Section 24 T19N R6W--Jodie 24-M3H

Hello! I’m new to this mineral rights stuff, so please bear with me. We own mineral rights in the Section stated above from the Jodie well. My brother and I inherited this back in mid 2016. We started receiving “healthy” checks from Longfellow in mid 2017. They were very consistent, always receiving them on or around the 1st of each month. Well, S K Nemaha bought Longfellow out last year. Since then, sometimes we get our checks in 4 weeks, sometimes in 6 weeks and they have gone down significantly since S K acquired them. Now the checks have stopped and the last check was pretty descent. I understand horizontal wells do not last a long time and I also understand the reason to cut back on production, but just to stop? Wondering if any body could advise me, I know this question has been answered before probably, but I’m still lost on this stuff.

Also, if anybody could give me an idea on what mineral rights are selling for or if they are in that area? We own 160 acres. We live in Texas, so its hard for me to ask around about these questions.

Thank you in advance for any info.

Several things could be going on here. Horizontal wells generally last a long time, so unless there was a mechanical problem, this is probably something else. Check your Division Order. It probably had a minimum payment of $100. I usually reset mine to $25 so I get more regular checks once it goes below the $100 minimum.

I wouldn’t be too quick to sell there. You need to think of more than one well. Are you getting paid on one well? Longfellow had permission for another well in 2018. SK Nemaha may still have it planned or not.

Also, if other wells are nearby and getting fracked, your well may be shut in for safety, so a month or two may have low royalties until it starts back up again.

Stone Creek has pending additional horizontal wells in section 23 just west of you, so you might want to see how those pan out before thinking of selling.

When did you last receive a check? What was the production month indicated on the check detail? Forms filed at the Oklahoma Corporation Commission show the well has sold oil as follows in 2019: Jan. - 2246 BO, Feb. - 1351 BO, Mar. - 1590 BO, Apr. - 2222 BO If you own 160 acres outside the NW/4 of Section 24 (the NW/4 is not included in the drilling unit) then your royalty should be much greater than $100. You probably need to contact SK Nemaha find out why you are not getting paid.

Thank you Ms Barnes for responding. We are just receiving checks on that one well. The Jodie well I mentioned above. We did finally get a check last week and it was substantially higher than the ones the past 3 months. It took 6 weeks to get this check, when Longfellow owned, they paid every 4 weeks, religiously.