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The main risks include fluctuations in oil and gas prices and the potential for the lease to become non-producing. It’s like riding a roller coaster—there are highs and lows, and you have to hold on tight!
Yes, you can sell your Overriding Royalty Interest later if you choose. It’s like having a valuable collectible—it can be traded or passed along, depending on the market conditions!
Having rights to pool reserves means you can combine resources from multiple leases to maximize production and profits. It’s like gathering all your friends for a potluck—you all bring a dish to share for a bigger feast!
Reserves refer to the amount of oil or gas that’s estimated to be recoverable from the ground. Think of it as your hidden treasure—it's the potential wealth buried beneath the surface!
A Single Lease refers to a contract covering just one piece of land or property for exploration and production. It’s like having just one key for one special door—no other leases are involved.
Producing Lease is a lease on a property that currently doesn't produce oil or gas. Think of it like a barren land waiting for a rain shower to bring lifeit has potential, but it’s not yielding anything at the moment.
An Assignment of Overriding Royalty Interest is a legal arrangement where one party obtains a percentage of the production from oil and gas wells without owning the actual property. It’s like getting a slice of the pie without having to bake it!
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Chandler Arizona Assignment of Overriding Royalty Interest (Non-Producing, Single Lease, Reserves Right to Pool)