Could I lease half of my minerals in Texas and go Non Consent on the other half? If so, how would I say that in the lease?
You would probably need to split the interest into different names/entities. One could lease, the other non consent.
I would advise against non consent though. The risk penalties are pretty steep. I would try to negotiate a lease for it all. Just my two cents
I’ve heard there is no penalty in Texas
There’s a risk penalty in Texas when MIPA is involved. I’ve seen 200% risk penalties on that.
WOW what a range: 0% in TX, 0% in LA, 200% in TX (pooled), 300% in OK, up to 400% in AR. Any of those could be wrong. Reason have to be careful and seek good advice especailly when working across state lines.
In my experience, if you are pooled in OK and are a royalty owner, but non participating, there is no penalty. Also no penalty for leasing and going non-consent. Where are you getting a 300% number? Is that from an internal agreement for a non-participating working interest partner being carried?
No personal experience in OK, just what I have read on sites like this one. Defer to your OK experiences. Important thing in reply was lot of variation and be careful.
You are off quite a bit on your penalty factors or it may just be how that you have defined it in the case of an unleased mineral owner (UMO). In LA the operator is allowed to recover all drilling, completion and LOE (100% or payout) prior to the UMO receiving revenue in a hybrid WI. TX is essentially a 200% with a few more complications. It is unusual to see an UMO in OK due to the forced pooling statutes. You have to be careful in mixing terms such as non-consent subject to a JOA and non-consent related to an UMO. You are correct that all should fully research their options by consulting industry professionals.
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