When calculating how much royalties you will receive from natural gas production, you will need a few important pieces of information:
Royalty rate - this amount will be listed in your natural gas lease. In New York State, the minimum royalty rate is 12.5%
The size of the spacing unit the natural gas well will draw gas from - measured in acres. In New York State, the spacing unit sized is deterimined by the depth of the targeted formation - see the NYS DEC statewide spacing unit sizes and setbacks.
The amount of acreage you own within the spacing unit - this amount will be communicated to you from the natural gas company or if you are unleased, from the NYS DEC on the Compulsory Integration Election Form.
The wellhead price of natural gas - given in dollars per thousand cubic feet or Mcf
The average production rate of the well in millions of cubic feet per or Mcf - if there is no actual well data available, you can use an estimate of production values from nearby well.
There are a number of natural gas royalty calculators available for estimating how much your royalties could be worth. The data provided by the royalty calculators are estimates and for edcational purposes only: