Payment of royalties

I have 20 acres in a well that has been producing since August 6th.  The well is in Stark County,Ohio.  My lease states that royalties will be paid 90 days after production starts.  It is January 22 and I have not seen a check. What should I do?

Views: 4717

▶ Reply to This

Replies to This Discussion

Permalink Reply by Tico on January 24, 2013 at 5:36am
Who are you leased with?
Permalink Reply by jeff on January 25, 2013 at 5:04am

The lease is with Chesapeake

Permalink Reply by james on January 25, 2013 at 5:08am

Hope your well royalties are better then mine, got check yesterday, well grossed almost $40,000 for the month and I received a check for $379 and a few cents. Doesnt sound like a very big piece of the pie for 80 acres?

Permalink Reply by jeff on January 25, 2013 at 5:12am

James, where is the well located that you are in?

Permalink Reply by Billy Park Whyde on January 25, 2013 at 5:16am

Was that on gas? Whats the unit size? Percentage by lease terms if you don't mind?

Permalink Reply by jason on January 25, 2013 at 6:09am

Is it the Frank well in Marlboro?

Permalink Reply by jeff on January 25, 2013 at 6:49am

I am in the Drevon well

Permalink Reply by Tico on January 25, 2013 at 6:34am
They will take out upwards of 35 percent for production if that's in your lease,
Permalink Reply by james on January 25, 2013 at 5:31am

The well is located in Crawford County, $28,000+ in gas, $11,000+ in oil gross, shows our ownership at .91%. Looks like a good well, just not much for us. Almost $40,000 in a month is alot of money.

Permalink Reply by JREwing on January 25, 2013 at 5:54am

Am I missing something here? To my knowledge, via Marcellus.org, there are currently only 3 drilled horizontal wells in Crawford County; Range's Lippert, Swepi's Byler and Halcon's Staab. Is one of these wells paying out royalties already? Lippert is the oldest well.

Permalink Reply by Samuel J. Orr on January 25, 2013 at 6:11am

How large is the drilling unit and what is the royalty rate. If drilling unit is 1280 acres, your monthly royalty should be the value of production (VP) multiplied by the royalty percentage multiplied by 80/1280. The 80/1280 figure assumes all of your acreage is in the drilling unit! Sometimes when drilling units are drawn, only a portion of a particular parcel is included in the drilling unit. My calculation assumes also that no deductions were taken for marketing or post production costs.

Permalink Reply by james on January 25, 2013 at 7:39am

This is just a deep well, not a shale well, thats why im puzzled why Im only getting such a small percentage of the well gross. Its in the Conneautville area, Kastle Resources drilled it, they only drill deep gas, not shale. We bought the property about 1 1/2 years ago, I ask them for a copy of the lease and they wont even send me that???? I have called in asking to talk to someone and the secretary tells me theres only 1 person that knows anything and that person has yet to call me back.

RSS

© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service