Replies to This Discussion

Permalink Reply by M. Mcwilliams on August 27, 2008 at 10:03

I take it that you are the lessor, and are still receiving royalties from the mineral rights off the land you sold? If so, my take on it is that you're in good shape, and the main thing you should do is to notify J-W of your lease, if they were not the original lessee. The only other thing I can think of is that you will want to keep a check on the state Dept. of Conservation (Sonris) website to follow the progress.

Would you care to share how many acres and how much royalty you've collected? I assume this has been production from the Cotton Valley sands, and if so, I'm curious because the companies are still drilling Cotton Valley wells - some of us are interested in what could be expected.

Permalink Reply by Chris on September 18, 2008 at 2:38

Sorry for the delayed response, but I live in New Orleans now and have been dealing with Gustav and Ike issues. I have approximately 26 acres and the gas royalties are typical above $200 a month. I just received a notice that JW is proposing new wells in the area I am in that will involve Hyanesville Zone. I assume this would mean an increase in royalties if they hit the shale as everyone expects?

Permalink Reply by Kassi on August 27, 2008 at 11:10

If you retained the minerals and there is production in the unit you will be fine. As long as there is production you will maintain the mineral rights. There must be no production, reworking or other activity for 10 consecutive years for the rights to revert from you to the surface owner.