Royalities from a horizontal well

If a horizontal well is drilled in a particular section, does all mineral owners receive royalities from that well?

Yes, typically all mineral owners in a section benefit from a horizontal well drilled in that section as a unit is formed to fit however long the well is. So if you had 10 nma in section XYZ, and the unit was a 640 acre section, then you would have 10/640 (1.56%) of the acreage in the unit, and your royalty decimal would be that % times the royalty (so, 0.195% if 1/8th royalty).

If it were a two mile horizontal across two 640 acre sections, those 10 nma would give you 10/1280 of the well, and so on.

I’ve DEFINITELY seen this not be the case due to a variety of odd land situations so it’s not something that can be assumed without verification, and it also depends on what state you’re in, but this is the default case.

Tracy is correct. There are a few odd ones out there such as a 320 spacing or a change in spacing due to a fault. For Oklahoma, the spacings for your section will be clearly stated in an order from the OCC.

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