Oklahoma Assignment of Oil and Gas Leases And Well
Definition and meaning
The Oklahoma Assignment of Oil and Gas Leases and Well is a legal document that allows the holder of an oil and gas lease, referred to as the Assignor, to transfer all or part of their interests to another party, known as the Assignee. This form is used to formalize the transfer of rights associated with oil and gas production, including wells, equipment, and related resources.
Key components of the form
The Oklahoma Assignment of Oil and Gas Leases and Well contains several critical elements:
- Identification of parties: Clearly defines the Assignor and Assignee.
- Consideration: States the amount being paid for the assignment.
- Description of interests: Details the specific leases, wells, and associated rights being transferred.
- Reservation of rights: Addresses any rights the Assignor retains, such as overriding royalty interests.
Who should use this form
This form is designed for individuals or entities that own oil and gas leases in Oklahoma and wish to transfer their rights to another party. It is particularly useful for landowners, oil companies, or investors involved in oil and gas operations who want to formalize a transfer of interest.
How to complete a form
To properly fill out the Oklahoma Assignment of Oil and Gas Leases and Well, follow these steps:
- Fill in the names: Enter the complete names of the Assignor and Assignee, including any relevant addresses.
- Include consideration: Specify the agreed sum for the transfer.
- Describe the leases: Provide a detailed description of the leases and assets being assigned.
- Sign and date: Both parties should sign and date the document in the presence of a notary public.
What to expect during notarization or witnessing
When notarizing the Oklahoma Assignment of Oil and Gas Leases and Well, the notary public will:
- Verify identities: Check the identification of the Assignor and Assignee.
- Witness signatures: Ensure both parties sign the document in their presence.
- Stamp and sign: Apply their official seal and signature to validate the document.
Form popularity
FAQ
To ratify a lease means that the landowner and oil & gas producer, as current lessor and lessee of the land, agree (or re-agree) to the terms of the existing lease.In all likelihood, the lessee (usually the current producer) believes that you have legitimate grounds to break the existing lease.
Oil and gas lease is an agreement between a mineral owner (lessor) and a company (lessee) in which the owner grants the company the right to explore, drill and produce oil, gas, and other minerals below the surface of the earth.
Landowners who are considering purchasing, or have already purchased a property can search their county Register of Deeds registry to determine if an oil and gas lease is recorded.A search of the public records at the county register of deeds office is necessary.
Assignment is a legal term whereby an individual, the assignor, transfers rights, property, or other benefits to another known as the assignee. This concept is used in both contract and property law. The term can refer to either the act of transfer or the rights/property/benefits being transferred.
Not necessarily. Where your royalty is based on volume of production and your lease is for a period of years and as much longer as oil and gas is produced, or similar language is contained in your lease, your lease may not automatically expire at the end of its primary term.
Wellbore. An assignment can be limited to the wellbore of a well. A wellbore limitation means that the assignor is assigning only those rights to production from the wellbore of a certain well, arguably at the total depth it existed at the time of the assignment.
Further, annual rental fees for onshore oil and gas leases $1.50 per acre during the first five years and $2 per acre each year thereafter allow drilling companies to hold and explore mineral leases for the price of a cup of coffee.
An Assignment of an Oil, Gas and Mineral Lease is a document in which the original Lessee, and or their successors, assign either all or part of their working interest and/or net revenue interest that they own in that lease. This is leasehold interest. You can also assign or reserve interest in wellbores.