Working Interest

Royalty Clearinghouse is also a large purchaser of working interests. In order to perform an engineering evaluation of your working interests we will need to review the 12 most recent expense statements and the three most recent revenue statements.

 

Sale of a working interest eliminates:

 

Liability

Releases the working interest partner of liability on the lease from the sale date forward.

Uncertainty and risk

You are at high risk of a drop in production or decline to the point where a well or wells are uneconomic to operate. Working interest partners are responsible for the cost to plug a well.

Expenses

Working interest partners are responsible for the expense associated with operating a well. Depending on the operator this expense can actually cause a lease to operate at a net loss.