How long from first well to royalty check?

How long from the drilling of a well to getting a royalty check? The well is about 14,000 feet. and I have 1 1/2 years left on the lease.

Will the company renew the lease and can I up the leasing price? Thanks. Any new information would be helpfull. thank :D

So, has the well been completed “into the tanks/pipeline”? If so, generally look toward 90-120 days after end of month from 1st date of production. State of Texas statutes require payment no less frequent than annually, but you may have a clause in your lease to govern this more strictly, or at least you should! Is all your acreage in the unit, or is it a “lease” well. If “all in” a unit well, or a “lease well” with no Pugh Clause to enforce, then in either case you’ll have no acreage to get a “re-up” lease. If any acreage/depths are available upon expiration of the encumbent lease, those terms are negotiable at that time.

So, just to be clear, one can expect a check, assuming all paper work is in order and signed, within one year and four months of the official 1st date of production of a well? Or within one year of 1st date of production?

Boy, either way seems a long time to wait, but all info is good if you have it.


Provided the well was completed/sold into the tanks/pipeline prior to September, I’d expect an “end of the year check” at the least, unless they suspend funds pending issue of title opinion/Division Orders. Have you signed a Division Order? If so, certainly I’d look for a check in 90-120 days afterwards.

Do you know whether it is a lease well or unit well? What state/county? Operator/well names?

I’m not sure what the difference between a lease well and a unit well is. I am a royalty owner only so my info is limited. Thank you for the info though.

A lease well is drilled on a single tract to which all the royalty is paid. A unit well is drilled on one tract of several that are pooled together and the royalty is allocated proportionately among the tracts on the basis of acreage participation to the unit … 4 tracts of 10 acres each in a 40 acre unit, each tract/owner would get 10/40th of their royalty on production; also, it can be critical whether or not you are the drill-site tract and whether you have a mineral or royalty interest

Liz B said:

I have sent a friend request because I want to ask a private question. Can you accept my request?

Sure, I'll receive a private question, send another friend request, I think I deleted it earlier. Ooops!