Royalty Check Details Well Numbers On Check

My issue is: when I receive my royalty check from BP they have combined all well under one number. I have requested they put each well# on my check. The email I received back from them states: The Stroud Nesbitt Well are paid under property number 101318. And I can review production volumes for each well on the numbers related to them. They stated it is not possible to have an itemized check detail separated by well as the remittance advice is done at a property level, and ownership is the same. To review production volumes for each well I can access the Texas Railroad Commission.

There was a time when all the wells were shown on the check stub, all of a sudden I see one number representing all three wells.

According to the Railroad commission info below is what should be provided to me.

How do I get this issue settled with BP without a lawyer. It seems like I am not being paid for all wells. Can BP do this or is there something I can do to get them (BP) provide me with the details on my check stub? Any feed back you can provide will be appreciated.

Thank you, Barbra Smith

additional information Section 91.502 (amended effective 9/1/2002)

  1. Property Identification (Name, Number, or both; and County and State)
  2. Sales month and year
  3. Volume sold
  4. Price per barrel or Mcf
  5. Severance or other taxes deducted
  6. Windfall profit taxes (repealed 1989)
  7. Other deductions or adjustments
  8. Net value
  9. Owner decimal interest
  10. Owner gross value
  11. Owner net value
  12. Address and phone number where can be obtained

Barbra, we are experiencing the same in S. E. Oklahoma (Woodford formation). One might suspect this is a smoke-screen BP has unleashed to cover up something. When they were still reporting volumes and value per Mcf, we noticed at that time they never itemized or showed deductions, but the value per Mcf was reported at about 30 to 40% less than our wells in adjacent sections operated by other companies in the same formation. With this more recent move to keep mineral owners in the dark, could there have been an escalation of expenses being charged?

Should o&g regulators be protecting the rights of mineral owners in addition to the operators? Looking forward to responses to your issue.

  • Thank you for your comments. I have found that no matter what question you ask BP you get some technical answer that does not relate to your question. I have been dealing with this group for years and never get a true answer to my question. Do I need an attorney, will that do any good? With all the new laws changing in this area, I feel things are going to get worse for us. Thank you.

Unless your lease has some provisions that will force BP to answer your questions, then you may not have the power to force the company to respond. These appear to be gas wells with separate RRC lease numbers and you may have to pull volumes from RRC to compare. You can also get sales volumes and revenues from the CONG on Texas Comptroller site. It should be reported by well there, but maybe it is being consolidated there. You will just have to total all volumes and sales to see if you are being accurately paid. The response was rather inaccurate as there is no reason the wells cannot be reported separately on your checks except for the active decision by BP to consolidate the weel on the check. It is the company policy. Perhaps BP is hoping most royalty owners will give up asking questions and auditing. If you find a discrepancy, ask by email and if you are stonewalled, send a certified demand letter.