JC, If your section has 100% of the spacing unit your royalty interest for 5.98 acres would be .00175; assuming you leased for 3/16ths. However, your section may have less than 100% of the unit which would make it a multi unit and dilutes your interest. Also, your interest could have been divided between other mineral ownership you were not aware of. Or, a mistake has been made.
JC, Does your division order state .00046 or .00146? 5 acres at 3/16th royalty in a 640 acre unit is calculated: 5 divide by 640 = .0078125 X .1875 =.00146
I didn’t explain my question very well did I? I think the .00046 is very low, less than 1/16th. The wells are with White Star. JC
Thanks Martha, But would that be why my interest rate is so low. Do I need to get clarification from White Star? JC
jay I received mine on the 6th. JC
JC: Who or what is the email address for the contact at White Star? Not sure if Tim Andrews is still employed by WhiteStar…as my email to him came back…
Has anyone received their June royalty check from Whitestar yet? I still do not have mine as of 7-9…
Mine came the 5th of July. Of course it was for April business.
JC, Let us know the finding.
Martha, Had family here for a week or so and didn’t have time to get on line. I looked at my lease and it’s 1/5th, or 20% and 100% spacing. I figure: 5.9531 divide by 640 = .00930 X .20 = .00186. Have contacted W-S and waiting a response. JC
Martha, FYI: Received my division orders Saturday on first two wells in Payne 9 that hit in Feb. Decimal Interest of .0015625 is correct.
Jimmy, ‘Patience is a virtue’ is a well known cliché. Paul in Galatians 5:22-23 said it was among the fruit of the Spirit. But, whether a believer or not, those who actively experience the “Oil Biz” learn how to pray!!!
Yes Martha, been doing it for many years and have learned it’s not always about asking for a certain thing but more about guidance and discerning wisdom. However, in this case the Lord certainly has given us a blessing. Kind of amazing to think my great-great grandparents started everything when the canons went off in 1889 and they became two original Sooners.
Jimmy, They may have gone down hole, but not kicked off lateral drilling while waiting for the OCC to allow the increased density and location exceptions.
Thanks Martha, I’ll wait and see if I get any correspondence from the White Star attorney regarding additional laterals. By the way, any new laterals are considered “wells”, correct? With location and “names” like the ones I have: i.e. Caroline 1 & 2 and Madelyn 1 & 2.
Martha, I have a question: The first two wells in Payne 9 18N 2E started producing in Feb. As I stated earlier, I received the Div. orders over the weekend. The second two started drilling on 6/19 and 6/28. Now I see on OCC’s docket today an Increased Density and two Location Exceptions in Payne 9 18N 2E with original applications filed on 3/10. What could this mean? Thanks much Jimmy
Thanks Martha. I think I understand. However, I believe several months ago, I received copies of the OCC’s approval for the location exceptions and increased density for the second two wells. Then the same thing shows up on today’s docket. That’s what lead me to wonder if they were going to start drilling additional laterals. That would be nice!
Jimmy, Yes, horizontal wells are drilled to enhance reservoir performance by placing a long wellbore section (lateral) within the reservoir (formation). Each section drilled into the reservoir must be separately identified.
Jimmy, It’s always possible that they could run more laterals. I don’t know have the production reports for the second two wells to determine if more wells are necessary, but they do have to wait for OCC location exception allowances before running any laterals into the formations.
Thanks again Martha. This has taken a while but I now realize the “Oil Biz” is not for the Instant Gratification people! 