Replies to This Discussion

Permalink Reply by Cyhaynes on August 17, 2010 at 15:15

I can tell u this. Our well was hooked up to the pipeline the first of may, and we just got division orders this Monday, August 16th. This was after we finally contacted the company and sent a de mand letter via certified. We have never heard a word from anyone until the division order. We are in the dark for the most part and know we have a good company to deal with. I hope it isnt a year, but i can tell u it is out of your control for the most part. It is exciting to be a part of the shale drilling. We are so thankful to have a good well and will patiently wait for that first royalty check. I didnt know it took a year. Most people we talked to said from three to five months. Hope it is sooner for you.

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Permalink Reply by Diane Bolen on August 18, 2010 at 16:28

thanks for your information. I wonder if we should contact Chesapeake or will they finally send the D.O. without us calling?

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Permalink Reply by Cyhaynes on August 18, 2010 at 16:47

well...we just waited. It will not be quick I would imagine. We are dealing with petrohawk. I actually asked this question a few months back and got good advice. We waited three months and no word...nothing...not even a letter about the well. The way one of the landowners in our lease put it was...this is also our minerals and we deserve to be included in the plan. Anyway, my husband talked to some people more knowledable and they gave him the info for a Demand Letter. After so many months, the louisiana law requires certain actions by o and g co. We called main office in Oklahoma and they told us there was huge backlog..yada yada yada...we received division order more than three months after our well went online. we are still waiting... going on four months. U can try calling though...we just didnt till the three months...maybe someone more experienced will have insight.

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Permalink Reply by Diane Bolen on August 18, 2010 at 17:26

Thanks so much for your replies. It makes me relax a little. I think I will call Chesapeake when I get back in town next week. I can't imagine what it's like at those companies, can you? I mean, there must be hundreds of people working on just the division orders, leasing, royalty checks and all of that. They really have to be organized.

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Permalink Reply by Skip Peel - Mineral Consultant on August 18, 2010 at 17:30

It is advisable to keep in mind that there are tens of thousands of mineral owners waiting for division orders owing to the huge number of wells drilled in late 2009 and continuing through out 2010. Much of the title work is complicated and time consuming. And there are not enough experienced, qualified title landmen and attorneys to avoid delays. People are impatient by nature but when money is involved patience can wear thin. Three months is nothing to wait. I'm surprised, though pleasantly so, when any of my clients get royalty income within three months. Some have waited five. But when I look at the number of mineral tracts and the type of ownership interests in those specific sections, I understand why it can take that long. Many mineral owners have unrealistic expectations and then imagine that something unethical is occurring. I don't see it.

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Permalink Reply by Cyhaynes on August 19, 2010 at 0:55

I have wondered if everyone under the lease has to have their division orders signed before all get paid? I totally understand the backlog and know there are tons of people out there workingeprocess. we love this website because it does assist people like myself to communicate frustrations. Petrohawk people have been for the most part nice and informative when u get a human! We are just excited to be a part of the process. Thanks for all the replies. I think the oil and gas companies need to be seriously hiring people that are great with public relations. This would take the monkey off thier back.

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Permalink Reply by keb on August 20, 2010 at 12:54

cyhaynes, did you sign a lease or went unleased (umo)? where is your well, section?

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Permalink Reply by Cyhaynes on August 20, 2010 at 14:59

28-17-10

Yes we leased (before we knew about the Haynesville Shale)...a month before be heard of it. Very happy to have the well and hoping they might put more. Petrohawk is a good company and we feel very fortunate to have them.

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Permalink Reply by Diane Bolen on August 20, 2010 at 15:07

Did anyone ever reply about whether everyone had to have their division orders signed and back in before they send out royalty checks? I would like to know if you hear the answer to this. Based on the timing you told me about...3 months after hooking up to the pipeline then you getting your division order...our well just was connected on the 17th so hopefully we would be getting our division order about the middle of November.

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Permalink Reply by Cyhaynes on August 20, 2010 at 15:55

we did get our division orders the first of this week and first royalty check came today...we did send the demand letter. I think that was effective, but who knows. Yes, u should hear something by November, but if u dont, probably time for action. Hope u get a Christmas check!

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Permalink Reply by Diane Bolen on August 20, 2010 at 16:53

Me too. Don't you have to sign the division order and send it back before you get your royalty check?

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Permalink Reply by Cyhaynes on August 21, 2010 at 2:27

we signed ours on Monday or Tuesday and received payment yesterday. soooo...it looks like check was in the mail already. that is just us. it may be different for you. diane...my email is crhdoh@msn.com.

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