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Like any investment, there are some risks involved, mainly that the lease may not produce, but if it does, the payouts can be quite rewarding!
Yes, the right to pool means that the royalty interest can be combined with other leases, potentially increasing the overall production and profits for the holders.
Reserves are the estimated quantities of oil or gas that are recoverable and are crucial because they help determine how valuable the overriding royalty interest might be.
A 'single lease' refers to one specific lease agreement for oil or gas rights, as opposed to multiple leases. It keeps things simple and focused.
In a non-producing lease, even though there isn’t any current production, the overriding royalty interest can still be assigned, giving the holder the right to share in future profits if production starts.
An Assignment of Overriding Royalty Interest is basically a way for one party to grant another party a share of the oil or gas profits from a lease, without having ownership in the lease itself.
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Mesa Arizona Assignment of Overriding Royalty Interest (Non-Producing, Single Lease, Reserves Right to Pool)