The total monthly production that is listed on SONRIS for the wells in my unit has been significantly higher than what is listed as being sold on the quarterly operating reports for each month. There are 2 to 3 wells on each location and they are reported in total on SONRIS. I receive a separate report for each well, but when I add the monthly production for each one together, the total of the reports is less than what is reported on SONRIS.
Does anyone have an explanation for this, or do you suggest I contact the operator for an explanation?
Definitely contact the operator.
If any oil is involved there will always be the inventory to factor into things, but after a few months of operations there should likely be some months when you are paid for more oil than the production.
I had the same question about a year ago, and I agree that you just can't expect your royalty or production to move in lockstep with SONRIS. I don't understand it, but I know that's how it is. The guys at Shaketrak.com are masters at getting to the bottom of these numbers, or at least explaining what's going on in plain English.
A lawyer may not be much help. Most of us chose to go to law school because we were bad at math! A lawyer would probably be best able to help you after you've established that there is some funny business going on.
SONRIS only gives production each month that is turned into them by the operating company. SONRIS does not verify, add or change these numbers. I asked SONRIS about the numbers and they gave me the information.
IMHO.... Start with the operator, and see if they can offer an explanation. Why jump in immediately with someone you have to pay? Your operator might be reasonable and help you out. (If not, let me know, and I'll vote my 100 shares of them against the board's recommendation in the next annual election. That'll make 'em take notice!.)
Henry, excellent point. A respectful request for information should always be the first step. My point was that even the best oil and gas attorneys might not be equipped to decipher production data and reconcile SONRIS data from quarterly reports, royalty statements, etc. That's not exactly practicing law as much as it forensic accounting.