Has anyone had this problem? We have a no load lease with chk.We had a gas/oil attorney do our leases. They can't show any amount in the deduct column so they told us they adjust the price of the gas. We talked to the landowners in our sections and it seems everyone's price of gas is different . This happened when the French bought part of the Barnett and starting charging chk 25% ..so chk starting charging the Haynesville royalty holders 25% as well. Why charge Haynesville Shale royalty owners this 25%??? Just another way for chk to stick it to us legally???
There are multiple posts on this forum about CHK's low prices and deducts in the face of cost-free royalty clauses. Katy McMullin is a CHK representative on this forum that in the past I think has tried to help people in your situation get it worked out. You might contact her by searching for her on this forum and sending her a friend request. If that doesn't work, you probably need to contact your attorney to look at the matter.
I have the same type lease. Also, CHK sold 20% of my lease to PXP after I had signed. 20% = 1/5, right? Not when it comes to net that you will be paid. Only when you are talking about the volume. CHK always pays AT LEAST 20% less on the price of the gas per mcf than PXP. Example: same well, same production month - PXP - $2.85, CHK - $2.247. That is 21.16% less. My understanding is that they sell to their own affiliates and that has something to do with them paying so much less than other gas companies. Who knows. I get paid in another section for another well by EnCana and SWEPI (Shell) and CHK pays less than them as well. FYI, also track your volume against the SONRIS site.
Hi! There are a multitude of factors that go into determining the price indicated on a royalty payment If you have questions regarding your specific payment, I would be more than happy to help put you in contact with someone who can explain everything. Thanks! Katie
P.S. thanks for the shout out, Ben!
They are just thieves in my book. I have figured out that in the Barnett shale leases CHK sells the gas to one of their subsidaries at an extremely low price and then the subsidary charges extremly high fees for deducts. This way the royalty owner gets screwed and CHK profit is way up. My last check CHK paid from $0.14 to about $0.24 per MCF. I have interested with all of the producers here and DEVON, EOG, and XTO all paid $1.00 or more after deducts. Even the smallest companies that pay the highest fees paid close to a dollar. Must be something different between the Barnett and Haynesville because my interest there was paid at $1.51.
Chk was sued for this very thing out east and lost. I am speaking with an attorney and would like others to join in. I would advise new comers not to deal with CHK if possible.
Cheasapeke: after one year exemption from state of Louisiana . holds out a tx(servance tax or another name, whichever, it is a tax , listed on check stub
Unless you a lease with prices at the well head, they are , from day one, withholding Hidden expenses out of the check. They do not want to share the info. after about three or four months of trying one of the employees sent me a copy. I ask for two more months, they said ok. Never got any. called on phone and asked for copies.
my reply from emploee: We do not have to send you copies and we are not going to send any. Rudely.
Cheasapeake prices are always below other companies in the area. July 2 2012 receaved my gas check: $1.08 to 1.15. one well hasn't paid anything in two months and they are making a small amount of gas. Their finances are not good. better hope they sell out. They have moved, along with most others out North louisiana and East Texas. If they can get the go ahead from our stupid government, they will be shipping n. gas over seas...