# Balancing Interest/Royalty Interest
**URL:** https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216
**Category:** Oklahoma Mineral Rights
**Created:** [February 26, 2026, 10:13pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216 "2026-02-26T22:13:12Z")
**Posts on this page:** 6
**Page:** 1
### Author:  [@A\_Monty](https://www.mineralrightsforum.com/u/A_Monty)
#### Post date: [February 26, 2026, 10:13pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216/1 "2026-02-26T22:13:12Z")
Flywheel Energy, LLC (FE), paying as FW Midcon I, LLC out of Michigan, has apparently purchased wells that Conoco previously bought from Marathon Oil then sold to FE. We have a ROYALTY interest in some of those wells in Canadian County. Our first two revenue statements for oil say we are being paid for a Royalty Interest. For gas and NGLs it says BL/Balancing Interest? The Revenue Statement says “In addition to payments attributable to FE’s sale of gas production, FE may also distribute revenues and royalties on behalf of other working interest owners for properties that FE operates. FE is not involved in marketing arrangements made by other working interest owners for the separate sale of their production, and FE has no specific knowledge regarding the price received for such production or any deductions relating to such payments.” The definition for Balancing Interest seems only to apply to working interest owners. Why is it showing up on our checks?
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### Author:  [@PeteR](https://www.mineralrightsforum.com/u/PeteR)
#### Post date: [February 26, 2026, 10:50pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216/2 "2026-02-26T22:50:05Z")
@A_Monty, my guess would be that they are trying to show ‘Blanchard Interest’.
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### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [February 27, 2026, 1:00pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216/3 "2026-02-27T13:00:11Z")
In this case, it is a Blanchard Interest. ([MRP 179: What Are Blanchard Royalties? – The Mineral Rights Podcast](https://mineralrightspodcast.com/mrp-179-what-are-blanchard-royalties/))
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### Author:  [@A\_Monty](https://www.mineralrightsforum.com/u/A_Monty)
#### Post date: [February 27, 2026, 4:40pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216/4 "2026-02-27T16:40:34Z")
Thanks. So did the law that was passed regarding this (Senate Bill 168) say the operator could just lump the excess royalty into one line item for Blanchard Interest rather than listing the excess royalty separately?
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### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [February 27, 2026, 7:17pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216/5 "2026-02-27T19:17:47Z")
Some companies break it out and others do not. Some of the old Marathon ones lumped, so that pay deck may have moved from Marathon to Conoco to Flywheel. Unless you have an audit clause in your lease, you might just have to live with it.
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### Author:  [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [May 27, 2026, 10:13pm UTC](https://www.mineralrightsforum.com/t/balancing-interest-royalty-interest/86216/6 "2026-05-27T22:13:33Z")
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