Harris Texas Waiver of Call on Production

• Category: Oil Gas and Minerals - Waivers
• State: Multi-State
• County: Harris
• Control #: US-OG-566
• Format: Word; Rich Text

Description

This is a form of a Waiver of Call on Production. Harris Texas Waiver of Call on Production is a legal document used in the oil and gas industry that releases a property owner's right to receive royalty payments based on production of hydrocarbons. This waiver is commonly entered into between the mineral owner and the operator of an oil or gas well located in Harris County, Texas. The purpose of the Harris Texas Waiver of Call on Production is to provide the operator with the freedom to extract and market hydrocarbons from the leased property without having to account for or pay royalties to the mineral owner. Instead of receiving a portion of the profits, the mineral owner may negotiate a higher upfront payment or alternative compensation arrangement in exchange for waiving their right to future royalty payments. There are different types of Harris Texas Waiver of Call on Production that can be tailored to meet specific needs and agreements between the parties involved. These may include: 1. Full Waiver: This type of waiver completely relinquishes the mineral owner's right to any future royalty payments. The operator has the sole discretion to produce, sell, and profit from the extracted hydrocarbons without any obligation to compensate the mineral owner further. 2. Partial Waiver: In this case, the mineral owner agrees to a partial waiver, allowing the operator to exclude a portion of the production from calculating royalty payments. It may be a specific volume or percentage that the operator is exempted from, while the mineral owner continues to receive royalties from the remaining production. 3. Time-Limited Waiver: This type of waiver has a specific time restriction, allowing the operator to exempt a specified duration of production from royalty calculations. After the designated period, the operator resumes paying royalties as per the original agreement. 4. Specific Formation Waiver: This waives the mineral owner's right to royalties from a particular hydrocarbon formation or zone, while they continue to receive royalties from other formations. It allows the operator to focus on a specific target area without impacting the broader lease agreement. Regardless of the specific type of Harris Texas Waiver of Call on Production, it is crucial for both parties to consult legal counsel and thoroughly understand the implications before entering into such an agreement.

Harris Texas Waiver of Call on Production is a legal document used in the oil and gas industry that releases a property owner's right to receive royalty payments based on production of hydrocarbons. This waiver is commonly entered into between the mineral owner and the operator of an oil or gas well located in Harris County, Texas. The purpose of the Harris Texas Waiver of Call on Production is to provide the operator with the freedom to extract and market hydrocarbons from the leased property without having to account for or pay royalties to the mineral owner. Instead of receiving a portion of the profits, the mineral owner may negotiate a higher upfront payment or alternative compensation arrangement in exchange for waiving their right to future royalty payments. There are different types of Harris Texas Waiver of Call on Production that can be tailored to meet specific needs and agreements between the parties involved. These may include: 1. Full Waiver: This type of waiver completely relinquishes the mineral owner's right to any future royalty payments. The operator has the sole discretion to produce, sell, and profit from the extracted hydrocarbons without any obligation to compensate the mineral owner further. 2. Partial Waiver: In this case, the mineral owner agrees to a partial waiver, allowing the operator to exclude a portion of the production from calculating royalty payments. It may be a specific volume or percentage that the operator is exempted from, while the mineral owner continues to receive royalties from the remaining production. 3. Time-Limited Waiver: This type of waiver has a specific time restriction, allowing the operator to exempt a specified duration of production from royalty calculations. After the designated period, the operator resumes paying royalties as per the original agreement. 4. Specific Formation Waiver: This waives the mineral owner's right to royalties from a particular hydrocarbon formation or zone, while they continue to receive royalties from other formations. It allows the operator to focus on a specific target area without impacting the broader lease agreement. Regardless of the specific type of Harris Texas Waiver of Call on Production, it is crucial for both parties to consult legal counsel and thoroughly understand the implications before entering into such an agreement.