This lease rider form may be used when you are involved in a lease transaction, and have made the decision to utilize the form of Oil and Gas Lease presented to you by the Lessee, and you want to include additional provisions to that Lease form to address specific concerns you may have, or place limitations on the rights granted the Lessee in the “standard” lease form.
Texas Division Orders
Category:
State:
Multi-State
Control #:
US-OG-789
Format:
Word;
Rich Text
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How to fill out Division Orders?
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FAQ
To put it another way the formula is: lessor's acres in unit ÷ total number of acres in unit × lessor's ownership interest × lessor's royalty percentage = lessor's decimal interest.
A division order is a contract between you and the operator (an oil and gas company). Typically, receiving a division order means that the operator is about to drill, or that the operator has already drilled a well and your minerals are producing.
A division order analyst works for a petroleum company and oversees company records. As a division order analyst, you establish, prepare, review, approve, and maintain documents regarding production and land ownership for royalty owners. You generally work as a part of the land department at an oil company.
A Division order is an instrument that records an owner's interest in a specific well. It should include the name of the well, the well number, interest type, and your decimal interest.
For instance, if one month's oil sales total $100,000, you would receive $15,000 (which is 15% of $100,000) as per the Division Order. Remember, this is a simplified example. In the real world, calculations might be more complex due to factors like multiple owners, varying royalty rates, taxes, operating costs, etc.
A Division order is an instrument that records an owner's interest in a specific well. It should include the name of the well, the well number, interest type, and your decimal interest.
A division order is a contract between the owner of a royalty or other interest in oil and gas (payee) and the company that will be paying for royalty and other production on its sale (payor).
What is an Indemnifying Division Order? This is a type of Division Order that contains additional language which indemnifies Southwestern Energy, wherein the owner agrees to reimburse any funds paid incorrectly.
