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.
Utah Shut-In Gas Royalty
Category:
State:
Multi-State
Control #:
US-OG-824
Format:
Word;
Rich Text
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How to fill out Shut-In Gas Royalty?
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FAQ
Using data from the U.S. Energy Information Administration researchers found that out of all U.S. states with at least one million barrels, Utah has the 12th most crude oil proved reserves. Utah has 275 million barrels of crude oil proved reserves, with five operating refineries.
Utah produces oil from eight major ?plays? within these provinces, where a play is defined by the U.S. Geological Survey as a set of known or postulated oil accumulations sharing similar geologic, geographic, and temporal properties such as hydrocarbon-generating source rocks, oil migration pathways, trapping ...
Petroleum is found in underground pockets called reservoirs. Deep beneath the Earth, pressure is extremely high. Petroleum slowly seeps out toward the surface, where there is lower pressure. It continues this movement from high to low pressure until it encounters a layer of rock that is impermeable.
Utah's natural gas fuels not only homes and businesses in Utah; it also is used by surrounding states. Utah also produces a significant amount of crude oil, primarily from the Uintah Basin in the eastern part of the state.
Texas is by far the largest oil-producing state in the United States.
A clause in an oil & gas lease that allows a lessee to keep the lease in effect past the primary term by substituting payment of shut-in royalty for actual production.
Utah accounts for 15 of every 100 barrels of crude oil produced in the Rocky Mountain region. The state's five oil refineries, all located in the Salt Lake City area, can process about 206,000 barrels of crude oil per calendar day.