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landownerPermalink Reply by Steve P on September 29, 2021 at 9:03

I have two leases - one is 50 years old that was HBP; the second, a 2009 lease with a "no fees" addendum to my lease.

My most recent check stub has deductions for the following.  I have production from 2 wells, covered by the same lease.

well #1

fuel gathering(compression)               there is a small amount listed (less than a $, but my total royalty for this property was less than $150

fuel mainline                                        same as above

Gathering                                            a larger deduction, still less than $10

Marketing                                            there is a listing of several hundreds of $ under the "value" column, but not deduction for me

Transportation                                     about the same as the first two above

well # 2 - a 2009 lease that has a "no fees" addendum

only deduction is for severance tax

For well #1, my royalties are clearly separated into two different royalty amounts - reflected the 1/8th lease from the 1/4th lease, but there are deductions from both.  I think this must be incorrect.  I will have to go into my files and pull out some older royalty checks from CHK to see if I've been missing this. 

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Oil & Gas ProPermalink Reply by Skip Peel - Mineral Consultant on September 29, 2021 at 9:13

Thanks, Steve.  I look forward to hearing what you find.  I'm curious if the Marketing fee is a "value" that ever turns into a deduction across a number of consecutive monthly statements.  I'm trying to figure out if CHK still sells your gas to CEMI and deducts a marketing charge on your older HBP lease.

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