This form is a Texas Lease agreement wherein Lessor grants, leases, and lets exclusively to Lessee the lands described within for the purposes of conducting seismic and geophysical operations, exploring, drilling, mining, and operating for, producing and owning oil, gas, sulfur, and all other minerals whether or not similar to those mentioned (collectively the oil or gas ), and the right to make surveys, lay pipelines, establish and utilize facilities for surface or subsurface disposal of salt water, construct roads and bridges, dig canals, build tanks, power stations, power lines, telephone lines, and other structures on the Lands, necessary or useful in Lessee's operations on the Lands or any other land adjacent to the Lands. This lease form also provides for pooling.
The Amarillo Texas Producers 88 (8/99) Rental Lease Pooling Shut-In Royalty Provision is a specific clause that outlines the terms and conditions related to shut-in royalties in oil and gas leases within the Amarillo, Texas region. This provision is crucial to understand for landowners, oil and gas companies, and those involved in leasing and production activities. Under this provision, landowners who have entered into a rental lease agreement with oil and gas operators in Amarillo, Texas, receive shut-in royalties if certain conditions are met. Shut-in royalties apply when a leased property is temporarily inactive due to unforeseen circumstances or market conditions, resulting in the temporary cessation of production. The Amarillo Texas Producers 88 (8/99) Rental Lease Pooling Shut-In Royalty Provision typically specifies the following key elements: 1. Shut-in Royalty Payment Conditions: It outlines the conditions that must be met for a property to qualify for shut-in royalties. This may include conditions such as a minimum shut-in period, a maximum shut-in period, or specific market conditions that justify the temporary cessation of production. 2. Shut-in Royalty Calculation: The provision defines the method used to calculate the shut-in royalty payment. It may be based on a fixed percentage of the expected production during the shut-in period or a predetermined shut-in rental rate. 3. Notice Requirements: The provision may require the operator to provide written notice to the landowner regarding the intent to shut-in production and the expected duration of the shut-in period. This ensures transparency and allows the landowner to plan accordingly. 4. Release of Property: The provision may include provisions for the release of the property from the shut-in status once the conditions for reactivation or production are met. This may involve providing notice to the operator or conducting inspection and certification processes. It is important to note that while the Amarillo Texas Producers 88 (8/99) Rental Lease Pooling Shut-In Royalty Provision is a common industry practice, there might be variations in the specific language or provisions used by different oil and gas companies or landowners. Overall, understanding this provision is crucial for both landowners and oil and gas operators involved in leasing activities in Amarillo, Texas. Proactive comprehension of the terms and conditions related to shut-in royalties can help all parties involved to navigate potential disruptions or uncertainties in oil and gas production efficiently.The Amarillo Texas Producers 88 (8/99) Rental Lease Pooling Shut-In Royalty Provision is a specific clause that outlines the terms and conditions related to shut-in royalties in oil and gas leases within the Amarillo, Texas region. This provision is crucial to understand for landowners, oil and gas companies, and those involved in leasing and production activities. Under this provision, landowners who have entered into a rental lease agreement with oil and gas operators in Amarillo, Texas, receive shut-in royalties if certain conditions are met. Shut-in royalties apply when a leased property is temporarily inactive due to unforeseen circumstances or market conditions, resulting in the temporary cessation of production. The Amarillo Texas Producers 88 (8/99) Rental Lease Pooling Shut-In Royalty Provision typically specifies the following key elements: 1. Shut-in Royalty Payment Conditions: It outlines the conditions that must be met for a property to qualify for shut-in royalties. This may include conditions such as a minimum shut-in period, a maximum shut-in period, or specific market conditions that justify the temporary cessation of production. 2. Shut-in Royalty Calculation: The provision defines the method used to calculate the shut-in royalty payment. It may be based on a fixed percentage of the expected production during the shut-in period or a predetermined shut-in rental rate. 3. Notice Requirements: The provision may require the operator to provide written notice to the landowner regarding the intent to shut-in production and the expected duration of the shut-in period. This ensures transparency and allows the landowner to plan accordingly. 4. Release of Property: The provision may include provisions for the release of the property from the shut-in status once the conditions for reactivation or production are met. This may involve providing notice to the operator or conducting inspection and certification processes. It is important to note that while the Amarillo Texas Producers 88 (8/99) Rental Lease Pooling Shut-In Royalty Provision is a common industry practice, there might be variations in the specific language or provisions used by different oil and gas companies or landowners. Overall, understanding this provision is crucial for both landowners and oil and gas operators involved in leasing activities in Amarillo, Texas. Proactive comprehension of the terms and conditions related to shut-in royalties can help all parties involved to navigate potential disruptions or uncertainties in oil and gas production efficiently.
