Royalty Owner Relations

What are royalties?

Royalties are the mineral owner’s proportionate share of production as reserved in an oil and gas lease.

A Division Order is a document Valence issues that describes the property, the operator, the legal description, the Owner’s remittance address and tax ID information, if known, as well as the Owner’s decimal interest in the property. The Owner is asked to sign and return the original Division Order to Valence and the copy should be retained by the Owner for their records. Valence uses this information to remit proceeds to the owners in the well.

What is the difference between a royalty owner and a working interest owner?

A royalty owner shares in production revenues, while a working interest owner shares in both production revenues and development and operating expenses.

How do I get a copy of my check detail or joint interest billing statement?

You may contact Owner Relations and request this information by sending an email to the Owner Relations Department (Contact Us)

Where can I research unclaimed funds?

Unclaimed funds are “escheated” to the state of the owner’s last known
place of residence. Each state makes an effort to locate rightful owners of production revenues through a single Organization, holding the funds until the owner is found. To locate and collect unclaimed funds, visit the National Association of Unclaimed Property Administrators’ (NAUPA) Web site at http://www.unclaimed.org/.

When are the Form 1099 Miscellaneous Income statements mailed?

Federal law requires that these be mailed by January 31st of each year. Royalty interest owners receiving more than $10, and working interest owners receiving more than $600 annually, will be issued an IRS Form 1099, which summarizes your total payments and tax withholdings for the previous year. A copy of these statements may be obtained by contacting the Owner Relations Department. (Contact Us)

I am wanting to sell my royalty interest. Would Valence be interested in purchasing the interest? What do I need to do?

Submit a letter to the Division Order Department expressing your desire to sell the royalty interest and it will be forwarded to management for review. (Contact Us)