This form is used by the Owner to provide notice that the overriding royalty interests which are owned by Owners are to be merged into, combined with, and a part of Owners working interest, and the net revenue interest in production Owner is entitled to in all oil and gas produced from the Lands and Leases.
The Arkansas Notice of Merger of Working and Overriding Royalty Interests is an important legal document that pertains to the consolidation of these two types of interests in mineral rights. This notice signifies the merging of these interests into a single entity, offering clarity and efficiency for all parties involved. Working interests refer to ownership in the actual extraction and production of oil, gas, or mineral resources. It grants the interest holder the right to access and develop the mineral estate, as well as the responsibility for costs associated with exploration and extraction activities. On the other hand, overriding royalty interests represent a share of the revenue generated from the production of minerals, reserved or carved out of the working interest in the mineral estate owner. When a merger occurs between working and overriding royalty interests in Arkansas, it typically implies a streamlining or consolidation of these two separate interests. While there may not be different types of Arkansas Notice of Merger of Working and Overriding Royalty Interests per se, there can be variations in terms of specific clauses, parties involved, or the language used in the notice. One essential aspect of this notice is its detailed description of the interests being merged. It includes the specific mineral rights or leases affected, clearly identifying the working and overriding royalty interests held by each party. Additionally, the notice outlines the terms and conditions of the merger, such as the percentage of interests being merged and any adjustments made to the overarching business arrangements. This notice also mentions any amendments to existing agreements or contracts, ensuring that all parties are aware and duly informed of the changes. It may further specify the effective date of the merger and provide instructions for legal recording and dissemination to relevant parties, governmental authorities, or public agencies. Overall, the Arkansas Notice of Merger of Working and Overriding Royalty Interests is a crucial document that solidifies the combining of these two distinct types of mineral rights. By providing a comprehensive description and necessary details, this notice guarantees the integrity and transparency of the merger, safeguarding the rights and interests of all concerned parties.
