Harris Texas Assignment of Overriding Royalty Interests of a Percentage of Assignor's Net Revenue Interest, After Deductions of Certain Costs - Effectively A Net Profits

• Category: Oil Gas and Minerals - Assignments
• State: Multi-State
• County: Harris
• Control #: US-OG-284
• Format: Word; Rich Text

Description

This form is used by the Assignor to transfer, assign, and convey to Assignee an overriding royalty interest in a Lease and all oil, gas and other minerals produced, saved and sold from the Lease and Land. Harris County, Texas is a region known for its abundant oil and gas resources. In this area, the concept of Assignment of Overriding Royalty Interests (ORRIS) plays a crucial role in the oil and gas industry. An Assignment of ORRIS involves transferring a percentage of the Assignor's Net Revenue Interest (NRI), which is calculated after certain costs and deductions have been made, effectively resulting in a Net Profits arrangement. The Harris Texas Assignment of Overriding Royalty Interests of a Percentage of Assignor's Net Revenue Interest, After Deductions of Certain Costs — Effectively A Net Profits (commonly referred to as Harris Texas ORRIS) encompasses various types, such as: 1. Standard ORRIS: This type of assignment involves the transfer of a fixed percentage of the Assignor's NRI, which is determined after deducting certain costs associated with the oil and gas operation. The Assigned is entitled to a corresponding percentage of the net profits generated from the production. 2. Graduated ORRIS: In this variation, the ORRIS percentage may change dynamically based on predefined production thresholds or milestones. As production volumes increase, the Assignor's NRI is reduced after the deduction of costs, and the Assignee's percentage of Net Profits fluctuates accordingly. 3. Multi-Well ORRIS: This type of Assignment involves assigning an ORRIS on multiple wells or a group of wells operating within a defined geographical area. The Assignor's NRI is calculated by considering the collective net revenue generated from all eligible wells after deducting costs, and the Assignee receives an agreeable percentage of those Net Profits. 4. ORRIS with Bonus: Some Assignment agreements may include a bonus provision to incentivize the Assignee. In such cases, upon the achievement of specific production targets, the Assignee is entitled to a lump-sum bonus payment in addition to the regular distribution of net profits from the Assignor's NRI. 5. Fractional ORRIS: This type of assignment involves transferring a fractional interest in the Assignor's NRI rather than a specific percentage. By establishing a fractional ORRIS, the Assignee is entitled to a fractional share of net profits proportional to their ownership stake. Harris Texas Assignment of Overriding Royalty Interests of a Percentage of Assignor's Net Revenue Interest, After Deductions of Certain Costs — Effectively A Net Profits is a crucial mechanism in the oil and gas industry, enabling investors to acquire a share of the revenue generated from oil and gas production in Harris County, Texas.

Harris County, Texas is a region known for its abundant oil and gas resources. In this area, the concept of Assignment of Overriding Royalty Interests (ORRIS) plays a crucial role in the oil and gas industry. An Assignment of ORRIS involves transferring a percentage of the Assignor's Net Revenue Interest (NRI), which is calculated after certain costs and deductions have been made, effectively resulting in a Net Profits arrangement. The Harris Texas Assignment of Overriding Royalty Interests of a Percentage of Assignor's Net Revenue Interest, After Deductions of Certain Costs — Effectively A Net Profits (commonly referred to as Harris Texas ORRIS) encompasses various types, such as: 1. Standard ORRIS: This type of assignment involves the transfer of a fixed percentage of the Assignor's NRI, which is determined after deducting certain costs associated with the oil and gas operation. The Assigned is entitled to a corresponding percentage of the net profits generated from the production. 2. Graduated ORRIS: In this variation, the ORRIS percentage may change dynamically based on predefined production thresholds or milestones. As production volumes increase, the Assignor's NRI is reduced after the deduction of costs, and the Assignee's percentage of Net Profits fluctuates accordingly. 3. Multi-Well ORRIS: This type of Assignment involves assigning an ORRIS on multiple wells or a group of wells operating within a defined geographical area. The Assignor's NRI is calculated by considering the collective net revenue generated from all eligible wells after deducting costs, and the Assignee receives an agreeable percentage of those Net Profits. 4. ORRIS with Bonus: Some Assignment agreements may include a bonus provision to incentivize the Assignee. In such cases, upon the achievement of specific production targets, the Assignee is entitled to a lump-sum bonus payment in addition to the regular distribution of net profits from the Assignor's NRI. 5. Fractional ORRIS: This type of assignment involves transferring a fractional interest in the Assignor's NRI rather than a specific percentage. By establishing a fractional ORRIS, the Assignee is entitled to a fractional share of net profits proportional to their ownership stake. Harris Texas Assignment of Overriding Royalty Interests of a Percentage of Assignor's Net Revenue Interest, After Deductions of Certain Costs — Effectively A Net Profits is a crucial mechanism in the oil and gas industry, enabling investors to acquire a share of the revenue generated from oil and gas production in Harris County, Texas.