Production Records Squabble Develops for One STACK Operator

A Texas exploration company with a strong presence in Oklahoma’s STACK finds itself in a battle with a southwestern Idaho couple over production records.

Randy and Thana Kauffman made a formal complaint with the Idaho Oil and Gas Conservation Commission, asking to have records produced by Alta Mesa .

 

“The state of Idaho is obligated by statute to ensure that all mineral interest owners — including private owners and the state of Idaho — are paid fairly,” the Kauffmans wrote in their complaint. But Alta Mesa responded, stating it has met all of its obligations.

“We have paid the Kauffmans more royalties than anyone else in Idaho, and have fulfilled other obligations in our relationship,” according to the statement. “We don’t have any information about or understand their complaint.”

The state of Idaho is in the process of auditing Alta Mesa’s production records on state land and the results could be available early next year. Earlier this year, the state legislature adopted changes to Idaho natural gas and oil laws following complaints that private mineral rights owners were not getting fair royalty payments.

Some credit Alta Mesa with turning Idaho into a more prosperous oil and gas producing state through its use of new technologies.  Alta Mesa says it’s spent $160 million in finding reserves in the state.