4.014 Protective Lease on Open Fractional Interet

Top  Previous  Next

Requirement 4.014

    Protective Lease On Open Fractional Interest

 

 Protective Lease On Open Fractional Interest. James Bowie acquired record title to Tract 1 on September 14, 1965, and has never alienated any portion of that title.  Your lease from him, however, specifically covers only an undivided one-half interest in the mineral estate underlying Tract 1.  We recommend that you amend your lease from James Bowie to include the entire mineral estate underlying Tract 1.

 Requirement: Amend your  oil, gas, and mineral lease from James Bowie to cover the entire mineral estate in Tract 1.  Alternatively:  (i) accept the one-half open interest of James Bowie in Tract 1,  and (ii) qualify your affidavit of ownership and control on Form OGB-2 that you submit to the Alabama Oil and Gas Board pursuant to Rule 400-1-2-.01(2)(c) as part of your application for a drilling permit to show the one-half open interest of James Bowie in Tract 1.

Copyright 2011 by Edward G, Hawkins. All rights reserved.