Issue 1
Has anyone had issue with Diamondback sending your mineral payments to the wrong person? A family member owns 1/2 percent and my three sisters and I own the other half. last year they sent our monthly payments on a new well to our aunt and now a different well they are paying my sisters and I our aunts minerals. They also have part of our wells listed in Midland County but are in the “middle” of Martin County. It is to the point that even the county tax office basically states what now? It is just so frustrating. They just can’t seem to get their stuff together.
Has anyone else had this type of issue with Diamondback over and over and over?
Issue 2
We also have a well on our Martin County tax statement but we were not getting the mineral payments on this well. It took over 2 years and now part of the funds have been turned over to the Texas Comptroller. We are finally getting a monthly payment. We have not received the portion at the Comptrollers office yet. It is a whole process and takes a bit of time.
First, looking at the RRC GIS Viewer, there are a lot of wells which have horizontal wellbores which cross the Martin / Midland county line. Generally both counties will tax the well, but limit to the percentage of the unit or of the producing wellbore of a sharing or allocation well within each county. So you will get a tax bill from each county, such as 30% Martin and 70% Midland. It does not matter that your minerals are only in the one county. To determine this, pull the as-drilled plat for well and see if the wellbore crosses the county line. Then review the appraisal value detail to make sure that the percentage taxed to each county adds to 100%. Second, as to the royalty issues, review the recorded deeds for the family to make sure that the assignments were divided among the members for all of the minerals (e.g. A got 1/2 and B, C and D each got 1/6 of all of the minerals in the section). Sometimes the deeds are written so that minerals are divided by tract - So A got 100% of the North half of the tract and B, C and D got the all minerals in the South half of the tract. The net mineral acres will be the same, but the well ownership will depend on the location of the well or unit. You should have received and signed a division order with the correct royalty DOI. Is the royalty on your check different from the DO?