This lease rider form may be used when you are involved in a lease transaction, and have made the decision to utilize the form of Oil and Gas Lease presented to you by the Lessee, and you want to include additional provisions to that Lease form to address specific concerns you may have, or place limitations on the rights granted the Lessee in the standard lease form.
Maryland Shut-In Gas Royalty refers to the compensation that a landowner or mineral rights' holder in Maryland receives for the suspension or cessation of natural gas production on their property. When gas production is temporarily stopped due to low market demand, infrastructure constraints, or other reasons, the landowner is entitled to receive shut-in gas royalty payments. These payments serve as a form of financial compensation for the loss of potential income during the period of suspended gas production. Maryland Shut-In Gas Royalty ensures that landowners or mineral rights holders are fairly compensated for their resources, even when production is halted. Keywords: Maryland Shut-In Gas Royalty, gas production, compensation, landowner, mineral rights' holder, natural gas, suspension, cessation, market demand, infrastructure constraints, shut-in gas royalty payments, financial compensation, potential income, suspended gas production, resources. Different Types of Maryland Shut-In Gas Royalty: 1. Temporary Shut-In Gas Royalty: This refers to the compensation received for the cessation of gas production on a short-term or temporary basis. It usually occurs when market conditions are unfavorable, and producers decide to halt production until prices improve. 2. Extended Shut-In Gas Royalty: In certain cases, gas production may be suspended for a more extended period due to infrastructure issues, like pipeline maintenance, or when additional regulatory approvals are required. Extended shut-in gas royalty refers to the compensation received during these prolonged periods of halted production. 3. Seasonal Shut-In Gas Royalty: Some gas production operations in Maryland may experience seasonal fluctuations in demand, where the need for gas is higher during specific times of the year, such as winter for heating purposes. During off-peak seasons, gas production may be shut-in temporarily, and landowners can earn seasonal shut-in gas royalty during these periods. Overall, Maryland Shut-In Gas Royalty serves as a mechanism to safeguard the interests of landowners and mineral rights holders, compensating them for their resources during periods of halted gas production.
