Suffolk New York Assignment of Oil and Gas Leases of all Interest, Reserving An Overriding Royalty Interest

• Category: Oil Gas and Minerals - Assignments
• State: Multi-State
• County: Suffolk
• Control #: US-OG-278
• Format: Word; Rich Text

Description

This form is used by an Assignor when he assigns and conveys to Assignee, all of Assignor's rights, title, and interests in an oil and gas lease and reserves an overriding royalty interest. A Suffolk New York Assignment of Oil and Gas Leases of all Interest, Reserving An Overriding Royalty Interest is a legal document that transfers ownership of oil and gas leases in Suffolk County, New York while retaining a royalty interest. This type of assignment is commonly used in the oil and gas industry to allow the assignor to maintain a share of the profits from the production of oil and gas on the leased property. In this agreement, the assignor relinquishes their rights and interests in the oil and gas leases to the assignee. The assignee becomes the new owner and is responsible for all aspects of the leased property, including exploration, development, and production activities. However, unlike a typical assignment, a Suffolk New York Assignment of Oil and Gas Leases of all Interest, Reserving An Overriding Royalty Interest includes a provision that reserves an overriding royalty interest (ORRIS) for the assignor. This means that even though the assignor no longer owns the leases, they are entitled to a certain percentage of the revenue generated from the oil and gas extracted from the property. This type of assignment can be further categorized into different variations based on the specific terms and conditions agreed upon by the parties involved. For example: 1. Fixed Percentage Assignment: This assignment reserves a fixed percentage of the production revenue as an overriding royalty interest for the assignor. The percentage may vary depending on the negotiation between the assignor and the assignee. 2. Fixed Amount Assignment: In this case, instead of a percentage, a specific amount of the production revenue is reserved as an overriding royalty interest for the assignor. This fixed amount could be subject to periodic adjustments as agreed upon in the assignment. 3. Duration-Linked Assignment: This type of assignment reserves an overriding royalty interest for a specific period. The assignor receives royalty payments for a predetermined duration, after which the interest reverts to the assignee. 4. Production Threshold Assignment: This assignment reserves an overriding royalty interest only when a certain production threshold is met. Once the production exceeds the agreed-upon amount, the assignor starts receiving royalty payments. Suffolk County, New York, with its diverse geological characteristics, offers potential for oil and gas extraction, making such assignments significant in the region. The assignment serves as a means for individuals or entities to monetize their oil and gas leases while retaining a portion of the revenue generated from the production activities.

A Suffolk New York Assignment of Oil and Gas Leases of all Interest, Reserving An Overriding Royalty Interest is a legal document that transfers ownership of oil and gas leases in Suffolk County, New York while retaining a royalty interest. This type of assignment is commonly used in the oil and gas industry to allow the assignor to maintain a share of the profits from the production of oil and gas on the leased property. In this agreement, the assignor relinquishes their rights and interests in the oil and gas leases to the assignee. The assignee becomes the new owner and is responsible for all aspects of the leased property, including exploration, development, and production activities. However, unlike a typical assignment, a Suffolk New York Assignment of Oil and Gas Leases of all Interest, Reserving An Overriding Royalty Interest includes a provision that reserves an overriding royalty interest (ORRIS) for the assignor. This means that even though the assignor no longer owns the leases, they are entitled to a certain percentage of the revenue generated from the oil and gas extracted from the property. This type of assignment can be further categorized into different variations based on the specific terms and conditions agreed upon by the parties involved. For example: 1. Fixed Percentage Assignment: This assignment reserves a fixed percentage of the production revenue as an overriding royalty interest for the assignor. The percentage may vary depending on the negotiation between the assignor and the assignee. 2. Fixed Amount Assignment: In this case, instead of a percentage, a specific amount of the production revenue is reserved as an overriding royalty interest for the assignor. This fixed amount could be subject to periodic adjustments as agreed upon in the assignment. 3. Duration-Linked Assignment: This type of assignment reserves an overriding royalty interest for a specific period. The assignor receives royalty payments for a predetermined duration, after which the interest reverts to the assignee. 4. Production Threshold Assignment: This assignment reserves an overriding royalty interest only when a certain production threshold is met. Once the production exceeds the agreed-upon amount, the assignor starts receiving royalty payments. Suffolk County, New York, with its diverse geological characteristics, offers potential for oil and gas extraction, making such assignments significant in the region. The assignment serves as a means for individuals or entities to monetize their oil and gas leases while retaining a portion of the revenue generated from the production activities.