Helpful Articles on Oil and Gas Royalties

Oil and Gas Terminology

Chain of Title

A chain of title is the chronological order of successive legal owners of a property - such as mineral interest or the ownership of a home. It often lists the registration particulars of the document by which title is transferred from each owner to his successor in title.


A legal document (similar to a deed) that conveys ownership of real property from one party to another.


A deed is the document that transfers ownership of real property (such as a mineral interest or ownership in a home). It contains the names of the old and new owners and a legal description of the property, and is signed by the person transferring the property. You can't transfer real estate without having something in writing, which is almost always a deed or an assignment.

Royalty Check

Royalty checks normally come monthly, and are determined by the division of interest (i.e. your ownership in a well(s)), the production for the month, oil and gas prices, and operator deductions. It may take several months once a well goes into production for royalty checks to start. Before the oil company will commence payments, it has to establish an owner's division of interest for the owner


A blanchard interest is a unit that has multiple operators. The primary operator pays the royalties and each of the other operators pays an excess royalty to the royalty owner.


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