Colorado Reservation of Production Payment

Category:

Oil Gas and Minerals - Assignments

State:

Multi-State

Control #:

US-OG-481

Format:

Instant download

Description

This form is used for the assignor to except from the assignment and reserve out of the interests assigned to assignee a production payment.

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FAQ

A quick definition of production payment: A production payment is a type of agreement in the oil and gas industry where a person or company receives a share of the oil and gas produced from a property. This share is given without having to pay for the costs of production.

(1) The term production payment means, in general, a right to a specified share of the production from mineral in place (if, as, and when produced), or the proceeds from such production. Such right must be an economic interest in such mineral in place.