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This form is used by the Assignor to transfer, assign, and convey to Assignee an overriding royalty interest in a Lease and all oil, gas and other minerals produced, saved and sold from the Lease and Land.
Yes, owning one can affect taxes since royalty income is generally taxable, so it’s wise to have a tax advisor in your corner to navigate the waters.
They should understand the lease terms, the production potential, and any existing obligations that come with the interest to avoid stepping in a minefield.
Typically, yes! The owner can't give away more than what they hold, and some leases might have restrictions on how many times interests can be assigned.
Usually, it's the working interest owner who takes the lead, but they might consult with legal experts or industry veterans to get it right.
The Stated Percentage refers to the exact portion of the profits that the overriding royalty interest holder is entitled to, so everyone knows their slice of the pie.
A Single Lease means there's just one agreement for a specific oil or gas property, making it simpler to handle assignments since everything's tied to that one lease.
It's when a working interest owner transfers part of their profits from oil or gas production to someone else, without giving up their own rights to extract the resources.
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Columbus Ohio Assignment of Overriding Royalty Interest by Working Interest Owner, Single Lease, Stated Percentage