DIVISION OF INTEREST AND OWNERSHIP

     The Division of Interest (DOI) is a document used to define the terms of joint ownership, responsibilities, and rewards for oil and gas assets that are being split between parties. The agreement will specify which parties will pay for costs and who is entitled to receive the contents produced. Often times, the asset will produce a mix of different hydrocarbons. The division of interest, also know as a division order, will define which parties get each hydrocarbon and in what amount.

     It is common for an asset, such as an oil well or a lease, to have multiple owners. Some assets have hundreds of parties included in the ownership group. The Division Order insures that each party is accounted for, in writing. The share of production costs and the share of the hydrocarbons produced will be clearly stated in the agreement, prior to the well being completed and moving into production.

     Reeves Land Services has helped establish the Division of Interest used for several assets currently in production. If you’d would like to learn more about how Reeves Land Services can help you create your division of interest, call today at 713-907-1939.

LOCATIONS

SOUTH TEXAS LANDMAN

WEST TEXAS LANDMAN

EAST TEXAS LANDMAN

CENTRAL TEXAS LANDMAN