This form is used when Assignor transfers, assigns and conveys to Assignee an overriding royalty interest in all of the oil, gas, and other minerals produced, saved, and marketed from all of the Lands and Leases equal to a determined amount (the Override ).
Delaware Assignment of Overriding Royalty Interest in Multiple Assignors is a legal agreement that pertains to the transfer of a portion or all of the overriding royalty interest (ORRIS) in an oil and gas property. This assignment involves multiple assignors who are relinquishing their rights to the ORRIS in favor of one or more assignees. An overriding royalty interest refers to a share of the proceeds from the production and sale of oil and gas extracted from a specific property. It is a non-operating interest that is usually set aside for the benefit of the assignor, separate from their working interest. The Delaware Assignment of Overriding Royalty Interest allows assignors to transfer their ORRIS rights to another party, providing them with a valuable asset. This type of assignment agreement is commonly used in the oil and gas industry when several parties collectively own an ORRIS and wish to transfer their interests to a single assignee. By consolidating the ORRIS rights, the assignee gains a larger share of the revenue generated from oil and gas production, increasing the potential for substantial returns. Keywords: Delaware, Assignment of Overriding Royalty Interest, Multiple Assignors, oil and gas property, transfer, ORRIS, assignees, non-operating interest, working interest, assignment agreement, oil and gas industry, revenue, production. Different types of Delaware Assignment of Overriding Royalty Interest in Multiple Assignors may include: 1. Partial Assignment: This involves the transfer of a percentage or a specific portion of the ORRIS by multiple assignors to one or more assignees. Each assignor would determine the amount of their interest to be assigned. 2. Whole Assignment: In this type of assignment, all assignors transfer their entire ORRIS to one or more assignees. This means that all assignors completely relinquish their rights to the ORRIS in favor of the assignees. 3. Proportional Assignment: This type of assignment maintains a proportional distribution of the ORRIS among multiple assignees. Assignors transfer their interests based on predetermined percentages, ensuring a continued sharing of the revenue from oil and gas production. 4. Staggered Assignment: This assignment allows for the transfer of ORRIS rights by multiple assignors in a phased or staggered manner. It may be executed over a pre-defined timeline or triggered by specific events or milestones. It is crucial to seek legal advice and ensure compliance with applicable laws and regulations while drafting and executing a Delaware Assignment of Overriding Royalty Interest in Multiple Assignors. This agreement plays a significant role in facilitating the smooth transfer of ORRIS rights, consolidating interests, and maximizing financial benefits for both assignors and assignees.
