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Permalink Reply by Linda Whatley on February 8, 2011 at 5:26

Layla,

 

I have been wondering the same thing.  Thanks for starting this discussion.  Anybody out there have an answer??

 

Linda

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Oil & Gas ProPermalink Reply by The_Baron on February 8, 2011 at 6:28

Probably Different reporting standards

In LA for production reports filed at conservation:

Natural Gas and Casinghead Gas volumes in MCF at 15.025 pounds absolute pressure and 60 degrees Fahrenheit.

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Oil & Gas ProPermalink Reply by The_Baron on February 8, 2011 at 6:31

There is also the Gas Balancing reports... I really don't know enough about this, but on June 30 each year, the over/under amount must be reported.

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Permalink Reply by layla on February 10, 2011 at 4:54

Thank you for the answer, but I think it went above my pay grade.  Is what you are saying that the 143092 MCF reported on SONRIS is based on the pressure and temperature you stated, so that if I remember my high school physics, if the o&g company for some reason were measuring the production at say 50 degrees and a bit more pressure, they would get a number that showed lesser production?  Just out of curiousity, why would they do that?  I am guessing that the temp/pressure you gave is an industry standard of some type.   Is there any way to independently verify any information they provide short of an army of forensic accountants, attorneys, etc.?  There was an item on this site a while back about someone bringing suit against Chesapeake (not the company that I receive these royalties from) I believe in the Barnett. for paying royalties on a different (lesser) amount of production than what was reported to the State of Texas (I guess RR Commission?).  I am also thinking from your answer that there is some sort of cumulative report that the o&g company provides to DNR which would correct the overage/underage reported over a period of time?  Is the o&g company then obligated to issue some sort of retroactive royalty payment if at the end of the period they have really been selling 10,000 MCF more gas per month than the royalty was initially paid on?   Obviously I don't know much about all this and would appreciate any information/clarification you would be willing to take the time to share.  Thanks for your help 

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Oil & Gas ProPermalink Reply by The_Baron on February 10, 2011 at 5:16

It is not uncommon to see adjustements on your royalty checks for previous periods. I would watch this over time and see what happens.

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landownerPermalink Reply by FXEF on February 10, 2011 at 5:43

layla,

Generally speaking the the gross on your check stub should match what is posted on SONRIS. So far mine have matched. I would say a lot has to do with how and where the operator sales the gas. If the gas is piped a long distance to point of sale, there will be "gas shrinkage" due to the compressor station using some of the gas to run the compressors, therefore at the point of sale there will be a lower gas volume. 

 

I would call the operator and have them explain why there are differences.

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landownerPermalink Reply by Mac Davis on February 18, 2011 at 10:13

Strangely enough, my operator is reporting a few percent more than what SONRIS is showing for my well. 

 

And BTU/MCF doesn't explain it.

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