This form is used when an Assignor was granted the right to receive, at payout, a certain reversionary working interest in the Lease. Payout has not occurred, and Assignor is vested with beneficial ownership of the Interest in the Leases and Lands. The purpose of this Assignment and the intention of Assignor is to assign to Assignee, the Interest.
Oregon Assignment of A Diversionary Working Interest is a legal process by which the owner of a working interest in an oil or gas lease transfers their rights and obligations to another party. This transfer can occur for various reasons, such as financial considerations, restructuring of partnerships, or simplification of ownership structures. A diversionary working interest refers to the portion of the working interest that will revert to the assignor upon the occurrence of certain conditions specified in the assignment agreement. This may include the expiration of the underlying lease, the achievement of a certain level of production, or the occurrence of a specific event. There are different types of Oregon Assignment of A Diversionary Working Interest, each with its own specific considerations and requirements. These may include: 1. Full Assignment: This type of assignment transfers the entire working interest to the assignee. The assignee assumes all rights, obligations, and liabilities associated with the working interest. 2. Partial Assignment: In this case, only a portion of the working interest is transferred to the assignee. The assignor retains the remaining portion and continues to receive a proportionate share of the revenue and bear a proportionate share of the expenses. 3. Temporary Assignment: This type of assignment is for a specific period or until certain conditions are met. The working interest reverts to the assignor once the specified time or conditions are fulfilled. 4. Subject-to Assignment: This form of assignment transfers the working interest to the assignee, subject to certain conditions, such as obtaining necessary regulatory approvals or satisfying specific obligations. 5. Override Assignment: An override assignment involves the transfer of an overriding royalty interest, which is a percentage of the revenue generated from production, rather than a working interest. The assignee receives a share of the revenue but does not have the same rights and obligations as a working interest owner. It is essential to consult legal professionals and adhere to Oregon state laws and regulations while executing an Oregon Assignment of A Diversionary Working Interest. Additionally, thorough due diligence is crucial to understanding all the terms, conditions, and implications associated with such an assignment to protect the interests of all parties involved.
