Joel, Inquiring on my brothers behalf of SM Energy, who is carrying his interest in a well, they informed me that my brother is entitled to a year end statement detailing what he owes as a carried interest (well cost), how much he has paid off in the prior year how much has been deducted for expenses. I spoke to my brother just yesterday about requesting this accounting, because I know he won't if I don't bug him. He doesn't even cash the checks he gets from the well. I think he believes that since the well isn't going to be paid off immediately he can just wait and tackle all the issues at once. I don't like surprises, I really don't like surprises that can be avoided. Joel, I think you have as many rights as someone who paid up front. There are people who start paying up front and can't pay all and they wind up being carried by the operator, until their production pays the operator back, with I'm sure interest or penalty. Joel I look at most leases as a way to delineate that for a small fee and retaining a royalty interest you are giving up all but a few of your rights. When you do not sign a lease, where is all the language that says you can't demand an accounting ? The operator does not even have a joint operating agreement to fall back on. I think if they fiddle with the numbers, it would not be a business dispute as it would be if you signed a lease, or a JOA but might well be considered fraud. joel, I haven't run across a lease yet that said the mineral owner has a right to audit, have you ? I think you would have to sue to open the books, if leased. I think if between your check stubs a yearly statement and watching barrels produced and sold verses what you were paid, any discrepancies should show up. Joel, Mineral Joe taught me something in a discussion we were having one time. How much of your oil do you still own after you sign a lease ? Ready ? The answer is 0. You transferred all of it to the lessee only retaining a royalty interest should they produce. The lease only allows for a possibility of reversion at the end of the primary term if nothing is produced and after production ceases in the secondary term. Something to think about.