# Division Order question

**URL:** https://www.mineralrightsforum.com/t/division-order-question/7812
**Category:** General Mineral Rights Discussion
**Created:** [January 24, 2015, 10:39pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812 "2015-01-24T22:39:33Z")
**Posts on this page:** 9
**Page:** 1

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### Author: ![Alicia\_Buck](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/a/9f8e36/32.png) [@Alicia\_Buck](https://www.mineralrightsforum.com/u/Alicia_Buck)
#### Post date: [January 24, 2015, 10:39pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/1 "2015-01-24T22:39:33Z")

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We finally received our division orders from Rice! Wahoo! I did notice that the acreage listed on it is not the entirety of what we leased to them. I am guessing this is because not all the area was zoned into the well tract? Should I contact them and confirm this before signing?

Thank you in advance!

Alicia

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### Author: ![Tom\_Ed\_Moore](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/tom_ed_moore/32/2577_2.png) [@Tom\_Ed\_Moore](https://www.mineralrightsforum.com/u/Tom_Ed_Moore)
#### Post date: [January 25, 2015, 7:33pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/2 "2015-01-25T19:33:35Z")

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If you don’t know how to calculate your revenue interest from the spacing and lease terms, someone needs to be contacted to do this for you.

I would post this in the County and State forum of your production.

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### Author: ![Alicia\_Buck](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/a/9f8e36/32.png) [@Alicia\_Buck](https://www.mineralrightsforum.com/u/Alicia_Buck)
#### Post date: [January 25, 2015, 10:02pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/3 "2015-01-25T22:02:27Z")

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Thank you Tom! I do know how to calculate it, but the D.O. doesn’t have the full acreage we leased to them in the production unit. I am going to call them tomorrow and see what’s up!

Thank you!

Alicia

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### Author: ![Charles\_Cunningham](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/c/f05b48/32.png) [@Charles\_Cunningham](https://www.mineralrightsforum.com/u/Charles_Cunningham)
#### Post date: [January 26, 2015, 12:51am UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/4 "2015-01-26T00:51:46Z")

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You need to know if you are in pooled unit or not. If you are in a pooled unit, you need to obtain a copy of the Unit Designation to determine whether all your acreage was pooled. Your property also could have been re-surveyed by the company which would change your acreage.

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### Author: ![Buddy\_Cotten](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/buddy_cotten/32/5079_2.png) [@Buddy\_Cotten](https://www.mineralrightsforum.com/u/Buddy_Cotten)
#### Post date: [January 27, 2015, 12:24am UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/5 "2015-01-27T00:24:28Z")

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Dear Ms. Buck,

I know that you said that you know how to figure out a decimal interest, but for those who do not, you take the number of net mineral acres that you contribute to the unit divided by the gross acreage of the unit for your tract participation factor. Then you multiply the tract participation factor times your royalty interest provided for on the lease, AFTER you subtract any burdens to your royalty, such as a non-participating royalty interest burdening your mineral interest, or net profits interest and the like. That result is the decimal interest to which you should be credited with on the division order.

Best

Buddy Cotten

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### Author: ![Alicia\_Buck](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/a/9f8e36/32.png) [@Alicia\_Buck](https://www.mineralrightsforum.com/u/Alicia_Buck)
#### Post date: [January 27, 2015, 11:03pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/6 "2015-01-27T23:03:05Z")

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Thank Mr. Cotton! I did not think about the deduction of non-participating royalty interest, and that may be why I am coming up a bit off (under to be exact) in my calculations of our decimal interest. I assume that this non-participating royalty interest is the acreage that was not included in the unit that we still signed a lease on? Maybe I am wrong! I get a little confused on the lingo!

Alicia

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### Author: ![Buddy\_Cotten](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/buddy_cotten/32/5079_2.png) [@Buddy\_Cotten](https://www.mineralrightsforum.com/u/Buddy_Cotten)
#### Post date: [January 29, 2015, 3:50pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/7 "2015-01-29T15:50:25Z")

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Dear Ms. Buck,

Non-participating royalty interest is something else entirely. If you are not able to pretty easily compute the decimal interest which you should be credited with on the division order - and it does not agree with the interest on the division order, perhaps you do need some help in confirming your interest.

Best

Buddy Cotten

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### Author: ![Alicia\_Buck](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/a/9f8e36/32.png) [@Alicia\_Buck](https://www.mineralrightsforum.com/u/Alicia_Buck)
#### Post date: [January 29, 2015, 11:44pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/8 "2015-01-29T23:44:56Z")

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Update! Ok, so when I got all the information thus far, our decimal interest is NOT right! I have been trying to get someone to “enlighten” me at the company’s headquarters.

46.28 acres in our family’s interest of a 622.331 acres unit at 17% interest. Individual family ownership of said 46.28 acres is 50% to my Aunt, and the remaining 50% split three ways between us kids (I figure 16.666% per each of us). Seems simple; 46.28/622.331=0.0743655707 \* 0.17=0.012642147. Now let us just figure my portion of that: 0.012642147\*0.1666=0.0021061817.

Well, the secretary said they had calculated mine and my siblings using the ownership percent of 8.3 (0.083). When I said, “well that just doesn’t make any sense. Where is the other percentage? My Aunt’s decimal interest isn’t correct either by calculations.” The lady was clearly confused as well and said she would look into it. This was earlier today and I am still waiting for a call for some enlightenment.

Any thoughts, ideas or suggestions are greatly appreciated! If I am wrong and misunderstanding something, I just want to know what it is!

Alicia

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### Author: ![system](https://www.mineralrightsforum.com/uploads/db5755/original/3X/6/c/6c7c56608c843272ad6e3662ce9562a5956f173e.png) [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [August 14, 2018, 11:55pm UTC](https://www.mineralrightsforum.com/t/division-order-question/7812/9 "2018-08-14T23:55:43Z")

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