South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest

• Category: Oil Gas and Minerals - Assignments
• State: Multi-State
• Control #: US-OG-266
• Format: Word; Rich Text

Description

This form is used by the Assignor to transfer, assign, and convey to Assignee a leasehold interest without reserving an overriding royalty interest. A South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest refers to a legal document that transfers a portion of the ownership or rights to an oil and gas lease from one party to another. In this transaction, the transferring party retains a reserved overriding royalty interest, which entitles them to a certain percentage of the revenue generated from the production and sale of oil and gas on the leased property. There are different variations of South Dakota Assignments of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest, based on the specific terms and conditions outlined in the agreement. Some common types include: 1. Fixed Percentage Override: This type of assignment reserves a fixed percentage interest in the overriding royalty to the transferring party. For example, if the assigned percentage is 5%, the transferring party will receive 5% of the revenue generated from the lease. 2. Time-Limited Override: In some cases, the overriding royalty interest may be reserved for a set duration. This could be a specific number of years or until a certain production target is reached. Once the defined period expires, the overriding royalty interest may cease to exist. 3. Area-Specific Override: This type of assignment may limit the overriding royalty interest to a specific geographic area within the leased property. This allows the transferring party to retain the interest only in areas where significant oil and gas reserves are expected. 4. Well-Specific Override: In certain situations, the overriding royalty interest may be assigned exclusively to a particular well or a group of wells. This ensures that the transferring party receives royalties only from the production of those specified wells. 5. Varying Percentage Override: Instead of a fixed percentage, some assignments may involve a varying percentage of the overriding royalty interest. This could be based on factors such as production levels, market conditions, or any agreed-upon formula. When drafting a South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest, it is crucial to include relevant details such as the parties involved, the specific lease being assigned, the percentage or terms of the overriding royalty interest being reserved, and any additional conditions or contingencies. Overall, the South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest is a complex legal document that governs the transfer of ownership while securing an ongoing royalty interest to the assigning party.

A South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest refers to a legal document that transfers a portion of the ownership or rights to an oil and gas lease from one party to another. In this transaction, the transferring party retains a reserved overriding royalty interest, which entitles them to a certain percentage of the revenue generated from the production and sale of oil and gas on the leased property. There are different variations of South Dakota Assignments of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest, based on the specific terms and conditions outlined in the agreement. Some common types include: 1. Fixed Percentage Override: This type of assignment reserves a fixed percentage interest in the overriding royalty to the transferring party. For example, if the assigned percentage is 5%, the transferring party will receive 5% of the revenue generated from the lease. 2. Time-Limited Override: In some cases, the overriding royalty interest may be reserved for a set duration. This could be a specific number of years or until a certain production target is reached. Once the defined period expires, the overriding royalty interest may cease to exist. 3. Area-Specific Override: This type of assignment may limit the overriding royalty interest to a specific geographic area within the leased property. This allows the transferring party to retain the interest only in areas where significant oil and gas reserves are expected. 4. Well-Specific Override: In certain situations, the overriding royalty interest may be assigned exclusively to a particular well or a group of wells. This ensures that the transferring party receives royalties only from the production of those specified wells. 5. Varying Percentage Override: Instead of a fixed percentage, some assignments may involve a varying percentage of the overriding royalty interest. This could be based on factors such as production levels, market conditions, or any agreed-upon formula. When drafting a South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest, it is crucial to include relevant details such as the parties involved, the specific lease being assigned, the percentage or terms of the overriding royalty interest being reserved, and any additional conditions or contingencies. Overall, the South Dakota Assignment of Partial Interest in Oil and Gas Lease Reserving An Overriding Royalty Interest is a complex legal document that governs the transfer of ownership while securing an ongoing royalty interest to the assigning party.