Virgin Islands Division Orders

• Category: Oil Gas and Minerals - Landman
• State: Multi-State
• Control #: US-OG-1205
• Format: Word; Rich Text

Description

This form is used for division orders or purchaser information. Virgin Islands Division Orders refer to legal documents that are commonly used in the Virgin Islands to determine ownership interests and distribute revenue from oil and gas production. These orders are crucial in the oil and gas industry and help establish the rights, obligations, and responsibilities of the parties involved in the division of production proceeds. A Virgin Islands Division Order typically includes important information such as the name of the well or lease, the legal description of the property, the names and addresses of the owners, and their respective ownership interests. It also outlines the payment and distribution process for the revenue generated from oil and gas production. There are several types of Virgin Islands Division Orders, including: 1. Basic Division Order: This is the most common type of division order. It outlines the standard terms and conditions for the payment and distribution of revenue from oil and gas production among the owners. 2. Supplemental Division Order: In cases where additional terms or changes are required, a supplemental division order is used. It can be used to modify or add to the existing terms in a basic division order. 3. Payout Division Order: A payout division order is used when the well or lease has reached the payout point. The payout point refers to the threshold at which the costs of drilling and operating the well have been recovered, and the revenue generated can be distributed solely to the owners. 4. Post-Payout Division Order: After the payout point, the revenue is distributed differently among the owners. A post-payout division order provides instructions on how the revenue should be allocated, often in proportion to the owners' initial ownership interests. 5. Modified Division Order: In some cases, specific modifications may be required to the terms outlined in a basic division order. A modified division order is utilized to address any unique circumstances or special arrangements. In conclusion, Virgin Islands Division Orders are essential legal documents used in the oil and gas industry to determine the ownership interests and distribution of revenue from oil and gas production. Understanding the different types of division orders can help parties involved navigate the complexities of revenue distribution and ensure a fair and efficient process.

Virgin Islands Division Orders refer to legal documents that are commonly used in the Virgin Islands to determine ownership interests and distribute revenue from oil and gas production. These orders are crucial in the oil and gas industry and help establish the rights, obligations, and responsibilities of the parties involved in the division of production proceeds. A Virgin Islands Division Order typically includes important information such as the name of the well or lease, the legal description of the property, the names and addresses of the owners, and their respective ownership interests. It also outlines the payment and distribution process for the revenue generated from oil and gas production. There are several types of Virgin Islands Division Orders, including: 1. Basic Division Order: This is the most common type of division order. It outlines the standard terms and conditions for the payment and distribution of revenue from oil and gas production among the owners. 2. Supplemental Division Order: In cases where additional terms or changes are required, a supplemental division order is used. It can be used to modify or add to the existing terms in a basic division order. 3. Payout Division Order: A payout division order is used when the well or lease has reached the payout point. The payout point refers to the threshold at which the costs of drilling and operating the well have been recovered, and the revenue generated can be distributed solely to the owners. 4. Post-Payout Division Order: After the payout point, the revenue is distributed differently among the owners. A post-payout division order provides instructions on how the revenue should be allocated, often in proportion to the owners' initial ownership interests. 5. Modified Division Order: In some cases, specific modifications may be required to the terms outlined in a basic division order. A modified division order is utilized to address any unique circumstances or special arrangements. In conclusion, Virgin Islands Division Orders are essential legal documents used in the oil and gas industry to determine the ownership interests and distribution of revenue from oil and gas production. Understanding the different types of division orders can help parties involved navigate the complexities of revenue distribution and ensure a fair and efficient process.