Official report to the House of Representatives of the 58th Legislature of Texas Page: 23 of 94
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W. S. 'Barber of*Kilgore declined to testify on the grounds that'his truthful
answer could incriminate him,whether he drilled into the Shell Well; whether he
had said that his drilling into the Shell Well was just a mistake; whether he owned
an interest in the E. W. Scates-Newton Lease; and whether he was also known as
G. U. (Pappy) Yoachum of Kilgore declined to testify on the grounds. that his
truthful answer could incriminate him;questions concerning the $1,027. 23 money
order which he endorsed to Nelson Decker; whether he had had drilled kicked wells
on the L. R. Jacobs, Dorsey and Robert Castleberry Leases; whether he had drilled
for Ebro Oil Company; his relationship with Amtex Oil Company; whether he assigned
an interest in the Barton Lease to R. C. Brin, Trustee for Nelson Decker and then
kicked the Barton No. 3 Well 3300 feet at an angle of 62 ; and whether he assigned
to R. C. Brin, Trustee for Nelson Decker, an interest in the Elder Lease on which
Well No. 13 was kicked 3,225 feet at an angle of 60 o
A. E. Jack McCubbin of Kilgore declined to testify on the grounds that his
truthful answer could incriminate him, questions about slanted wells on the Bonner,
Gunn, Holt and Mayfield Leases; his interest in.Amtex Oil Company; assignments
of interest to Nelson Decker; whether he had ever paid anything to RRC employees;
or whether he had sent RRC employees on all-expense trips to the races at Hot
J. Rex Stegall of Kilgore declined to answer questions relating to whether he
drilled deviated wells on the Bonner, Gunn and Holt Leases or about his interest in
Amtex Oil Company.
Judge David C. Moore, District Judge of the 124th District Court at Longview
since 1955, did testify. He told about acquiring the Fisher Lease of approximately
one acre in consideration for his agreement to drill a well. The working
interest in that lease is owned jointly by himself Tom Cook, E. W. (Jelly) Scates
and E. W. Scates, Trustee. He turned the drilling of the one acre Fisher Lease
over to E. W. Scates.
He kept a 1/8 interest in the lease and paid $7,000 for drilling and completion
costs indicating the well cost $56,000. Although he was a second generation oil
operator in the East Texas Field he was unable to reconcile or justify why this well
cost about 7 times more to drill than a straight well.
When shown the RRC survey showing the well had been kicked 2,510 feet at
an angle of 490, he said the first he knew about this was when he was served a restraining
order to keep him from going on the lease. He was asked about his conversation
with Scates after he was served with the restraining order:
Q. And what did Mr. Scates tell you when you asked him?
A. He didn't tell me anything.
Q. Did you seek more definite information from him?
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Texas Legislature. House of Representatives. General Investigating Committee. Official report to the House of Representatives of the 58th Legislature of Texas, book, 1963; Austin, Texas. (texashistory.unt.edu/ark:/67531/metapth5869/m1/23/: accessed July 22, 2017), University of North Texas Libraries, The Portal to Texas History, texashistory.unt.edu; .