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What are royalties?

A royalty is a percentage of revenue paid to a land owner (or mineral owners) from the production of oil and gas on his or her property. As energy companies produce hydrocarbons, they are required to pay a royalty to the mineral owner. This royalty generally consists of 12.5-25%* of the gross revenue from the property and is free and clear of any operational costs and drilling risks. 

HOW ROYALTY DISTRIBUTIONS ARE CREATED 

1. Montego acquires mineral and royalty interests where there is current oil & gas production and potential for future development.

2. Montego Minerals acquires properties that have existing leases with energy companies and in most cases significant production already in “pay-status” to investors. The energy company (the “operator”) drilling wells on the property pays all drilling and operating costs and bears all risks and liabilities.

3. Montego Asset Management, LLC on behalf of our investors, collects royalty payments from individual operators based on the monthly gross revenue of currently producing wells in pay status. Montego distributes these payments monthly to the investment owners.

© 2022 Montego Mineral

*This is not an estimate of return. This percentage range is not guaranteed and will vary based on individual lease agreements.

NO OFFER OR SOLICITATION: This is neither an offer to sell nor a solicitation of an offer to buy any security. Any such offer can only be made to accredited investors by a confidential private placement memorandum and all exhibits, attachments and supplements thereto. Past results do not constitute a prediction or representation of future performance.

DISCLAIMER – The information contained in this website is provided solely for general informational purposes about Montego Minerals Holding Company, LLC and its affiliated entities and not for any other purpose. The information contained herein is proprietary to and copyrighted by Montego Minerals Holding Company, LLC and any unauthorized reproduction is strictly prohibited. Nothing contained herein should be construed as any attempt to solicit, offer or sell or buy any security, including but not limited to mineral interests.