Hello good people just wanted to say Camino is sending the division orders out and the checks for the sundance kid well I need a armored truck
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Keep in mind that the first check will be for several months of royalties. The next check will be for monthly amounts so far less. Your check will be based upon your net acres, the royalty (such as 1/8th, 3/16ths. etc) and the percent of perforations in your section. The well will decline in volume quickly, due to natural causes, so checks will naturally decline over time.
You may need to claim for interest if the check does not arrive by 180 days after first sales. First sales were 7/9/21. I don’t usually fuss if it is a couple of weeks late after the 180 days because operators usually only issue checks once a month and the paperwork may have not caught the current month’s cut off deadline.
You can find the production on the OK tax site. Gross Production It is usually a few months behind. The well looks good so far.
Congratulations. M. Barnes is correct about decline. I see no problem with a small buying spree though as long as I buy needed durable goods, you can’t go too far wrong. Heaven knows money just melts from inflation sitting in the bank.
Be aware that the first two years of a good horizontal well gives the highest return on volume and royalties. Be ready to pay taxes on that high return, so set some aside before having too much fun with those first royalty checks.
Camino said they are taking out all the money to recover and it’s plant cost transport cost etc why when we had lease covering that
Similar situation with me, received first check for new production of 5 horizontal wells in Upton county TX. It would be great if the first check was for one month only, but probably several months as noted. I received pooling docs as well, so not sure if I should participate or not and what my options are. First check was based on what they call non-participating. I’m new to this, so not sure.
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