We have been getting royalty payments $15,000-20,000/month on a monthly basis from TG Natural Gas resources for over two years.  We received the last check in November...none in December which is highly unusual.  We finally heard back from Owner Relations at the company today.  

They said they would not be sending us anymore payments as we had been overpaid for a "long time".  They said that they would start paying us again when we had paid back what we had been overpaid.  When we asked how much we had overpaid they said " a lot."  

Is this OK for companies to do?  We have not received any documentation from the company saying we were overpaid so they were not going to be making payments from now on.  

Any advice is appreciated.

Ellen

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Skip, do you think this is an appropriate notice to send to TGNR owner relations?

I have not received a revenue statement since check number 441708 dated November 2, 2022.  Someone in owner relations told me that the reason I have not received a royalty check and revenue statement since that November date is because “I have been overpaid for a long time” and will not receive any more royalty payments nor statements until the overpayment has been paid back.  When I asked how much I had been overpaid the response was “a lot.”

 I am formally requesting the reason I overpaid and an updated revenue statement with the status of my account as of January 19, 2023. 

 Please respond to the letter within 30 days of receipt pursuant to Section 91.505 of the  Texas Natural Resources Code.

Again, thank you for your help and sharing of knowledge on this matter.

That's fine.  Send it certified if mailing.  I like email as it requires the name of the appropriate staffer/account manager and creates a record of correspondence.  I'm also encouraging mineral owners to try the "Contact My Operator" option on EnergyLink.com to see if that might be a better means for communicating with the operators that use the website.

Trying not to be too funny, but it was akin to pulling teeth from an unsedated Alligator!

Actions were as follows...

1st - Payments just stopped (3 months)

2nd - Devon sent a letter stating we had been getting overpaid  (month #4)

3rd - Silence of the Lambs (3 more months)

4th - Devon sent a letter stating payments would resume soon  (month #8)

5th - Requested additional detail in more aggressive manner (month #9)

6th - Devon sent a detailed letter of overpayments, including that I was receiving Royalties on a Well that I did not hold Interest in (month #10)

7th - Payments resumed (month #28 on 1 Well)

Took some time to resolve, but all good now... and now we have EnergyLink to review most Producers 

Thanks.  It shouldn't take pulling teeth but such is the way the O&G industry operates.

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