دیکشنری تخصصی مهندسی نفت - نسخه آنلاین

n: an estimate of costs prepared by a lease operator and sent to each non operator with a working interest for approval before work is under taken. Normally used in connection with well-drilling operations.

n: A document signed by management that authorizes funds to be spent against an approved budget.

n: an option right reserved by the granting company of a farmout to convert an overriding royalty to a working interest once the conditions for such back-in have been met. Compare election at casing point.

n: an interest in oil and gas properties that belongs, for example, to a working interest owner or unleased landowner who agrees to a joint operation without being willing to pay a share of the costs of the operation. An interest may be carried until the well pays out, at which point it may stop or may continue for the life of production. Stated another way, an agreement between two or more working interests whereby one party (the carried party) does not share in lease revenue until a certain amount of money has been recovered by the other party (the carrying party). The carrying party pays costs applicable to the carried partys interests in the property and is reimbursed out of the revenue applicable to the carried partys interest.

a fractional working interest in an oil and gas lease that arises from a deal between co-owners.

n: an interest in oil and gas created out of a greater interest and assigned by the owner. Examples are the grant of an overriding royalty interest out of a working interest and the grant of an oil payment out of a working interest.

carried working interest.

n: a reduction in US taxes for owners of an economic interest in minerals in place to compensate for the exhaustion of an irreplaceable capital asset. This economic interest includes mineral interest, working interest in a lease, royalty, overriding royalty, production payment interest, and net profits interest.

n: a statement of opinion by a title examiner on the state of the title to land, mineral, royalty, or working interests in a producing tract of land. This opinion, usually in letter form, is the basis of payment to all affected owners and must recite all the owners interests. Com- pare drill site opinion. title opinion.

n: an agreement identical to a farmout, with the operator as the third party. The operator takes the farm-in. See farmout.

an outside party paying a concession owner all or a percentage of the drilling costs of a well in order to obtain a working interest in the land or well.

n: an agreement whereby the owner of a lease who does not wish to drill at the time agrees to assign the leasehold interest, or some part of it, to a third party who does wish to drill, conditional on the third partys drilling a well within the expiration date of the primary term of the lease. The assignment may include the entire interest together with dry hole money, or partial interest or entire interest with or without an override. If an override is retained, the owner of the lease may retain an option to convert such overriding royalty retained to an agreed-upon working interest. A farmout is distinguished from a joint operating agreement by the fact that the partner farming out does not incur any of the drilling costs. The primary characteristic of a farmout is the obligation of the third party to drill one or more wells on the farmout acreage as a condition prerequisite to completion of the transfer of title to such third party.

n: a workinginterest owners total ownership in production, before deduction of related royalty, overriding royalty, or production payment interests.