This lease rider form may be used when you are involved in a lease transaction, and have made the decision to utilize the form of Oil and Gas Lease presented to you by the Lessee, and you want to include additional provisions to that Lease form to address specific concerns you may have, or place limitations on the rights granted the Lessee in the standard lease form.
Wake North Carolina Shut-In Gas Royalty refers to the compensation paid to landowners or mineral rights owners in Wake County, North Carolina, when natural gas extraction activities are suspended temporarily or indefinitely on their property. This type of royalty payment is usually associated with shutting down gas wells due to various reasons such as low gas prices, market conditions, lack of infrastructure, legal issues, or environmental concerns. Shut-In Gas Royalty is a financial arrangement executed via contracts between gas companies and landowners. In Wake County, North Carolina, landowners who have signed leases or agreements allowing gas companies to explore and extract natural gas reserves on their land are entitled to receive royalty payments based on the production and sales of natural gas. However, in cases where the gas activity ceases, either voluntarily or involuntarily, landowners continue to receive compensation through shut-in gas royalty payments until the gas operations resume. There are two primary types of Wake North Carolina Shut-In Gas Royalty: 1. Temporary Shut-In Gas Royalty: This occurs when gas production is halted temporarily due to short-term market conditions, pipeline maintenance, equipment failure, or any other reason that causes a temporary halt in gas extraction. During this period, landowners receive shut-in gas royalty payments as a compensation for the idle gas wells on their property. 2. Permanent Shut-In Gas Royalty: This type of royalty payment is applicable when gas wells are shut down permanently. Reasons for permanent shut-in gas operations may include exhausted gas reserves, lack of profitability, changes in land use, land reclamation, or regulatory compliance. Even though the gas operations cease permanently, landowners continue to receive shut-in gas royalty payments as compensation for the loss of potential income from future gas extraction. The Wake North Carolina Shut-In Gas Royalty payments are typically based on the terms outlined in the lease agreements or contracts signed between the gas company and the landowner. The compensation amount is usually calculated as a percentage of the wellhead value, commonly ranging from 12.5% to 20%, depending on the negotiations and market conditions. In summary, Wake North Carolina Shut-In Gas Royalty is the financial compensation paid to landowners in Wake County, North Carolina, when natural gas extraction activities are temporarily or permanently halted on their property. This type of royalty payment aims to compensate landowners for the idle gas wells and the potential loss of income due to the suspension of gas operations.Wake North Carolina Shut-In Gas Royalty refers to the compensation paid to landowners or mineral rights owners in Wake County, North Carolina, when natural gas extraction activities are suspended temporarily or indefinitely on their property. This type of royalty payment is usually associated with shutting down gas wells due to various reasons such as low gas prices, market conditions, lack of infrastructure, legal issues, or environmental concerns. Shut-In Gas Royalty is a financial arrangement executed via contracts between gas companies and landowners. In Wake County, North Carolina, landowners who have signed leases or agreements allowing gas companies to explore and extract natural gas reserves on their land are entitled to receive royalty payments based on the production and sales of natural gas. However, in cases where the gas activity ceases, either voluntarily or involuntarily, landowners continue to receive compensation through shut-in gas royalty payments until the gas operations resume. There are two primary types of Wake North Carolina Shut-In Gas Royalty: 1. Temporary Shut-In Gas Royalty: This occurs when gas production is halted temporarily due to short-term market conditions, pipeline maintenance, equipment failure, or any other reason that causes a temporary halt in gas extraction. During this period, landowners receive shut-in gas royalty payments as a compensation for the idle gas wells on their property. 2. Permanent Shut-In Gas Royalty: This type of royalty payment is applicable when gas wells are shut down permanently. Reasons for permanent shut-in gas operations may include exhausted gas reserves, lack of profitability, changes in land use, land reclamation, or regulatory compliance. Even though the gas operations cease permanently, landowners continue to receive shut-in gas royalty payments as compensation for the loss of potential income from future gas extraction. The Wake North Carolina Shut-In Gas Royalty payments are typically based on the terms outlined in the lease agreements or contracts signed between the gas company and the landowner. The compensation amount is usually calculated as a percentage of the wellhead value, commonly ranging from 12.5% to 20%, depending on the negotiations and market conditions. In summary, Wake North Carolina Shut-In Gas Royalty is the financial compensation paid to landowners in Wake County, North Carolina, when natural gas extraction activities are temporarily or permanently halted on their property. This type of royalty payment aims to compensate landowners for the idle gas wells and the potential loss of income due to the suspension of gas operations.
