Hello - Evidently we had a producing well drilled in some minerals that we own. It was completed in May but we still have not received any DO. How long does it usually take? Is there a statutory limit on how long it can take?
Thanks in advance for the information!
So thankful for your information! Chpk reported production Nov 30th 2011 and we have not received anything! We have called them and emailed them. Today they told my husband that we would get DO at the end of March or May? What happened to April?? How long after the DO will it take to receive a check? Not in a big hurry just want to know it is coming and how much a royalty check can run. We have no ideal.
And do you know how long wells usually produce? 5 years or more?
With CHK it is hard to say how long after you send back your DO you will get your first check. You might pose this question in the "Leased by CHK" group. If it is a good well, yes, it could produce for many years.
o and g companies are naturally going to hold and make money using your royalty so long as the can get away with it in keeping with the free market economy we have so we're all going to have to learn to be proactive and learn to game the system as much as they do.
the following is La. law, such as it is, which leaves companies in the drivers seat forcing lessee to hire a lawyer to send a "demand letter" giving them 30 days to produce some excuse for further delaying payment.
i can find no definition for "timely fashion". the companies hold the cards under La. law.
then they must decide whether the bad press and further legal expense costs more than they can make holding your gas money. it's nothing personal, just simple bean counting, PR and regulations.
we have been waiting about 6 months for a royalty payment and just sent a "demand letter".
texas law sets a certain limit in days for them to pay up.
but i wonder if our biggest issue may not be getting scammed on how much our land actually produces and what the actually sell the gas for.
Sonris lite and DO's produce figures but i see no way to confirm these numbers and suspect we are being taken for a big ride. someone in the industry knows but how we could ever find out is a mystery.
§137. Nonpayment of royalties; notice prerequisite to judicial demand
If a mineral lessor seeks relief for the failure of his lessee to make timely or proper payment of royalties, he must give his lessee written notice of such failure as a prerequisite to a judicial demand for damages or dissolution of the lease.
Acts 1974, No. 50, §137, eff. Jan. 1, 1975.