Lease:

Lawyer Blog: Can a Division Order Modify Lease Provisions?

Writing on his Oil and Gas Lawyer Blog, Austin, Texas attorney John McFarland examines the legal question of whether a division order can modify provisions in an oil and gas lease. More specifically, McFarland cites…

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ROYALTY PAYMENTS

Royalty payments are the share of the production of oil and gas paid to the owner of the minerals (the lessor). Along with the signing bonus, royalty payments are the primary source of income to…

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DIVISION ORDERS

If you have leased your mineral rights and the oil and gas company has drilled a successful well, you will receive another legal document to sign before you start receiving your royalty payments: the division…

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THE LEASE BONUS

The bonus is the cash payment made by the lessee (the oil and gas company) to the lessor (the mineral owner) to obtain the oil and gas lease. The bonus is a negotiable term between…

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NEGOTIATING AN OIL AND GAS LEASE

An oil and gas lease is a negotiable instrument. As noted in the Terms of an Oil and Gas Lease discussion, almost everything is negotiable. There are a number of things you need to understand and…

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TERMS OF AN OIL AND GAS LEASE

There are many terms that can be found in an oil and gas lease. Most of these terms are negotiable to some degree. Below is a summary below of the most common terms found in…

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