For now, names and location will not be mentioned.
Let say a person is in a pool with 5 other landowners. All 5 landowners have clearly noticed the pump jack has been operative for, say 3 months. All 5 pooled have not received a royalty check in 7 months.
Should landowners have concerns with the absence of mail box money?
Let’s say that 4 of the 5 are already very wealthy and the money owed them is pocket change. Yes, the pauper should be asking for the money.
@Tod_Ryden , assuming a valid lease is in place, you’ve got the right to ask any question you want to ask of the Operator or revenue distributor. Of course they’ve got the right to respond however they will, but they are subject to state statutes as well as the contract they have with you (the lease). Of course, the financial condition of anyone in the group is of no consequence to the question.
Write them an email first (cheap and fast). If you don’t find satisfaction, send them a registered letter with a time limit to respond.
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It depends. Is it a 3 months since the initial start? Is it old production? Mailbox money comes from Sales, not production. It may not be easy to wait another two months but another two months may yield enough clues to figure out what is actually happening.
What were the monthly production totals the last time you got paid? A pump jack running doesnt mean much, it could be running to keep the integrity of the well producing little to no oil monthly and the revenue after hauling could be 0
If you have a very small percentage of the acreage, then your royalties may not have reached the minimum $100 payout. (You can get that reset to $25). First checks on a new well generally do not have to arrive until 120 days or 180 days after first sales depending upon the state.
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This is helpful, thanks!
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