owns a working interest in the following Oil & Gas leases recorded in Conway County, Arkansas:

1) Hervey Chambers and Kathy Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 479.

2) Bruce Canady and Katherine Canady to Strata Minerals, Inc. dated May 3, 2006 and


3) Alberta Harvey fka Alberta White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 487.

4) Charles Curtis Martin Irwin and Laura Ann Irwin to Strata Minerals, Inc. dated May 3,


5) Werelee White and Charlene White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 495.

6) Dominic Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


7) Ricky Robertson and Juanita Robertson fka Juanita D. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 503.

8) Gola Byers fka Gola White and Hurley Byers to Strata Minerals, Inc. dated May 3, 2006

and recorded in Oil & Gas book 124 at page 507.

9) Karen Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 511.

10) Charles Toney and Marcelle Toney fka Marcelle White to Strata Minerals, Inc. dated


11) Byron Robertson and Norma Robertson fka Norma J. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 519.

12) Marcellus Cunningham and Joycy Cunningham fka Joyce R. Chambers to Strata

Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 523.

Page 33 of 38


EXHIBIT B


Chesapeake Exploration, L. L. C. continued from Page 33 of Exhibit B

13) Vondra Rainey to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 527.

14) Terrell Rainey to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


15) Kenneth Perry and Sharon Perry fka Sharon K. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 535.

16) Albert White, Jr. and Essie White to Strata Minerals, Inc. dated May 3, 2006 and


17) Roman Reed and Bonnie Reed fka Bonnie A. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 543.

18) Warren McKey and Ruth McKey fka Ruth A. Chambers to Strata Minerals, Inc. dated


19) Leonard Louis and Sheryl Louis fka Sheryl Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 551.

20) Dwight Canady and Linda Canady to Strata Minerals, Inc. dated May 3, 2006 and


21) Victor V. Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 559.

22) LaMonte Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


23) LaVette Chambers to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 567.

24) Kenneth Abrams and Rita Abrams fka Rita S. Chambers to Strata Minerals, Inc. dated


25) Carlton White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 575.

Page 34 of 38


EXHIBIT B



26) Charles Dwayne Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 579.

27) Evonne LaVera Canady to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil &


28) Gwendolyn Hemmingway fka Gwendolyn White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 587.

29) Mervin L. White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas


30) Mary White to Strata Minerals, Inc. dated May 3, 2006 and recorded in Oil & Gas book 124 at page 595.

31) Robert Black and Lee Ather Black fka Lee Ather Canady to Strata Minerals, Inc. dated


32) Dorthelia Daniels and James A. Daniels to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 324.

33) Thurman Garlington and Joyce Garlington to Chesapeake Exploration Limited


34) Mary Alice Wallace to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 612.

35) Vanessa Spencer to Chesapeake Exploration Limited Partnership dated February 22,


36) Sherman A. Garlington to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 647.

37) Lillian M. Moore and Wilbur Moore to Chesapeake Exploration Limited Partnership

dated February 22, 2007 and recorded in Oil & Gas book 145 at page 713.

38) Wayne S. Garlington and Juliette Garlington to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 145 at page 718.

Page 35 of 38


EXHIBIT B



39) Truman L. Garlington and Marsetta Garlington to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 146 at page 20.





42) Ladell J. Garlington and Dorris Garlington to Chesapeake Exploration Limited


43) Calvin E. Garlington and Clara M. Garlington to Chesapeake Exploration Limited Partnership dated April 5, 2007 and recorded in Oil & Gas book 147 at page 429. (Ratification found of record from Rickey D. Garlington and Marilyn Garlington, Rufus C. Garlington, Jr., Albert G. Garlington and Birdie Mae Garlington. Said ratification is dated April 17, 2007 and recorded in Oil & Gas book 160 at page 146.)

44) Elaine Garlington Brown aka Elaine Brown and Charles Brown to Chesapeake

Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 148 at page 170.

45) Michael W. Garlington and Brenda Garlington to Chesapeake Exploration Limited


46) Pamela Walker and William Walker, Jr. to Chesapeake Exploration Limited Partnership dated February 22, 2007 and recorded in Oil & Gas book 153 at page 34.

47) John C. Earl to Chesapeake Exploration, LLC dated April 17, 2008 and recorded in Oil &


48) Russell W. Coats to Chesapeake Exploration, LLC dated February 24, 2009 and recorded in Oil & Gas book 179 at page 603.

Through various assignments, Chesapeake Exploration, L. L. C. owns an undivided interest in the above leases. February 2, 2010 Well proposal letter and AFE mailed.

Page 36 of 38


EXHIBIT B


Petrohawk Properties, LP Petrohawk Properties, LP owns a working interest in the following Oil & Gas leases recorded in Conway County, Arkansas:

1) Deltic Timber Corporation to Griffith Land Services, Inc. dated June 22, 2005 and recorded in Oil & Gas book 104 at page 254.

2) Patsy J. Burnet to Petrohawk Properties, LP dated November 14, 2008 and recorded in

Oil & Gas book 174 at page 314. (Lease released by Petrohawk Properties, LP. Said release dated December 3, 2009 and recorded in Oil & Gas book 191 at page 262.)

3) Dave Bourland and Sherry Bourland to Petrohawk Properties, LP dated November 17,

2008 and recorded in Oil & Gas book 174 at page 321. (Lease released by Petrohawk Properties, LP. Said release dated December 3, 2009 and recorded in Oil & Gas book 191 at page 262.)

4) James Bourland and Barbara Bourland to Petrohawk Properties, LP dated November 15,

2008 and recorded in Oil & Gas book 174 at page 328. (Lease released by Petrohawk Properties, LP. Said release dated December 3, 2009 and recorded in Oil & Gas book 191 at page 262.)

5) Janice Davis to Petrohawk Properties, LP dated November 20, 2008 and recorded in Oil

& Gas book 185 at page 480. (Lease released by Petrohawk Properties, LP. Said release dated December 3, 2009 and recorded in Oil & Gas book 191 at page 262.)

6) Barbara Hash to Petrohawk Properties, LP dated November 20, 2008 and recorded in Oil

& Gas book 185 at page 487. (Lease released by Petrohawk Properties, LP. Said release dated December 3, 2009 and recorded in Oil & Gas book 191 at page 262.)

7) Maxine Pixley to Petrohawk Properties, LP dated November 20, 2008 and recorded in

Oil & Gas book 187 at page 432. (Lease released by Petrohawk Properties, LP. Said release dated December 3, 2009 and recorded in Oil & Gas book 191 at page 262.)

Lease #1 – Through various assignments, Petrohawk Properties, LP owns an undivided interest in this lease. February 2, 2010 Well proposal letter and AFE mailed.

Page 37 of 38


EXHIBIT B


Page 38 of 38

SE Land Acquisitions, LLC SE Land Acquisitions, LLC owns a working interest in the following Oil & Gas leases recorded in Conway County, Arkansas:

1) Theola Marvene Meeks to SE Land Acquisitions, LLC dated July 1, 2009 and recorded in Oil & Gas book 188 at page 596.

2) Loyse A. Meeks-McClunie to SE Land Acquisitions, LLC dated July 1, 2009 and

recorded in Oil & Gas book 188 at page 601. February 2, 2010 Well proposal letter and AFE mailed.

EXHIBIT “C”Applicant’s statement regarding Operating Agreement

The applicant requests incorporation of the Model Form Joint Operating Agreement

approved by the Arkansas Oil and Gas Commission on October 24, 2006, with Paragraph

III.1.A.(1) of the COPAS providing for a drilling well rate of $7,500.00 and a producing

well rate of $750.00 , and with the following proposed revisions, deletions and/or

insertions, if applicable:

NONE

106-2010-02aogc2.state.ar.us/hearing applications archive/2010/february/106-2… · 4. applicant...

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