QUESTIONS ABOUT MINERAL LEASE AGREEMENTS
Can anyone tell me, hypothetically, if a well written cost-free agreement includes severance tax or excludes severance tax for the individual mineral rights owner?
Second question, these cost-free "confidential" pro quid pro agreements between operators and operating interest entities, do they agree to charge, say, a flat percentage of the gross revenue for severance tax to lend legitimacy to the expenses the operating interest charges to their lessees?
Views: 211
Replies to This Discussion
-
Permalink Reply by Skip Peel - Mineral Consultant on -
My O&G law firm has a page and one half no cost royalty clause for their custom leases and even it can't relieve a mineral lessor from paying their proportional share of severance tax. Severance tax rates are set by the state, not by the operator or Working Interest owners. All parties pay their share.
Support GoHaynesvilleShale.com
Top Content
Blog Posts
The Lithium Connection to Shale Drilling
Shale drilling and lithium extraction are seemingly distinct activities, but there is a growing connection between the two as the world moves towards cleaner energy solutions. While shale drilling primarily targets…
ContinuePosted by Keith Mauck (Site Publisher) on November 20, 2024 at 12:40
Not a member? Get our email.
Groups
-
Fayetteville Shale
150 members
-
Natchitoches Parish
400 members
-
North Caddo Parish
358 members
-
Harrison County
166 members
-
Franklin County, Texas
9 members
-
Cass County, TX
120 members
-
Rusk County
97 members
-
Livingston Parish, LA
34 members
-
San Augustine, TX
386 members
-
Miller County, Arkansas
27 members
© 2025 Created by Keith Mauck (Site Publisher).
Powered by
