4.014 Protective Lease on Open Fractional Interet
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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.