I have a working interest in numerous gas wells in KS. How would I go about getting them switched to a Royalty Interest? If even posisible.
Its possible but define what you mean/interpret a royalty interest to be.
Are your working interests a result of you owning minerals that you participated with or the result of ownership in oil & gas leases? 2 very different things.
I have a 8% ownership in these wells. I want to take it from a WI where I pay my share of the expenses to just a plain ole RI.
I have a 8% ownership in the wells.
It suggests your mineral interest is participated…which means you are partner in the wells by virtue of not having executed an oil and gas lease for your interest. I would guess the operator would convert that to royalty participation if you were to execute a lease for your interest.
The question is still , how did your working interest come about? Did you receive a Mineral Deed or Assignment of Oil & Gas Lesses?
It looks like by assignment of lease
Then no, you can’t turn your working interest to a mineral interest.
Well you can offer to assign/sell the lease to somebody else (like the operator) and keep an ORRI. That could theoretically get you some upfront money and then a very small royalty interest.
I mean you cannot EVER just convert a X% WI into an X% RI. I mean I guess you could but whoever is on the other side of that trade just offered to pay all your bills and get no revenue. Which doesn’t work unless you are extremely attractive.
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Well I am very attractive to the right woman:). Thanks
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