What Happens When You Retain Min Rts And Lease Already In Place

I had some acres of property near Frierson which I sold some years back, but retained the mineral rights. The property is subject to a lease and I believe had been unitized. JW Operating is working the unit and I have been receiving royalty payments for mainly gas production. Is there anything someone in this situation should be doing - do I just sit and wait to see what JW Operating does?

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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.
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?
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.

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