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RED FEATHER LAND & MINERALS

Guide · the owner's primer

Reading your check stub

Decimal, deductions, and the interest the operator owes when it pays late.

A royalty check stub is a small spreadsheet. Once you can read it, you can tell whether you are being paid correctly — and the plat tells you whether you are being paid at all.

The columns

ColumnWhat it isCheck it against
Property / leaseThe lease or unit the well belongs toThe lease number on the plat's well card
Production monthThe month the oil or gas was soldThe plat's monthly bars
ProductOil, gas, condensate, NGLsA gas well should show gas and condensate; an oil well oil and casinghead gas
Volume and priceGross barrels or mcf, and the price per unitVolume against the Commission's reported production
Your decimalYour shareYour division order, and the arithmetic in our division-order guide
DeductionsGathering, compression, treating, transportation, taxesYour lease: a cost-free royalty clause forbids most of them

Three things that go wrong

Operators that pay late without a lawful reason owe interest under Chapter 91 of the Natural Resources Code. It is rarely paid unless asked for.

Send a photo of a stub on the royalty check page and we will read it with you.

Bring it to a landman

Send a photo of the document this guide is about and we will read it with you — free, within two business days.

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