We had been receiving royalty checks from Antero at the end of every month starting in September 2019 a little while after the division orders were signed. The first royalty payment was a larger “catch up check” from the start of production. Subsequent payments were obviously a lot smaller accounting for single month production. Then, the end of February payment didn’t come, and now the end of March payment has not come either. I have looked at the production numbers reported to the WV DEP and production is still very strong and has not slowed to the point of causing the royalty to be below the payment threshold.
We reached out to owner relations by both email and phone in both cases and have not received any communication back or any acknowledgement whatsoever that they even received our emails or voice mails. When we called the main line we were told that they need 14 days to respond to questions/requests and further communications just further delays response. That sounds crazy to me. Anyone else having these problems? Does anyone have a direct contact at Antero owner relations that they have worked with on these types of issues? The email and voicemail black hole isn’t working. Thanks!
You might want to check your Division Order minimum amount. It it is set at $100 and your royalties were less than $100, then they will have to accrue before they cut the next check. You can re-set it to be $25 by filling out a new DO. If the amounts should have been over $100, then keep after them. Certified mail return receipt can be useful as you have a documented green card for who signed for the mail.
Based on reported production, the royalty amount is absolutely above the minimum payment threshold on the DO. Certified mail will only get me the name of a clerk in the mail room, but if it ends up with my lawyer, we’d need proof of correspondence, so good call. It’s just so rediculous to me that it is so hard to get a person in this department to reply via email or phone. They are ultra communicative during the leasing process, then nothing.
During this downturn, many of the oil and gas folks are working remotely, so things are a bit slower than usual. Documentation is always a good idea, just in case you need it in the future.