White Star Petroleum Not Depositing Payment

My sister and I (we have separate accounts) have both not received our April Oil and Gas payment from White Star Petroleum. We received our statements, but have yet to receive the deposit into our banking accounts. (the deposits should be well over $100.) We have called and emailed their owner relations department, but have yet to hear back from them. Has anyone else encountered this with White Star lately?

Also, I recently read on this forum where for any late payment the Operator would owe the mineral owner 12% interest. What law or statute is that so I can quote it when I send them a certified letter?

Kind regards, Pam

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Hi Pam. I’m not near my computer but it is the Oklahoma Production Revenue Standards Act. It was recently amended in November, 2018. The payments must be made within 180 days of sales.

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Hi Pam,

I am also in the same boat as you in Payne County and have not received my White Star payment for April but it is close to $1,000. I have emailed White Star several time but have also received no reply. I hope this is not a cash flow problem for them.

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Hi, Everyone. My brother and I also have a (small) royalty interest from White Star and missed our 4/30 royalty payment. I was able to get an email back from someone in Owner Relations at White Star with this: “This is an error on our bank’s end affecting several owners and we are working to get it resolved as quickly as possible. We anticipate it to be resolved within the next few days and apologize for the inconvenience.” So, its good we’re all watching. Banks do make errors (occasionally) but, when they do, they get them corrected very very quickly.

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I received my revenue for the month so it must be a glitch. Hope it gets worked out for y’all.

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The same thing has happened with our monthly revenue check. White star has done this before, about twice in the last year. Researching revealed various vendors & other owners who stated they do not pay very well. They haven’t bothered to do a thing for us other than play The Oil Company stall game, will get to you when we’re ready. A week and a half after the glitch, and their Bank still has not transmitted and submitted the failed direct deposits. If you know anyone who works in banking that should already of been transmitted and corrected.

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Thank you, Todd, Ronald, GWT and Jay for your responses! I’m kind of relieved to know that some have received their checks while others have not. And that they did respond to someone. I’ll wait a few more days before I send them a copy of the Oklahoma Oil and Gas statute reminding them of the late payment interest.

Kind regards, Pam

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The 8 of us cousins haven’t received our deposits for April 2019 either. But hot statements about 3 weeks early. Very strange. We’ve had them be a few days late but never this long. Said bank canceled our checks and it would take a few day. All of us emailed several times and left messages. No return call until my cousin mentioned lawyer. Lol

My payment was received May 14th & my sister in-law did not receive hers on the day it was due.

Finally received my 4/30/2019 royalty payment from White Star Petroleum yesterday, May 14th. FYI

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Finally received ours today, too.

I might suggest that you change your division order minimum amounts to $25. As wells decline, this allows more regular checks as amounts per month get lower. Good way to keep an eye on payments. If it stays at $100, then you will have months with no payments.

FYI- White Star just filed Chapter 11 bankruptcy. Hopefully, that will allow them to get their affairs in order. Royalty payments should continue as they are a preferred status.

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Thank you, M_Barnes. I just got the Chapter 11 paperwork from Lone Star Petroleum. And thanks for the information on the royalty payments. I hope they do continue.

Kind regards, Pam

I was one of the lucky ones to receive an e-mail from White Star as well, stating the glitch. The company was almost 2 weeks late with the payment. Last month’s was a couple of days late. Received the bankruptcy paperwork today. I wasn’t surprised. Ugh! We shall see. It reads as if they are wanting a purchaser for the company. I know nothing about all this, but I will as soon as possible! Thank you M-Barnes for all your knowledge! It is much appreciated!

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M_Barnes does that mean we do not have to file a debtors claim by August 23, 2019. I received the paperwork but I do no know if it is for mineral owners

I just got my packet. I haven’t read the whole thing yet. Since my last check was about $20.00, it probably isn’t worth my time to fuss with it. I will take a look at it this week. I may just return it with “any and all royalties due”. (Not giving legal advice…)