Gas Volume reported on statements?

Oklahoma Mineral Rights Haskell County, OK
1

I am in conversation now with the well operators lawyer over the discrepancy between the volume of gas in MCF that the first purchaser is reporting to OCC/OKTAP and what is reported on my royalty statement. The volume reported to OCC/OKTAP is about 50 to 100 MCF more than what is listed on my statement. The lawyer is trying to claim that because the gas is sold in BTUs that the conversion is the reason.

If I am reading the Oklahoma statues correctly, the volume of gas sold should be the amount reported to OCC/OKTAP and that the price per MCF/BTU equivalent should be listed for that volume. ie the conversion if one is warranted due to BTU content of the well gas should only affect the price listed not the volume.

2

Do you have the formula to go from MCF to BTU? I have been searching as well for this formula please share if you don’t mind if you have or find out ? Thanks in advance

3

Volumes for gas on the OCC tax will rarely match due to line loss, BTU conversions, gas processing of liquids, GOR back calculations and several other reasons.

4

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