Hey SBC,
You think you're a multi-tasker, huh? Well, I WROTE it while doing all
those things! lol
Glad you're are enjoying the board, Palermo!
Rufus



On Oct 3, 8:48 pm, "Rufus O'Malley" <[EMAIL PROTECTED]> wrote:
> Hi Palermo and welcome to the board.
> Congrats to you and your family on the well, btw. I understand exactly
> where you are at as my mother is in her mid-80's also.
> As David mentioned above, the timeline can vary abit.  If my
> understanding is correct after the well is producing for 5-6-7 months,
> then the NDIC commission will have the final pooling hearing - that
> is, a hearing to finalize exactly what area in the drilling unit
> comprises all of the royalty owners in the unit. Then the oil
> companies go through another round of title checking on those royalty
> owners and doublechecking the facts and figures of mineral ownership
> royalty percentages.  Once the oil company is satisfied (and this
> phase can also be delayed if there are questionable holdings, or if
> mineral owners are still be tracked down, or for any one of a dozen
> other reasons), then the Division Orders go out the each mineral owner
> or mineral trust trustee for signature.  No checks are cut until the
> mineral owner agrees that the division order is acceptable, signs it
> and returns it to the company.
> To my knowledge, you can put the minerals in a trust at any time, and
> then apprise the lease-holding company of the change in mineral status
> -- it is my understanding that it does not affect the lease... but DO
> check with your legal council, please.
> For addtl info, i suggest cruising backward through this blog's
> topics, (seriously)  stopping along the way to read threads that have
> tons of info in them ...
> another informative site iswww.americanroyaltycouncil.com (although
> it is targeted to OK and Tx -- still good info)  and also National
> Assoc of Royalty Owners website - that does require a
> subscription...
> If you post your well name or the section-township-range, some of the
> folks here 'hear things' or 'know things' or can 'look up things' in
> resources not on the web or by subcription to the trades ...  I don't
> personally subscribe to any at this time ...
> and Don't apologise for 'wordiness' --  I think I have the 'verbose
> turkey' award on my mantle!
> all the best,
> Rufus
>
> On Oct 3, 6:52 pm, David <[EMAIL PROTECTED]> wrote:
>
>
>
> > Generally figure 5-6 months between when the well first goes into
> > production and the first royalty payment. The first royalty payment
> > will be for the first 2-3 months of production.
>
> > Watch for the pooling interest hearing for your well on the dmr
> > dockets sitehttps://www.dmr.nd.gov/oilgas/docketindex.asp
>
> > The royalty payments generally show up in your mailbox 2-3 months
> > after the hearing date
>
> > On Oct 3, 4:07 pm, Palermo <[EMAIL PROTECTED]> wrote:
>
> > > Hi,
> > > First many thanks for you taking the time to discuss issues and
> > > sharing with the helping newbie's.
>
> > > Some background:
> > > Our family own a farm several miles south of Palermo (homesteaded by
> > > my grand father, purchased by my parents n the 40's) I take care of
> > > it for my lmother who is late 80's. We own all the minerals which are
> > > leased it. It was drilled in July, frac'd in Aug. and seems to be in
> > > final the completing stages. The tanks are in place, rod pump
> > > pumping, elec panel in place, flaring gas, trucks going in and out, I
> > > know many are hauling salt water along with the oil. I see that it
> > > comes off the confidential list the end of Dec.. I've been watch this
> > > area on the ND state subscription web site trying to learn all I can,
> > > and naturally excited for the region (I live out of state, but return
> > > as often as I can 2-3 times per year minimum) except for the roads (I
> > > feel the oil company's perhaps might help out a little with the
> > > damage, but that is just MHO) this area deserves this, and I trust it
> > > will help the area.
>
> > > My question is we've heard nothing, we do know there is oil, but it
> > > could be 100 Bbls/day to 500, just have no clue, we do not have any
> > > idea about the IP or a clue about the process going forward. I do
> > > read this blog daily, I assume at some point there will be a division
> > > order required singing.
>
> > > May I intrude upon you to explain the process going forward we might
> > > expect? As you might expect my mother is anxious about things. Most
> > > all her friends are also in her age group and they do not either
> > > understand or simply get things wrong. Her only scource is the
> > > "Promoter" ( I love the color in the last issue), and what ever I can
> > > find on the ND web site.
>
> > > From friends we were told after the Frac process there was a little
> > > sand issue, they think now has been fixed, other than that we know
> > > nothing and do nor know what to expect.
>
> > > Sorry for the wordy thread, but I know do details matter.
>
> > > Questions:
> > > When and what should happen going forward, naturally her interest at
> > > her age is the expected date for royalty payments to start as these
> > > would really help her life.
>
> > > If this ends up a meaningful producer at what point should the
> > > minerals be moved into a trust or an LLC? I know there will be a very
> > > complete title exam and was told not to do anything till at least an
> > > IP# was announced, better the first royalty payment.
>
> > > I know many of you good people have been through this process, if you
> > > could share some of the timeline, and what to expect I'd appreciate
> > > it.
>
> > > Again thanks for all your great group work.- Hide quoted text -
>
> > - Show quoted text -- Hide quoted text -
>
> - Show quoted text -
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