My family has royalty interests in Northern Louisiana. Members of our family highly value this income as a supplement to a fixed income arrangement. I would like to help them by digging into (and understanding) the details of the operation, to be able to answer these questions for them.
- How are our wells doing and why?
- What can explain significant increases/decreases in monthly royalty checks (separate from depletion)?
- How is the performance of our wells tracking against the depletion curves of representative wells in the area?
- What part of the depletion curve are we in, and how long will this supplemental income last?
- What new wells are going in our property and what is the timetable of them contributing to our checks?
- What, if any, activity is going on to re-work or re-frack our existing wells and get more gas out?
Finally, what information should be tracked and understood for the purposes of tracking the financial performance of each of the wells (or group of wells) on our property? Is there software I can use to create some useful graphs and information sets to help them understand?
Thank you so much for your help and sharing your experience and knowledge with us!