Quick answer
Main statute: Wyoming Royalty Payment Act, Wyo. Stat. §§ 30-5-301 to 30-5-305.
| Topic | What the statute says | Citation |
|---|---|---|
| First payment deadline | Six months after the first day of the month following first sale | Wyo. Stat. § 30-5-301(a); Wyo. Stat. § 30-5-301(a), (c) |
| Later payments | 60 days after the end of the month of sale | Wyo. Stat. § 30-5-301(a) |
| Minimum payment and aggregation | Annual when $100 or less is owed; on request within 60 days once $25 accrues | Wyo. Stat. § 30-5-301(b)(i); Wyo. Stat. § 30-5-301(b)(ii); Wyo. Stat. § 30-5-301(b)(iii); Wyo. Stat. § 30-5-301(b)(iv) |
| Interest on late payments | 18% per annum on the unpaid principal balance | Wyo. Stat. § 30-5-303(a) |
| Suspense and withheld payments | Escrow in a Wyoming insured institution, earning interest | Wyo. Stat. § 30-5-302 |
| Division orders | Cannot alter or amend the lease; the lease controls | Wyo. Stat. § 30-5-305(a); Wyo. Stat. § 30-5-304(a)(vii) |
| Owner remedies, notice and attorney fees | District court where the well is; prevailing party recovers attorney's fees | Wyo. Stat. § 30-5-303(b); Wyo. Stat. § 30-5-303(c) |
| Check-stub disclosures | Statutory list of items on the stub; penalty for omissions | Wyo. Stat. § 30-5-305(b); Wyo. Stat. § 30-5-305(b)(iii)-(iv); Wyo. Stat. § 30-5-305(b)(v)-(vi); Wyo. Stat. § 30-5-305(b)(viii)-(x); Wyo. Stat. § 30-5-305(b)(xi) |
| Unclaimed royalties (escheat) | Abandoned after three years unclaimed | Wyo. Stat. § 34-24-117(a); Wyo. Stat. § 34-24-117(b); Wyo. Stat. § 30-5-302; Wyo. Stat. § 34-24-117(d); Wyo. Stat. § 34-24-102(a)(i) |
Proceeds must be paid starting no later than six months after the first day of the month following the date of first sale, unless a valid contract with the owner provides other periods or arrangements. Payment is made directly by the lessee or operator, or by a party that assumes the payment obligation.
Proceeds must be paid to all persons legally entitled, commencing not later than six months after the first day of the month following the date of first sale. (Wyo. Stat. § 30-5-301(a))
Statute text “shall be paid to all persons legally entitled thereto, except as hereinafter provided, commencing not later than six (6) months after the first day of the month following the date of first sale”
These deadlines apply unless a valid contract with the person entitled provides other periods or arrangements. (Wyo. Stat. § 30-5-301(a))
Statute text “unless other periods or arrangements for the first and subsequent payments are provided for in a valid contract with the person or persons entitled to such proceeds”
Payment must be made directly by the lessee or operator or by any party that assumes the payment obligation; where the operator and purchaser arrange for the purchaser to pay, the operator is exempt from §§ 30-5-301 to 30-5-303 and the purchaser assumes those responsibilities. (Wyo. Stat. § 30-5-301(a), (c))
Statute text “Payment shall be made directly to the person or persons entitled thereto by the lessee or operator or by any party who assumes such payment obligation under any legal arrangement. … (c) The lessee or operator is exempt from the provisions of W.S. 30-5-301 through 30-5-303, and the purchaser shall assume the operator's responsibilities for making such payments if the operator and purchaser have entered into arrangements whereby the proceeds are paid by the purchaser to those legally entitled thereto.”
After the first payment, proceeds are due no later than 60 days after the end of the calendar month in which the production is sold, unless a valid contract provides otherwise.
Subsequent payments are due not later than 60 days after the end of the calendar month in which the production is sold. (Wyo. Stat. § 30-5-301(a))
Statute text “thereafter not later than sixty (60) days after the end of the calendar month within which subsequent production is sold”
If the total owed is $100 or less, payments are remitted annually for up to 12 months of accumulated proceeds. On the payee's written request, payment must be made within 60 days if $25 or more has accumulated. Payments may not be made later than 12 months after production ceases, or 12 months after the payor stops being responsible.
Payments are remitted annually for up to 12 months' accumulation if the total owed is $100 or less. (Wyo. Stat. § 30-5-301(b)(i))
Statute text “Payments shall be remitted to the person or persons entitled to proceeds from production annually for the aggregate of up to twelve (12) months accumulation of proceeds if the total amount owed is one hundred dollars ($100.00) or less”
On the payee's written request, payment must be made within 60 days if the accumulated proceeds are $25 or more. (Wyo. Stat. § 30-5-301(b)(ii))
Statute text “upon written request of the payee, payments shall be remitted to the payee within sixty (60) days following receipt of the request if the aggregation of the proceeds is twenty-five dollars ($25.00) or greater”
In no case may payments be made later than 12 months after production ceases. (Wyo. Stat. § 30-5-301(b)(iii))
Statute text “In no case shall payments be made under this section later than twelve (12) months following the date of cessation of production”
Payments must be remitted within 12 months after the payor is no longer responsible for them. (Wyo. Stat. § 30-5-301(b)(iv))
Statute text “Payments shall be remitted to entitled persons within twelve (12) months following the date the payor is no longer responsible for the payments.”
A payor who violates the article is liable for the unpaid proceeds plus interest at 18% per annum on the unpaid principal balance from the due date in W.S. 30-5-301(a). The statute does not say whether the interest is simple or compound.
A violating payor is liable for the unpaid proceeds plus 18% per annum interest on the unpaid principal balance from the statutory due date. (Wyo. Stat. § 30-5-303(a))
Statute text “is liable to the person or persons legally entitled to proceeds from production for the unpaid amount of such proceeds, plus interest at the rate of eighteen percent (18%) per annum on the unpaid principal balance from the due date specified in W.S. 30-5-301(a)”
A delay in determining one person's entitlement does not affect payments to others. When payment cannot be made within the statutory time for any reason, the payor must deposit the proceeds in an escrow account at a federally insured bank or savings and loan in Wyoming, earning interest at the institution's highest rate for such deposits. The escrow agent pays principal and accrued interest within 30 days after receiving a final legal determination of entitlement, less escrow fees. If the escrow agent cannot deliver within three years, the funds become unclaimed property.
A delay in determining who is entitled to an interest does not affect payments to all other persons entitled to payment. (Wyo. Stat. § 30-5-302)
Statute text “Any delay in determining any person legally entitled to an interest in the proceeds from production shall not affect payments to all other persons entitled to payment.”
When payment cannot be made within the statutory time for any reason, the payor must deposit the proceeds in an escrow account at a federally insured Wyoming bank or savings and loan, using an attorney-general-approved form. (Wyo. Stat. § 30-5-302)
Statute text “shall deposit all proceeds credited to the eventual interest owner to an escrow account in a federally insured bank or savings and loan institution in Wyoming, using a standard escrow document form approved by the attorney general of Wyoming”
The escrow deposit earns interest at the highest rate the institution offers for that amount and term. (Wyo. Stat. § 30-5-302)
Statute text “which deposit shall earn interest at the highest rate being offered by that institution for the amount and term of such deposits”
The escrow agent pays principal and accrued interest within 30 days after receiving a final legal determination of entitlement. (Wyo. Stat. § 30-5-302)
Statute text “Payment of principal and accrued interest from such accounts shall be paid by the escrow agent to all persons legally entitled thereto within thirty (30) days from the date of receipt by the escrow agent of final legal determination of entitlement thereto.”
Applicable escrow fees are deducted from the payments. (Wyo. Stat. § 30-5-302)
Statute text “Applicable escrow fees shall be deducted from the payments.”
A division order may not alter or amend an oil or gas lease or other contract; to the extent it does, it is invalid and the lease or contract controls. Unless an executed written agreement expressly provides otherwise, 'royalty' and related terms carry the statutory definitions, under which royalty is free of the costs of production.
A division order may not alter or amend a lease or other contract; to the extent it does, it is invalid and the lease or contract takes precedence. (Wyo. Stat. § 30-5-305(a))
Statute text “A division order may not alter or amend the terms of an oil or gas lease or other contractual agreement. A division order that alters or amends the terms of an oil and gas lease or other contractual agreement is invalid to the extent of the alteration or amendment and the terms of the oil and gas lease or other contractual agreement shall take precedence.”
Unless an executed written agreement expressly provides otherwise, 'royalty' and related terms are interpreted as defined in W.S. 30-5-304. (Wyo. Stat. § 30-5-305(a))
Statute text “Unless otherwise expressly provided for by specific language in an executed written agreement, "royalty", "overriding royalty", "other nonworking interests" and "working interests" shall be interpreted as defined in W.S. 30-5-304.”
'Royalty' is defined as the mineral owner's share of production, free of the costs of production. (Wyo. Stat. § 30-5-304(a)(vii))
Statute text “"Royalty" means the mineral owner's share of production, free of the costs of production”
The district court of the county where the well is located has jurisdiction, and the prevailing party recovers all court costs and reasonable attorney's fees. A violating payor owes the unpaid proceeds plus 18% interest. A person who fails to provide the required check-stub information owes the affected royalty, overriding royalty or other nonworking interest owner $100 per month that complete reporting is not provided. The article sets no pre-suit notice or cure period.
The district court of the county where the well is located has jurisdiction, and the prevailing party recovers all court costs and reasonable attorney's fees. (Wyo. Stat. § 30-5-303(b))
Statute text “the prevailing party in any proceedings brought pursuant to this article shall be entitled to recover all court costs and reasonable attorney's fees”
A person who fails to provide the required royalty information is liable to the affected owner for $100 per month that complete reporting is not provided. (Wyo. Stat. § 30-5-303(c))
Statute text “Any person who fails to provide royalty information as provided in W.S. 30-5-305(b) is liable to the affected royalty, overriding royalty or other nonworking interest owner in the amount of one hundred dollars ($100.00) per month that complete reporting is not provided to the interest owner.”
Each payment must include, labeled on the check stub or an attachment (unless provided regularly each month): lease/property/well name or number; month and year of sales; total barrels or Mcf sold; price per barrel or Mcf; total severance, ad valorem and other production taxes; an itemized list of other deductions or adjustments; net value of total sales after deductions; the owner's decimal interest; the owner's share before and after deductions; and an address for questions, with certified-mail requests answered by certified mail within 30 days.
The required information must be included and labeled on the check stub or an attachment, unless provided on a regular monthly basis. (Wyo. Stat. § 30-5-305(b))
Statute text “Whenever payment is made for oil or gas production to an interest owner, all of the following information shall be included and labeled on the check stub or on an attachment to the form of payment, unless the information is otherwise provided on a regular monthly basis”
The statement must show the total barrels of oil or Mcf of gas sold and the price per barrel or Mcf. (Wyo. Stat. § 30-5-305(b)(iii)-(iv))
Statute text “The total number of barrels of oil or thousands of cubic feet of gas sold; (iv) The price per barrel of oil or the price per thousand cubic feet of gas”
The statement must show total severance, ad valorem and other production taxes, and an itemized list of other deductions or adjustments. (Wyo. Stat. § 30-5-305(b)(v)-(vi))
Statute text “The total amount of state severance, ad valorem and other production taxes; (vi) An itemized list of any other deductions or adjustments”
The statement must show the owner's decimal interest and the owner's share of sales before and after deductions. (Wyo. Stat. § 30-5-305(b)(viii)-(x))
Statute text “The owner's interest in sales from the lease, property, or well expressed as a decimal; (ix) The owner's share of the total value of sales prior to any deductions; (x) The owner's share of the sales value less deductions”
The statement must give an address for questions; certified-mail requests must be answered by certified mail within 30 days. (Wyo. Stat. § 30-5-305(b)(xi))
Statute text “If information is requested by certified mail, an answer must be mailed by certified mail within thirty (30) days of receipt of the request.”
Mineral proceeds unclaimed for more than three years after becoming payable or distributable, together with the owner's underlying right to receive them, are deemed abandoned; later-accruing proceeds are also deemed abandoned. Separately, escrowed proceeds the escrow agent cannot deliver within three years after first receiving notice of the entitled person are treated as unclaimed. Holders may charge dormancy fees only under strict conditions, capped at $12 per year for two years. The administrator is the Wyoming State Treasurer.
Mineral proceeds unclaimed for more than three years after becoming payable or distributable, and the underlying right to receive them, are deemed abandoned. (Wyo. Stat. § 34-24-117(a))
Statute text “Any sum payable as mineral proceeds that has remained unclaimed by the owner for more than three (3) years after it became payable or distributable and the owner's underlying right to receive those mineral proceeds are deemed abandoned.”
Once the underlying right is deemed abandoned, proceeds then owing and later-accruing proceeds are also deemed abandoned. (Wyo. Stat. § 34-24-117(b))
Statute text “At the time an owner's underlying right to receive mineral proceeds is deemed abandoned, any mineral proceeds then owing to the owner and any proceeds accruing after that time are deemed abandoned.”
Escrowed proceeds that cannot be delivered within three years from the end of the month the escrow agent first received notice of the entitled person are considered unclaimed property. (Wyo. Stat. § 30-5-302)
Statute text “If the escrow agent is unable to deliver the payment to the legally entitled person within three (3) years from the end of the month in which the escrow agent first received notice of the person legally entitled to the payment, the payment shall be considered unclaimed for purposes of W.S. 34-24-101 through 34-24-139.”
Cumulative dormancy charges on mineral proceeds may not exceed $12 per year and may be charged for at most two calendar years. (Wyo. Stat. § 34-24-117(d))
Statute text “the cumulative amount of charges may not exceed twelve dollars ($12.00) per year, and may only be charged for a maximum of two (2) calendar years”
The administrator of the Unclaimed Property Act is the state treasurer. (Wyo. Stat. § 34-24-102(a)(i))
Statute text “As used in this act: (i) "Administrator" means the state treasurer;”
Official unclaimed property search: Wyoming State Treasurer's Office, Unclaimed Property.
Proceeds must be paid starting no later than six months after the first day of the month following the date of first sale, unless a valid contract with the owner provides other periods or arrangements. Payment is made directly by the lessee or operator, or by a party that assumes the payment obligation. (Wyo. Stat. § 30-5-301(a); Wyo. Stat. § 30-5-301(a), (c))
After the first payment, proceeds are due no later than 60 days after the end of the calendar month in which the production is sold, unless a valid contract provides otherwise. (Wyo. Stat. § 30-5-301(a))
If the total owed is $100 or less, payments are remitted annually for up to 12 months of accumulated proceeds. On the payee's written request, payment must be made within 60 days if $25 or more has accumulated. Payments may not be made later than 12 months after production ceases, or 12 months after the payor stops being responsible. (Wyo. Stat. § 30-5-301(b)(i); Wyo. Stat. § 30-5-301(b)(ii); Wyo. Stat. § 30-5-301(b)(iii); Wyo. Stat. § 30-5-301(b)(iv))
A payor who violates the article is liable for the unpaid proceeds plus interest at 18% per annum on the unpaid principal balance from the due date in W.S. 30-5-301(a). The statute does not say whether the interest is simple or compound. (Wyo. Stat. § 30-5-303(a))
A delay in determining one person's entitlement does not affect payments to others. When payment cannot be made within the statutory time for any reason, the payor must deposit the proceeds in an escrow account at a federally insured bank or savings and loan in Wyoming, earning interest at the institution's highest rate for such deposits. The escrow agent pays principal and accrued interest within 30 days after receiving a final legal determination of entitlement, less escrow fees. If the escrow agent cannot deliver within three years, the funds become unclaimed property. (Wyo. Stat. § 30-5-302)
A division order may not alter or amend an oil or gas lease or other contract; to the extent it does, it is invalid and the lease or contract controls. Unless an executed written agreement expressly provides otherwise, 'royalty' and related terms carry the statutory definitions, under which royalty is free of the costs of production. (Wyo. Stat. § 30-5-305(a); Wyo. Stat. § 30-5-304(a)(vii))
The district court of the county where the well is located has jurisdiction, and the prevailing party recovers all court costs and reasonable attorney's fees. A violating payor owes the unpaid proceeds plus 18% interest. A person who fails to provide the required check-stub information owes the affected royalty, overriding royalty or other nonworking interest owner $100 per month that complete reporting is not provided. The article sets no pre-suit notice or cure period. (Wyo. Stat. § 30-5-303(b); Wyo. Stat. § 30-5-303(c))
Each payment must include, labeled on the check stub or an attachment (unless provided regularly each month): lease/property/well name or number; month and year of sales; total barrels or Mcf sold; price per barrel or Mcf; total severance, ad valorem and other production taxes; an itemized list of other deductions or adjustments; net value of total sales after deductions; the owner's decimal interest; the owner's share before and after deductions; and an address for questions, with certified-mail requests answered by certified mail within 30 days. (Wyo. Stat. § 30-5-305(b); Wyo. Stat. § 30-5-305(b)(iii)-(iv); Wyo. Stat. § 30-5-305(b)(v)-(vi); Wyo. Stat. § 30-5-305(b)(viii)-(x); Wyo. Stat. § 30-5-305(b)(xi))
Mineral proceeds unclaimed for more than three years after becoming payable or distributable, together with the owner's underlying right to receive them, are deemed abandoned; later-accruing proceeds are also deemed abandoned. Separately, escrowed proceeds the escrow agent cannot deliver within three years after first receiving notice of the entitled person are treated as unclaimed. Holders may charge dormancy fees only under strict conditions, capped at $12 per year for two years. The administrator is the Wyoming State Treasurer. (Wyo. Stat. § 34-24-117(a); Wyo. Stat. § 34-24-117(b); Wyo. Stat. § 30-5-302; Wyo. Stat. § 34-24-117(d); Wyo. Stat. § 34-24-102(a)(i))
Last reviewed .
Alabama · Alaska · Arkansas · California · Colorado · Florida · Illinois · Indiana · Kansas · Kentucky · Louisiana · Michigan · Mississippi · Montana · Nebraska · New Mexico · New York · North Dakota · Ohio · Oklahoma · Pennsylvania · South Dakota · Texas · Utah · Virginia · West Virginia
Educational only — not legal advice; statutes change, so confirm the current version and consult a qualified attorney for your situation. For a question about a specific payment, consult an attorney licensed in Wyoming.
Buckhead provides a free written offer. Our offer comes at no cost and no obligation.
Start Your Free Written Offer