I am a new user and have attempted to figure out on my own what I am actually being given and am lost. My mother is in the process of signing over her mineral rights to my brother and myself and, either she really does not know, or really wants us to figure out on our own, what the value is, what is really happening, etc. I have written out below the sections, township, and range that my mom and her sibling own the mineral rights for . Can anyone please help me determine what the income is, percentage, name of wells, etc…? I keep coming up with, what I believe to be, Combs Ranch. Mother then confuses us and says that income also comes from horizontal drilling and, even though, it is not on family property we will still be getting royalties. I cannot find any other information as it says confidential. Here are the sections that are for sure owned : LOT 2: S2: S19 T33 R70: 360.93 ACRES
E2: SW4: S20 T33 R70: 480.00 ACRES
PTNW: SW4:S21 T33 R70: 219.999 ACRES
NW4: S28 T33 R70: 160.00 ACRES
N2: S29 T33 R70: 320.00 ACRES
ALL: S30 T33 R70: 640.81 ACRES
N2: S31 T33 R70: 320.48 ACRES
TOTAL ACRES 2,502.219
Apologize for not being specific. First, how do I find out the percentage of royalties and what exactly are the names of wells for the areas mentioned. Secondly, how do we then become part of horizontal drilling if it’s not on our real property?
There are quite a few horizontal wells already under those sections. Has your mother leased her minerals? If so she should have received Division Orders and should be already be receiving royalty checks. If she didn’t lease then she might well have been force-pooled and would be subject to cost recovery penalties.
Me. Durrett,
Hope you are able to help?! My mom is not receiving any checks for the last few months and she said Chesapeake told her there is no production. That doesn’t make sense. Is she not understanding what they are saying? Or am I not understanding how this works? Below is the area that mom and aunts own the mineral rights for. Thank you for any help you can provide.
2: S2: S19 T33 R70: 360.93 ACRES E2: SW4: S20 T33 R70: 480.00 ACRES PTNW: SW4:S21 T33 R70: 219.999 ACRES NW4: S28 T33 R70: 160.00 ACRES N2: S29 T33 R70: 320.00 ACRES ALL: S30 T33 R70: 640.81 ACRES N2: S31 T33 R70: 320.48 ACRES TOTAL ACRES 2,502.219
It does appear that there is still production coming from these wells, although there isn’t very much. Most wells are below 10 bbls/day now, but I see some production reported through August. When did she receive her last check?
Is her royalty percentage very small? Companies will often not issue checks until the accumulated amount due is above a certain amount.
Hello! No, my mom owns 33% of the mineral rights alone. I am not exactly sure how much she receives for horizontal drilling. The gas company has completed two pipelines across our property, the second one just completed. Shouldn’t she receive for the gas that goes through pipeline on our property. I know that hasn’t began but wouldn’t she be silly to sell?
Thank you
No, a mineral owner does not receive any payments for gas pipeline throughput. Pipeline Right of Way is granted by the surface owner, and is typically a one-time cash payment, or sometimes an annual payment.