Division order for revised and corrected ownership

Oklahoma Mineral Rights McClain County, OK
1

Hi, I have already signed a division order and have been receiving monthly royalties.

The changes mentioned are “due to a correction to the allocation per section as well as correcting some title discrepancies.”

The Revised Division Order has my correct information except my interest is in decimal form. It seems to be an extremely low number 0.00119531. I did a quick calculation of my acreage and divided that by 640 and got very close to the same number. However, shouldn`t 640 be divided by my acreage? 640/my acreage and multiplied by my royalty percent?

Am I over thinking this and is a revised division order fairly normal?

Thanks in advance,

Jami

2

I don’t know about your math but revised division orders are common. I get them from Devon from time to time.

3

Is the Division Order for a multi-unit horizontal well? If so, you will need to apply to your calculation the unit percentage for your section.

BTW, your net mineral acres/640 X the royalty rate in your lease (X your unit allocation if a multi-well) is the correct expression of the formula.

4

Thanks Rick, for the feedback. I just wanted to make sure this was fairly normal and now I know. =)

5

Thank you Frank. This is good information for me. =)