Me and my brothers and numerous family members are receiving royalty payments but the oil company Cheseapeke say we only are due o one off lease payment. How long does it take for the production of oil as they are only extracting gas now?
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Depending on what unit you are in within Desoto Parish, it is correct that it is probably only gas now (Haynesville), but there are many productive units in Desoto that have previous production (oil or gas) and some newer horizontal wells have been drilled in a limited area there to produce natural gas liquids (a better price than nat gas, but not oil).
Do you have any specific issues with the royalty payment other than confirming the product they are paying on? Is your Lessee paying timely and corectly?
Hello thank you for your reply. Louisiana is the only state that split royalty payments between 2nd and 3rd generations of family. We only received one lease payment and that’s what the say was agreed. Royalty payments are only paid once the amount reaches £100 I can’t understand why we are getting paid so little on 80 acres of land. Just need to find out how much are they extracting and compare.
I agree that it doesn't seem correct, but that depends on your actual interest in the 80 acres. Also the generational split seems like it could be explained depending on title or what affidavits of heirship are filed. You need to know your exact interest in the that tract, within the unit and then according to your lease to verify they are paying you correct. Feel free to message me if I can be of assistance.