I am frustrated with Zavanna the operator on a well that my family has mineral rights to. The well went to production in April of 2012. We have probated wills as required by their protocol and now 18 months later, after 2 different stipulations prepared by them and signed by us they say that not all stipulations involved in this well have been returned and they cannot disburse any payments.
Does anyone know how long something like this can go? What is the operator's obligation to get the stipulations signed? What if they never all get returned?
I don't have any insight as to how this all works but, for what it's worth, my family and I are going through a lot of the same with XTO energy. We had been getting paid on a regular basis then XTO bought out Denbury an the pay outs stopped. After months of jumping through hoops, still nothing. I wish you well and will let you know if I gain any insight into how all this happens.
Thank you for your response. It's all new to us and not easy to get answers.
Janie Newborg said:
I don't have any insight as to how this all works but, for what it's worth, my family and I are going through a lot of the same with XTO energy. We had been getting paid on a regular basis then XTO bought out Denbury an the pay outs stopped. After months of jumping through hoops, still nothing. I wish you well and will let you know if I gain any insight into how all this happens.
Sadly, forever if there is a title issue. I would investigate if I could possibly clear my title without the stipulations. You may need to bring a quiet title action. Sorry you are going through this.
Well it hasn't been a year yet so you haven't waited as long as I have.....and guess what....I participated in the well I waited for more than a year on....No title issues......They finally sent me what they owed and billed me for what I owed........see if you can find the post from r w kennedy explaining the 17% interest the operator starts accruing after the 150 days....(might as well check his post regarding the 150 day thing too) You no doubt can find other postings from others regarding the two relevant topics, I just think his explanation is one of the most complete and understandable.............bottom line.......if your still waiting.....it isn't at all unusual from my personal experience with 3 different operators....In fact, I am still waiting on a CLR well that is wayyyyyyy past 150 days.
Took me about 18 months to complete the probate process and provide the operator with all the numerous legal docs before they would finally release royalties. It’s a very frustrating process.
We are still waiting although all the requirements presented to us have been completed - ie 2 wills probated in North Dakota. I've been going back and forth with the rep from Zavanna and he said until all parties sign the stipulation (which they have had to redo at least twice) they will not release the funds. He has gotten snotty and I don't plan on further communication with him.
You may want to have your attorney contact them. I ultimately had my attorney contact the operator to ensure we had a firm list of all legal docs required to release funds. I had to probate in both Montana and North Dakota. I understand Montana has a Transfer of Death agreement to allow avoidance of the probate process for 1-2 generations. Plan to pursue that option soon so my kids can avoid the hassle. Not sure if ND offers the same.
It's been a very long time for me but I am finally getting paid from XTO. The thing that baffles me is that when Denbury operated the well I made approximately $27,000.00 for the year. With XTO operating it I have been making about $250.00 per month or $3000.00 per year. I am not getting any answers from XTO and finally just turned everything over to my Mother's attorney in Minot, ND. He is extremely slow and does not feel a need to respond to calls, email or other correspondence so I would not recommend him.