Pool enlargement retroactive a whole year ???

 Bradford County PA -Southwestern just recently sent us a notice saying they had enlarged the pool we are in. I know they can enlarge without consent up to the 640 acres or whatever the number is. What I did NOT know they can do, is go back an entire YEAR and change the amount of royalties already paid and send a notice that we will receive no monies until what they have "overpaid" is paid off . We were JUST sent the new recorded deed for the pool . It was JUST recorded ,but it says it goes back to Nov 2013 . How is this even legal ?!?!? We assumed that our percentage of the royalties would change going forward, not backward. The well has not changed ,  no new legs within that time frame.( There are now but they are not producing) The acreage being added to the pool , were already in a pool that ( I believe) may have been paying more because it had more legs , so did those people get a "bill" for overpayment for a year also ?? Why NOW , and why back 1 year..the well has been producing for 2 ! I think the only thing that happened was that we all got screwed and Southwest kept money from both ends of the deal. Please correct me if I am wrong.

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Permalink Reply by Joan Edsell on December 4, 2014 at 2:36pm

26 acres were added to the original pool.( from approx 380 to 406.I do not have the paper in front of me)  So everyone in the pool had their royalties percentage reduced and they made it retroactive for an entire year. We got the letters within days of each other. One with the newly recorded deed and a few days later , the one telling us we were over paid since Nov 2013 and would not be getting any money until it's been paid back. I just assumed when we got the first letter that it would be future royalties. Oh well...they do what they want and get away with it.

Permalink Reply by Joan Edsell on December 4, 2014 at 2:27pm

The property that was added , originally should have been part of the pool acreage-not part of another pool as I first thought , sorry!  It showed on the original pool map but it had lines drawn through it. WHY did they not put the money in a trust or something and make the  percentages correct instead of over-paying everyrone else in the pool and then reducing so that nobody in the pool got any monies this month and we will still see a deduction next month. It was their error !

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