Does anyone know if Jones Energy has filed for Bankruptcy ? Have 2 wells, they were first production wells on June 4 and 14 , 2018 and have not received a w-9 or any communication . This is in Canadian County, OK
What section, township and range? Even if they file for Chapter 11, mineral owners get their royalties. First production is not the key date. First sales is the key date.
I and three others here have royalty interests in the Section 30,r12n5w Gadwall well and are concerned about the possible effect of a Jones bankruptcy on our income from the well. Are we simply creditors whose income will be reduced to satisfy a court settlement? Is our income frozen during the proceedings? After eight months with the well on line we have still not received our division orders. Should we hire an attorney? All comments would be appreciated.
For all the bankruptcies that I went through last year, the minerals are a special class and are supposed to keep on receiving royalties. All my wells have continued to pay. Sometimes delayed by the bankruptcies as they set up special accounts to hold the income. Takes time to get everything under control. Some of the firms have emerged stronger than ever, some not. They will owe you interest if your title is clear, so that will be good. I would not hire an attorney at this point, but if you want to, go ahead.
From OK Energy Today:
Jones Energy, Inc., a Texas energy company with heavy exploration and production efforts in Oklahoma and the Texas Panhandle says it plans to file for Chapter 11 bankruptcy.
The filing, which has yet to be made allows the company to restructure its finances. The company indicated it is in the process of an agreement that would allow it to equitize nearly $1 billion of its debt.
The company made a 422 page 8-K filing with the SEC earlier in the week.
Jones Energy expects to file in the United States Bankruptcy Court for the Southern District of Texas by April 15, 2019. The company expects to meet the requirements for confirmation of the plan and to emerge from bankruptcy within two weeks after filing.
In the interim, it will be business as usual for Jones Energy as the company states it will continue to operate in the normal course and its business operations will not be disrupted by the restructuring process.
Jones Energy engages in the exploration and development of oil and natural gas properties in the Anadarko basin of Oklahoma and Texas.
The firm celebrated its 30th anniversary in 2018. In 2007, it soled its Hansford Company to Laredo for $75 million. A year later, Jones sold its Shattuck Field to Noble for $292 million. In 2009, the company acquired Crusader Energy Group for $240.5 million while in 2012, Jones acquired Chalk’s Cleveland assets in a $250 million deal.
In 2013, Jones made an IPO and entered the New York Stock Exchange while in the same year, it acquired Sabine’s Anadarko assets for $193.5 million. In 2014, Jones raised $500 million of 6.75 percent senior notes in an upsized offering.
Jones sold its Arkoma Basin assets in 2017 for $65 million.
Anybody have any input on when we will be paid in this section?
Jones Energy returned my call this morning. They say that the mineral interests have been verified (they were probably verified long ago when we were told what our interests were for leasing) In any event they say that they “hope” to get the division orders out in July and start paying in August. …Yeah, right…A friend of mine invested $ 30,000 in the well for her 3 acre royalty interest. She has been receiving monthly bills for the operation of the well since it went on line, and has paid them, and she has not yet received division orders or any income either! …Incredible
Thank you for the update. I hope the will respond that quickly after more than a year later. I passed it on to my family.
The only issue I can think of is the new lease holder “loses” us and fails to pay for the ongoing production, how would we ever know it. I did call an attorney since I have one of those legal aid memberships and she suggested filling out the proof of claim but was not adamant about it.
We have been contacted and received paper work to send to them. My brother has received notice that it will be direct deposit on the end of the month. I have not heard anything yet. We didn’t get it filed with them as quickly. Red Dog is doing the direct deposit.
Anyone still having trouble with contacting people or getting payments? I can prod our folks here if so. Hopefully this is all cleared up now that there’s some distance from the bankruptcy and the assets are being transitioned to Revolution.