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.
Houston, Texas, known as the energy capital of the world, is a vibrant and bustling city located in Southeast Texas, United States. With its strong influence in the oil and gas industry, Houston plays a pivotal role in the taking or marketing of royalty oil and gas in kind. The process of taking or marketing royalty oil and gas in kind involves the extraction, transportation, refining, and distribution of these natural resources. Houston serves as a hub for various companies and entities involved in this industry. One type of taking or marketing royalty oil and gas in kind is through the use of midstream companies. These companies specialize in transporting crude oil and natural gas from the wellhead to refineries and processing plants. They utilize pipelines, storage facilities, and transportation logistics to ensure efficient delivery and maximize profitability for producers. Houston hosts several major midstream companies, such as Kinder Morgan, Enterprise Products Partners, and Plains All American Pipeline, due to its strategic location and access to major oil and gas fields. Another type is through the involvement of oil and gas marketing companies. These entities purchase royalty oil and gas directly from the producers and market them to end-users, such as refineries, petrochemical plants, or power generation facilities. These companies handle the negotiation of contracts, price agreements, and scheduling of deliveries. There are numerous marketing companies in Houston, including Chevron Corporation, ExxonMobil, and Shell, which have significant operations within the city. Additionally, Houston houses some storage and distribution facilities. These facilities handle the storage of royalty oil and gas in kind before transportation to refineries or end-users. The storage infrastructure in Houston includes tank farms, terminals, and storage tanks, which ensure a steady supply of oil and gas to meet market demands. Moreover, Houston is home to leading oil and gas trade organizations and commodity exchanges. The city hosts the headquarters of organizations like the Houston Energy Finance Group and the Houston Energy Coordinating Council, which actively promote energy-related businesses and foster collaboration within the industry. In conclusion, Houston, Texas, acts as a central hub for taking or marketing royalty oil and gas in kind. It encompasses various types of companies, including midstream operators, marketing firms, storage and distribution facilities, as well as industry organizations. The city's strategic location, extensive infrastructure, and dense network of energy companies make it a critical player in the global energy market.
