From memory, royalties are paid internationally as well as locally, well, mine have been occasionally. There is a rule that if the song has never been recorded before, you have to get the songwriter's permission to release it. We had a hell of a time once when a song we wanted to record in Australia was written by someone who was wandering around in Britain at the time andf took about a month to track down. If the song has been recorded before, you just go right ahead and the royalties get sent to the publisher (if you are releasing through a regular channel. If you don't know who wrote it, you can still record it but you list the publishing details to either AMCOS or just Control. Then the publishers chesk the lists and claim the money. If you are doing a private release, it becomes a matter of conscience and ClintonHammond's way is probably the easiest, but make sure that the writer gives you a receipt for whatever you offer. Permission to record is not absolution from paying royalties and you could have a publisher chasing you. It's not uncommon to offer a royalty fee that covers any amount. Suppose you offer to pay $200 no matter how many you produce, it then becomes a gamble on both sides. We were once offered $1500 for the rights to a children's album that over the years would have made more but we needed the money at the time so we took it.