Number of wells per production unit.

Question. Does the amount of wells producing on a 640 acre production unit increase the amount of royalties paid out to a person who's land is in that particular unit? Scenario: I have 20 acres in a unit of 640 acres containing 20 wells on the whole unit. The wells are each producing at or above 5mill mcfs a day. Will I be paid a royalty from each producing well?

Views: 31

▶ Reply to This

Replies to This Discussion

Permalink Reply by The_Baron on August 20, 2008 at 4:45
Every leased landowner in a unit will receive royalties on their pro-rata share of all the production in a unit. (20 acres in a 640 acre unit = 0.03125%). Your royalties will be the percent of the unit you are by the royalty you negotiated on your lease.
Permalink Reply by Margaret Wren on August 20, 2008 at 4:53
I have royalties in Bossier parish (LCV) sec36 t17n 11w there are 15 producing wells, I get royalties from all of them! It looks like a 16th is going to be drilled, as they have cleared and prepared another site. We will see....

RSS

Support GoHaynesvilleShale.com

Top Content 

1 "Rebalancing Volumes"

"Rebalancing Volumes"
2 BPX hits it out of the park with 3 Bossier Parish CULs

BPX hits it out of the park with 3 Bossier Parish CULs
3 Lithium Brine Lease letter from Red Oak East, LLC - Location Cass County, TX, near Naples, TX

Lithium Brine Lease letter from Red Oak East, LLC - Location Cass County, TX, near Naples, TX
4 Texas Smackover Lithium Play

Texas Smackover Lithium Play
5 Why powering data centers with gas fired electricity comes with problems

Why powering data centers with gas fired electricity comes with problems
6 Tariffs, Financial Uncertainty Complicate Data Center Development

Tariffs, Financial Uncertainty Complicate Data Center Development
7 Bienville Parish lease offer

Bienville Parish lease offer

Blog Posts

Tuscaloosa Trend Sits On Top Of Poorest Neighbourhood For Decades - Yet No Royalties Ever Paid To The Community -- Why??

In researching the decades-old Tuscaloosa Trend and the immense wealth it has generated for many, I find it deeply troubling that this resource-rich formation runs directly beneath one of the poorest communities in North Baton Rouge—near Southern University, Louisiana—yet neither the university ( that I am aware of)  nor local residents appear to have received any compensation for the minerals extracted from their land.

This area has suffered immense environmental degradation…

Continue

Posted by Char on May 29, 2025 at 14:42

Not a member? Get our email.

Groups



© 2025   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service