These folks took over many wells, in Bienville Parish, from E&P.

Starting in November 2013, myself and relatives began receiving Royalty checks, from WildHorse, instead of E&P.   

Problems from the start, with checks being 1/2-sized and it is not getting any better.

They do not respond to calls to their Owner Relations Hotline or Email.

What is next, Legal Action ?

- Susan L.

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Confirm why they are "1/2-sized" to ensure it is actually a mistake and not just different production levels.  If, after reviewing it, they are truly underpaying you, then cite the instances and reason by proper demand letter, send cert. and return receipt.  They should respond or correct underpayment - at that point it would be more appropriate to assess legal action or not.

If you need assistance, feel free to message me through this site.

Thanks for the advice, HBP.   It is hard to verify anything, based on what I received, but my relatives, from the same wells are helping me to guage the discrepancies.

I'll give your approach a try.

Best Wishes, Susan L.

More information would be helpful.  What well or wells are involved?

Hi Skip, well it is quite a few and I would prefer not to list them here.  I have a spreadsheet for them all, trying to compare what I last regularly received from E&P to what WildHorse has paid on.  I'll use that data to prove my point, hopefully.

Thanks, Susan L.

Susan L:

Not to be picky, but when you say "E&P", are you referring to El Paso (EP, and likely EP Energy)?  Probably just the landman in me, but "E&P" usually refers to "Exploration & Production", which could apply to many oil and gas companies (by name, or part of their name - e.g., SWEPI aka Shell onshore used to stand for "Shell Western Exploration & Production, Inc.").

Other than that, you're doing the smart thing - comparative checks with a known supportive party and comparing your decimal interests and check stubs against each other will help you build a case for them to review your interest.  Baseless allegations without supporting documentation generally gets you nowhere (typically, no better than a canned response to the effect of "send us supporting documentation").

Also, check production values via SONRIS on the wells in question and print these out to help vet production rates against your pay stubs before and after WildHorse took over.  Production rate X net value at each data point should be fairly proportionate (not every successor operator gets all the same treatment and marketing deals as their predecessor, hence "fairly proportionate") - if not, this is a red flag for you to dig further.

Hi Dion, Thanks very much for the advice!  That SONRIS info will come in handy!

Yes it was E&P (formerly El Paso), which they took to calling themselves in the last year.

Best Wishes, Susan L.

Out of 64 wells, 23 are being paid too low (my Royalty Interest Percent is now smaller than what E&P was giving me) and I'm totally Missing 7 wells (no pay and no mention of them).

They have a representative who claims that he is 'on top' of finding out what is wrong.

After 1 phone call, he no longer responds to my emails or phone messages.

I'm not the only Royalty Owner with this problem.

I think WildHorse has some big issues, with their Accounting.

Susan,

Its time for a letter from an attorney. That should get things moving and not cost much.

Susan, the first thing that comes to mind is unit size.  Wildhorse has applied to the state to dissolve some existing units and then to reform them at a larger size so that they can drill horizontal wells.  This has happened frequently over the last year.  A larger unit would decrease your decimal participation interest.   None of us can confirm that is the case without knowing specific wells or units.

Hi Skip,

Here are two examples, if you have any info on these.  Anything is appreciated!

---------------------------------------------
E&P Property # 10008366
Cummings #2 ALT; HOSS C SUO - Bienville
0.006855361 Disbursement Decimal

WH Property # 40170
CUMMINGS 2-ALT (HOSS C SUO)
0.00644017 Decimal Interest
---------------------------------------------
E&P Property # 4114
Poole A #1D (HOSS C RA SU) Bienville
0.0000665601 Disbursement Decimal

WH Property # 40431
POOLE A 1-D (BRC CV SU)
0.0000558 Decimal Interest
---------------------------------------------

Susan, I am at the lake where I hope to find some bass with my name on them.  If some other member doesn't figure  this out before I return I'll see what I can do.

Thanks, Skip!  Hope you catch a Bunch!!!

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