Hi, I wonder if any one can tell me my dollar amount using the following formula for my check from the oil company—.00235 is the decimal interest—1268 spacing–2.98 net acres–19,110 barrels for one month–$70.00 a barrel for the oil–I have a 20% royalty --I have had so many answers, even from our landman, I just want to know approx. what would the check that I recieve, be for one month–thanks ardis
you must remember to multiply your .oo235(spacing percentage) times your r.i.(.20000) for a d.i. of .00047. now calculate for your gross dollars less taxes…etc
http://www.greatnorthernenergy.net/info.html
About halfway down the webpage this link takes you to, will show you a format to achieve an estimate of what your checks should be. Hope this helps.
This webpage has many other informational articles, a great read for anyone.
Take $70 per barrel x 19,110 barrels = $1,337,700 x .00235 = $3.143.60 (monthly check)
Dear Ms. Jackson,
Approximately $566. I did not include deducts and used 9% as a severance tax amount, since you did not say what state the minerals are located. Also, this exercise assumes that there is no previous severed royalty interest that burdens your mineral interest.
Attached is an excel file that you can follow the formulas on.
Ardis,
Sorry..my error..I used the .00235 and didn't calculate everything out. The excel file from Buddy is geat!
Terry
thanks everyone for your help-I am confused on one thing tho. Will I get a check for my 20% of the well and another amount with this check for my decimal interest in the wel also?? The well is in the Bakken in McKenzie county–it has been producing since March/11. The production on the well as of the end of May is 54,640 brs. It is range 97 t153–thanks ARDIS
Dear Ms. Jackson,
You will just get one check that reflects your share of production. You do not have 20% of the well, you have a 20% royalty on production, reduced to your interest.
well, I was wondering how to do this also. I have a recently signed lease with 15 acres my ownership out of 240 acres or so (as stated) and 3/16 royalty. section 17, township 06 North, Range 03East I.M. in Pottawatomie county, Oklahoma. never drilled (inherited from grandmother to mother to me and my brother)
Who determines this "spacing percentage" , or is it stated somewhere in my lease? Is it an arbitrary number given by the drilling company when and if it produces?
Larry who did you sign with and what was the bonus offered......
Larry W Banyash said:
well, I was wondering how to do this also. I have a recently signed lease with 15 acres my ownership out of 240 acres or so (as stated) and 3/16 royalty. section 17, township 06 North, Range 03East I.M. in Pottawatomie county, Oklahoma. never drilled (inherited from grandmother to mother to me and my brother)
Who determines this "spacing percentage" , or is it stated somewhere in my lease? Is it an arbitrary number given by the drilling company when and if it produces?
Brian…West Star Operating company and bonus of $1125. thanks, Larry
ps…NMA (net mineral acres=15–my brother 15, as there are a total of 30 acres for the mineral rights).–separate leases signed but my brother took a higher bonus for a royalty of 1/8. we are the only two owners of those mineral rights acres. Larry