Royalty Decimal for Wolfbone

Folks -

I am reaching out to those who have had division orders delivered in the wolfbone trend. I am trying to determine my decimal prior to recieving a divsion order.

Calculations for decimal:

(your royalty interests per your lease) x (net mineral acreage)/ unit acreage

For example. 25% lease interests, your own net 40 mineral acres, the well has been declared as a Gas well - so it will most likely contain 640 acres in the unit.)

So - 25% x 40/640 = .0156 royalty.

My question to you folks is: what has been you experience with the unit acerage? I have heard everything from 160, 320 and 640.

The unit acerage can change your decimal from something small to something substantial - I am praying for the smaller acerage - but I am concerned with these wells be classified as Gas vs Oil. Please let me know what your experience has been.


would your calculations work the same as an oil well only? I have wondered how to do the calculations on an oil well and really don't have that knowledge.

Thank you,


Yes Louise it would work for oil or gas well. The trick is guessing what the unti acreage is. From what I have read - it varies quite a bit and only the division order you recieve will reveal it. So I am hoping that others that have actually recieved division orders within the wolfbone trend(Reeves Co) would share what they have found. For me the declared unit acerage will make the diffrence bewtween sending 2 kids to college or paying to repave the drive way. I am praying for college :-)

If I am not sounding too dumb and wanted to calculate on my land, how would I do that. I own 260 acres out of 520 acres. The lease stated 25%. Someone told me I had a 32nd but don't know how they figured that. Any information would be appreciated. It is not pooled to my knowledge. And by the way, I don't have a division order or anything like that. No kids for college (all grown) but do have 5 grandchildren that I would like to put through college when the time comes. Good luck on yours.


I own 25% interests on 161 acres - which means I own 40.25 net mineral.

so if you own 100% interests on those 260 acres - then it might be 25%(lease royalty) x260(net mineral acres) /520-IF that is your production unit acreage ..and that is the mystery - no one seems to know what the production unit size will be.


I recieved my Division order in January and the the acrage my royalty interest were based on is what is listed on the drilling permit. Our lease is 170 acres. I look at your drilling permit for 25-C8 and it shows 640 acres and is not pooled or unitized. You should be receiving your division shortly.


District Field Name Field # Completion Depth Lease Name Well # Well Type Acres Distance to nearest well Distance to nearest Lease Line SWR Pooled/Unitized


Primary Field

98359800 13500 CWEI-CHK '25-C8' 1 Oil or Gas Well 640.0 467.0 N
Perpendiculars Distance Direction Distance Direction
Surface Lease Lines 467.0 feet from the W line and 467.0 feet from the N line

Thanks... ugh.. 640 acres.. that is not what I wanted to hear.. I was hoping that a one little well would only use 160 acres max. Although I have seen some permits listed at 2000 I gues I should be greatful. 640 acres is going to crater our decimal to a small amount.. hmmmm.. I might think about selling out now..


Sorry for the news..... Try this calculation out to see how the money looks. your decimal interest X the dispositioned amount of oil from the RRC production Query X ~ 92.00 per barrel. Of course there's about a 5% severence tax. this will put you in the ball park. When using this calc I get real close to what my checks are. One thing to consider is a lease of 640 may get another well drilled. There are a lot of companies out there that like to drill all 4 corners of a section.


Thanks Scott - actually I botched the whole thing - they drilled in the NW/4 of the section- I am in the NE/4 - so no permit, no production..nothing for us.. Oh well.. I might hang on for another year or so...

Sorry to her that Kreg. I am sure they will get yours in the near future


I know the feeling Kerg as almost the same thing happened to me. Drilled on Sec 8 Blk 55 and I was really getting so excited until I noticed it was Sec8 Blk 55 T 5 and I am T4. In a really different location and not even close. So I am like you, waiting until they decide to drill on my property. Just keep your spirits up.


Thanks Scott and Louise - I did get one piece of info - CWE used 160 unit acres - not 640 as indicated by the drill permit(which apparently was entered wrong). I know this because I called CWE today. . so IF I had been in the well - my decimal would have been .0625 - which is huge! So hopefully when they drill my quarter of the square - we will receive the same unit acreage. Good luck to all of us!!


CWEI has a lot of wells to drill in the near future and with that 1 quarter doing as well as it is it's just a matter of time before you get a well. The .0625 RI is huge and you'll definetely be able to get the kids thru college and repave the drive. I go to Pecos every few months and I'll keep you and everyone updated.


This is my first comment. My concern is that I have 50 net acres on 320 acres, leased thru Dec 2013. There is a permit on the adjacent 320 acres with our 320 included as part of the lease(same leassor). I wonder if they drill that well and do not get to my undivided 320 acres by Dec 2013, will they pool it as 640 acres to hold my lease. I leased too low and would like to get one more 3-year term at a higher rate.

Steve -

I do not think they will pool you. The Wolfbone Play field rules state that a unit production well is 160 acres.

I thought I was part of 640 acre pool as stated by a W1 statement - turns out that doesn't matter. In fact - it seems that no matter what the W1 states - all production wells will be at 160 acres spacing. This I have learned from speaking directly to folks at the Texas RRC. You should be able to get a clear title and get a new lease... good luck.

Thanks Kreg,

My confusion is because I look at permits under and look at the pdf file of the survey. The permitted well is located 660 feet from the south and east lines of the adjacent tract. This seems setting up the well pattern fo 40 acre spacing. Our part is included in the other half of the lease boundary. I do not believe we have a title problem. And even though the wells are set on 160-acre spacing, could not the leasor unitize them ?

Steve -

The only people that will know for sure is when they setup a division order. The lawyers who setup the division order determine the unit. I know that Claytom Williams does 160 acres. I would suggest contacting your oil companies divsion order dept and see if they can answer your question.