Morshiser 5H Royalties?
The ODNR shows 12 days of production in the first quarter. My lease terms are payment by the 30th of the month following the month of sale and it is now been over 4 months. I've never been contacted by CHK, the well driller and operator or Enervest the lease holder with regard to this well. ODNR shows my name and property on the permit and plat so unless the well was only drilled to half it's planned length I should be in the unit.
It appears my lease has been broken unless they haven't sold any of the oil and gas yet. How do I find that out?
Most of the leases in this area are old Cinton leases like mine so there may be others in the same boat.
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Replies to This Discussion
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Permalink Reply by Dexter Green on -
Did you ever receive and subsequently sign anything from Division Order?
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Permalink Reply by Brian Werner on
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No, Ive recieved nothing. But I'm in the Cairn 5 H unit also and never recieved or signed anything for it. But for the Cairn unit royalties began two months after production started.
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Permalink Reply by John on
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What township are you in? If you don't mind me asking, how much were royalties per acre? I'm in fox township and just received first check. Just under $/acre. Also, you need to inquire about division orders as you should have received them. If they are not signed and returned they will take out taxes.
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Permalink Reply by Dexter Green on
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How long have you been in the Cairn unit without being paid?
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Permalink Reply by Brian Werner on
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I'm in Harrison Twp. For the Cairn well there were no papers signed, but there is a Declaration of Pooling and Unitization on file at the Carroll Cty courthouse. No taxes have been withheld for the Cairn well. The Cairn well has been in production for almost 2 years now. The max royalty was for the third month of production almost $500/acre. Current royalty is about $100 acre. Old 12.5% lease.
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Permalink Reply by John on
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good work. Consider yourself lucky. We in good lease with 20 %. Question, how much did your 2nd royalty check drop from first?
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Permalink Reply by Brian Werner on
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To Dexter's question: the Cairn well began payment 2 months after production started, which seemed reasonable to me. Assuming the 12 days of 1st qtr production from the Morshieser well were in March, then it has been over 4 months since production began and no royalty.
To John's question: the decline is quick at first and then levels off some. From the peak month the royalty dropped by 40% the following month, by another 20% that first year and down another 20% now at almost 2 years out (total of 80% drop from peak) -
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Permalink Reply by John on
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thanks for info. So I guess my question is was your first check "the peak"? My first royalty check was supposedly for first 3 months of production, but having trouble finding out how many days of production that was. as stated, your numbers are considerably higher than mine. Hoping our wells are choked back or not much pipeline etc. Who the heck knows. It is a crapshoot all the way around.
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Permalink Reply by Brian Werner on
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I don't know how many days of production went into each check. I assumed the first check was a partial month so not really comparable. There seems to be a bit of variation in checks with: days of production, where the sale date falls and what the sale price was for the oil and gas. I think it just worked out that my highest check was the 3rd one. Two months ago there was no royalty at all for gas then it was back to a near normal level last month.
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Permalink Reply by Judith Kohout on
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Just call Chesapeake and ask them. I always call with questions and they are helpful
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