Guam Term Royalty Deed for Term of Existing Lease

State:
Multi-State
Control #:
US-OG-047
Format:
Word; 
Rich Text
Instant download

Description

This form provides for a conveyance of a royalty interest for a term, the duration of which is the life of an existing oil and gas lease.
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FAQ

A royalty deed gives its holder the right to receive a percentage of the profits from the sale of the minerals, if and when they are actually produced. This kind of legal document does not convey all of the mineral rights to the holder, only the right to receive royalties.

A mineral deed form is a legal document, regarding the ownership of the minerals below the surface of the earth. It is important to understand that surface rights and mineral rights, on the same piece of land, can be owned by different parties.

The term ?words of conveyance? refers to a clause that is included in a property's deed. This clause states that the grantor intends to convey title to the land. Words of conveyance may also be referred to as a Granting Clause.

Mineral rights are the rights to underground resources including oil, natural gas, gold, silver, copper, iron, coal, uranium, and other minerals. Sand, gravel, limestone, and subsurface water are not considered mineral rights and typically belong to the surface rights holder.

Yes, it can be beneficial to sell your mineral rights for a fair price, even producing rights. First, sellers must be aware of the different stages of the production process. They must also know the value their minerals and royalties command in every development stage.

A mineral interest is simply a real property interest obtained from the severance or exploitation of minerals ? say natural gas ? from the surface. On the other hand, a royalty interest is the property interest that grants an owner a portion of the production revenue generated.

Mineral rights deeds are not the same as royalty deeds. Royalty deeds do not allow for surface access, or for the initiation of the extraction and sale of minerals. A royalty owner will only benefit economically if the mineral owner decides to produce and sell the minerals.

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Guam Term Royalty Deed for Term of Existing Lease