This form is used to resolve any question as to how royalty is to be paid to the Parties in the event of production, under the Lease, on any part of the Lands. The Parties are entering into this Agreement to stipulate and agree to the ownership of each Party's respective share of the royalty reserved in the Lease payable for production attributable to their Interests from a well located anywhere on the Lands.
Travis Texas Agreement Governing Payment of Nonparticipating Royalty Under Segregated Tracts Covered by one Oil and Gas Lease is a legal document that outlines the terms and conditions for the payment of nonparticipating royalties in the context of oil and gas leases in Travis County, Texas. This agreement is specific to situations where multiple tracts of land are covered by a single lease, and there are nonparticipating royalty owners who are entitled to receive a share of the proceeds from oil and gas production. The purpose of the Travis Texas Agreement is to establish clear guidelines for the calculation, allocation, and payment of nonparticipating royalties. It ensures that the nonparticipating royalty owners are fairly compensated for the extraction and production of oil and gas on the leased tracts. This agreement addresses various important aspects, such as the determination of the amount and timing of royalty payments, the identification of segregated tracts and their respective portion of production, the allocation of costs and expenses related to production, and the reconciliation process for any disputes or discrepancies that may arise. Some key keywords relevant to the Travis Texas Agreement are: 1. Agreement: This refers to the legally binding contract between the lessee and the nonparticipating royalty owners, outlining their respective rights and obligations. 2. Nonparticipating Royalty: Denotes the ownership interest held by individuals or entities who do not actively participate in the leasing or production activities but are entitled to receive royalties. 3. Segregated Tracts: Refers to the individual parcels of land or sections covered by the lease, which may have different owners or nonparticipating royalty beneficiaries. 4. Oil and Gas Lease: The document granting the lessee the right to explore, extract, and produce oil and gas resources on the leased tracts. 5. Payment: The act of disbursing royalties to the nonparticipating royalty owners based on their respective interests and the production from the segregated tracts. Different types of Travis Texas Agreements may exist depending on specific provisions or variations in language. However, the main focus remains on governing payment of nonparticipating royalties under segregated tracts covered by one oil and gas lease. It is crucial for all parties involved to carefully review and understand the terms outlined in the agreement to ensure fair and efficient distribution of royalty proceeds.Travis Texas Agreement Governing Payment of Nonparticipating Royalty Under Segregated Tracts Covered by one Oil and Gas Lease is a legal document that outlines the terms and conditions for the payment of nonparticipating royalties in the context of oil and gas leases in Travis County, Texas. This agreement is specific to situations where multiple tracts of land are covered by a single lease, and there are nonparticipating royalty owners who are entitled to receive a share of the proceeds from oil and gas production. The purpose of the Travis Texas Agreement is to establish clear guidelines for the calculation, allocation, and payment of nonparticipating royalties. It ensures that the nonparticipating royalty owners are fairly compensated for the extraction and production of oil and gas on the leased tracts. This agreement addresses various important aspects, such as the determination of the amount and timing of royalty payments, the identification of segregated tracts and their respective portion of production, the allocation of costs and expenses related to production, and the reconciliation process for any disputes or discrepancies that may arise. Some key keywords relevant to the Travis Texas Agreement are: 1. Agreement: This refers to the legally binding contract between the lessee and the nonparticipating royalty owners, outlining their respective rights and obligations. 2. Nonparticipating Royalty: Denotes the ownership interest held by individuals or entities who do not actively participate in the leasing or production activities but are entitled to receive royalties. 3. Segregated Tracts: Refers to the individual parcels of land or sections covered by the lease, which may have different owners or nonparticipating royalty beneficiaries. 4. Oil and Gas Lease: The document granting the lessee the right to explore, extract, and produce oil and gas resources on the leased tracts. 5. Payment: The act of disbursing royalties to the nonparticipating royalty owners based on their respective interests and the production from the segregated tracts. Different types of Travis Texas Agreements may exist depending on specific provisions or variations in language. However, the main focus remains on governing payment of nonparticipating royalties under segregated tracts covered by one oil and gas lease. It is crucial for all parties involved to carefully review and understand the terms outlined in the agreement to ensure fair and efficient distribution of royalty proceeds.
