Illinois Assignment of Production Payment Measured by Value Received

• Category: Oil Gas and Minerals - Assignments
• State: Multi-State
• Control #: US-OG-294
• Format: Word; Rich Text

Description

This form is used when Assignor transfers, assigns, and conveys to Assignee a production payment measureed by value. Title: Understanding the Illinois Assignment of Production Payment Measured by Value Received Keywords: Illinois Assignment of Production Payment, Measured by Value Received, types Description: The Illinois Assignment of Production Payment Measured by Value Received is a legally binding document that outlines the transfer of interests in oil, gas, or other natural resources produced from a certain property to another party. This agreement specifies the value received by the assignee for the assigned production payment, which is typically a percentage of the proceeds generated from the sale of the produced resources. Types of Illinois Assignment of Production Payment Measured by Value Received: 1. Traditional Assignment: This type of assignment involves the transfer of a specific percentage of production payments received from the sale of natural resources. The assignee becomes entitled to receive a portion of the revenue directly, reflecting the measured value received. 2. Deferred Payment Assignment: In this type of assignment, the assignee receives a fixed valuation of the assigned production payment upfront, regardless of its actual value. The remaining payments, reflecting the actual value received, are deferred and paid out over an agreed-upon timeframe or through periodic installments. 3. Proportional Assignment: Under this arrangement, the assignee receives a proportionate share of the production payments based on the percentage assigned. The value received corresponds directly to the overall value generated from the sale of the produced resources. 4. Fixed Value Assignment: With a fixed value assignment, the assignee receives a fixed amount, irrespective of the fluctuating prices or market conditions that may affect the actual value of the assigned production payment. This type provides the assignee with a guaranteed return and shields them from potential market risks. 5. Non-Operated Working Interest Assignment: In this type of assignment, the assignee acquires a working interest in the property but does not bear the operational responsibilities. They contribute a percentage of the costs associated with the production and, in turn, receive a measured value of the production payment based on their working interest. 6. Override Assignment: An override assignment entails the assignee receiving a percentage of the gross revenue generated from the sale of the resources produced, rather than a proportionate share of the production payment. The measured value received, in this case, is based on the gross proceeds, regardless of operational costs or deductions. Understanding the Illinois Assignment of Production Payment Measured by Value Received is crucial for both assignors and assignees involved in the transfer of interests related to the production of natural resources in Illinois. It is essential to consult legal professionals and properly research the specifics of each assignment type before engaging in such agreements.

Title: Understanding the Illinois Assignment of Production Payment Measured by Value Received Keywords: Illinois Assignment of Production Payment, Measured by Value Received, types Description: The Illinois Assignment of Production Payment Measured by Value Received is a legally binding document that outlines the transfer of interests in oil, gas, or other natural resources produced from a certain property to another party. This agreement specifies the value received by the assignee for the assigned production payment, which is typically a percentage of the proceeds generated from the sale of the produced resources. Types of Illinois Assignment of Production Payment Measured by Value Received: 1. Traditional Assignment: This type of assignment involves the transfer of a specific percentage of production payments received from the sale of natural resources. The assignee becomes entitled to receive a portion of the revenue directly, reflecting the measured value received. 2. Deferred Payment Assignment: In this type of assignment, the assignee receives a fixed valuation of the assigned production payment upfront, regardless of its actual value. The remaining payments, reflecting the actual value received, are deferred and paid out over an agreed-upon timeframe or through periodic installments. 3. Proportional Assignment: Under this arrangement, the assignee receives a proportionate share of the production payments based on the percentage assigned. The value received corresponds directly to the overall value generated from the sale of the produced resources. 4. Fixed Value Assignment: With a fixed value assignment, the assignee receives a fixed amount, irrespective of the fluctuating prices or market conditions that may affect the actual value of the assigned production payment. This type provides the assignee with a guaranteed return and shields them from potential market risks. 5. Non-Operated Working Interest Assignment: In this type of assignment, the assignee acquires a working interest in the property but does not bear the operational responsibilities. They contribute a percentage of the costs associated with the production and, in turn, receive a measured value of the production payment based on their working interest. 6. Override Assignment: An override assignment entails the assignee receiving a percentage of the gross revenue generated from the sale of the resources produced, rather than a proportionate share of the production payment. The measured value received, in this case, is based on the gross proceeds, regardless of operational costs or deductions. Understanding the Illinois Assignment of Production Payment Measured by Value Received is crucial for both assignors and assignees involved in the transfer of interests related to the production of natural resources in Illinois. It is essential to consult legal professionals and properly research the specifics of each assignment type before engaging in such agreements.