What is an oil overriding royalty?

Legal Definition of overriding royalty : an interest in and royalty on the oil, gas, or minerals extracted from another's land that is carved out of the producer's working interest and is not tied to production costs compare royalty.

US Legal Forms
Localized Forms
Washington
King
Assignment of Overriding Royalty Interest to Become Effective At...

King Washington Assignment of Overriding Royalty Interest to Become Effective At Payout, With Payout Based on Volume of Oil Produced

Name: King Washington Assignment of Overriding Royalty Interest to Become Effective At Payout, With Payout Based on Volume of Oil Produced
Brand: US Legal Forms
Rating: 4.84 (220 reviews)

Category:

Oil Gas and Minerals - Assignments

State:

Multi-State

County:

King

Control #:

US-OG-283

Format:

Instant download

Description

This form is used by the Assignor to transfer, assign, and convey to Assignee an overriding royalty interest in a Lease, to be effective at payout.

How to fill out King Washington Assignment Of Overriding Royalty Interest To Become Effective At Payout, With Payout Based On Volume Of Oil Produced?

Whether you plan to start your company, enter into a contract, apply for your ID renewal, or resolve family-related legal concerns, you need to prepare specific paperwork meeting your local laws and regulations. Finding the right papers may take a lot of time and effort unless you use the US Legal Forms library.

The platform provides users with more than 85,000 professionally drafted and checked legal templates for any individual or business case. All files are collected by state and area of use, so opting for a copy like King Assignment of Overriding Royalty Interest to Become Effective At Payout, With Payout Based on Volume of Oil Produced is quick and simple.

The US Legal Forms website users only need to log in to their account and click the Download key next to the required template. If you are new to the service, it will take you several more steps to obtain the King Assignment of Overriding Royalty Interest to Become Effective At Payout, With Payout Based on Volume of Oil Produced. Adhere to the instructions below:

Make certain the sample meets your individual needs and state law regulations.
Read the form description and check the Preview if available on the page.
Make use of the search tab providing your state above to locate another template.
Click Buy Now to get the sample once you find the correct one.
Opt for the subscription plan that suits you most to continue.
Log in to your account and pay the service with a credit card or PayPal.
Download the King Assignment of Overriding Royalty Interest to Become Effective At Payout, With Payout Based on Volume of Oil Produced in the file format you need.
Print the copy or fill it out and sign it electronically via an online editor to save time.

Forms provided by our website are reusable. Having an active subscription, you are able to access all of your earlier purchased paperwork at any time in the My Forms tab of your profile. Stop wasting time on a constant search for up-to-date formal documents. Join the US Legal Forms platform and keep your paperwork in order with the most extensive online form library!

Form Rating

4.84

Satisfied(220)

Form popularity

FAQ

An overriding royalty interest (ORRI) is similar to a royalty interest in that it is also a portion of the proceeds from the sale of production. However, it is not retained under the terms of the oil and gas lease. An ORRI is granted, assigned and created under the terms of a separate document.

Legal Definition of overriding royalty : an interest in and royalty on the oil, gas, or minerals extracted from another's land that is carved out of the producer's working interest and is not tied to production costs compare royalty.

Overriding royalty interests are an important financing tool for oil and gas companies involved in the exploration and development of oil gas and mineral interests. For investors, they provide an opportunity to participate in mineral production without incurring the costs.

1. n. Oil and Gas Business Ownership in a percentage of production or production revenues, free of the cost of production, created by the lessee, company and/or working interest owner and paid by the lessee, company and/or working interest owner out of revenue from the well.

You may convey overriding royalty interest on either an Assignment of Record Title Interest (Form 3000-3), a Transfer of Operating Rights (Form 3000-3a), or on a private assignment. We only require filing of one signed copy per assignment plus a nonrefundable filing fee found at 43 CFR 3000.12.

If a prepetition overriding royalty interest transaction is characterized as a transfer of real property (i.e., a sale), then the interest has effectively been transferred from the debtor's ownership and is not part of the bankruptcy estate.

Royalty interest in the oil and gas industry refers to ownership of a portion of a resource or the revenue it produces. A company or person that owns a royalty interest does not bear any operational costs needed to produce the resource, yet they still own a portion of the resource or revenue it produces.

An overriding royalty interest (ORRI) is an undivided interest in a mineral lease giving the holder the right to a proportional share (receive revenue) of the sale of oil and gas produced. The ORRI is carved out of the working interest or lease.

Interesting Questions

More info

21. It should be pointed out that not all PSAs require a royalty payment. 13.And have an overriding royalty interest in working interests. Lessors, therefore, are "royalty interest owners. Deepwater Energy Exploration and Production in the Gulf of Mexico. PART II: Explosion and Aftermath: The Causes and Consequences of the Disaster. Oil in a low carbon future, but value creation will still be high. OVERRIDING ROYALTY INTERESTS AND ROYALTY INTERESTS. Overriding Royalty Interest,. Net Profit Interest, Production Payment.

King Washington Assignment of Overriding Royalty Interest to Become Effective At Payout, With Payout Based on Volume of Oil Produced

Description

Related forms

How to fill out King Washington Assignment Of Overriding Royalty Interest To Become Effective At Payout, With Payout Based On Volume Of Oil Produced?

Show more info

Form Rating

Form popularity

FAQ

What is the difference between royalty interest and overriding royalty interest?

What is an oil overriding royalty?

What are overriding royalties typically used for?

What is a overriding royalty interest?

How do you transfer overriding royalty interest?

Is an overriding royalty interest real property?

What is the difference between a royalty interest and an overriding royalty interest?

What is a royalty interest?

What is an assignment of overriding royalty interest?

What is an overriding royalty interest?

Interesting Questions

What is a King assignment of overriding royalty interest?

What does it mean for the assignment to become effective at payout?

How is the payout determined for a King assignment based on the volume of oil produced?

Is there a fixed percentage or formula to determine the assignee's share of the royalties?

What are some common factors that can affect the payout and volume of oil produced?

Can the assignor terminate the King assignment before payout?

More info

Trusted and secure by over 3 million people of the world’s leading companies