TCU Energy Institute/PPDC - Royalty Owner Program Class - Take all 3 classes (discounted rate)
COURSE 1: THE FOUNDATION OF ENERGY LAW IN TEXAS
Establishing a Good Foundation - Acquisition of your mineral estate, establishing what mineral properties you own, what you need to acquire including mineral files and the contents, origination documents, and other necessary records. We will consider the importance of a good records system, preparation of mineral files, and development of forms and exhibits to avoid problems in the future.
Basic Energy Law - Energy law in Texas has a long history of development in the form of common law and statutory law. Royalty owners (Lessors) must have a basic understanding of how the legal system works and what their rights and responsibilities are. We will discuss the mineral estate and its dominance over the surface estate, the basic tenants of energy law, conveyance of minerals, types of mineral interests, title issues, and the relationship between Lessors and Lessees.
COURSE 2: LEASING THE MINERAL ESTATE
Negotiating a Good Lease - The lease agreement is the most important document that the mineral owner (lessor) will sign since it specifies the actual terms and conditions that will govern the relationship with the lessee. We will review the terms of the lease, what is adverse to the Lessor and what clauses the Lessor wants in a lease agreement. We will review the rights and responsibilities of the lessor and the lessee, who is entitled by law to sign a lease, legal requirements of a valid lease, implied covenants of the lease, clauses & terms that are favorable to lessees, surface agreements, water rights, pooling, and how to negotiate a good lease agreement. We will learn what the lessor must know to communicate with the lessee. A "level playing field" makes it much easier and beneficial for the lessor.
The Unleased Mineral Estate -Various alternatives are reviewed in dealing with unleased minerals. The unleased mineral estate, frequently a non-producing asset, can be turned into an income producer.
COURSE 3: CRITICAL ISSUES AFTER PRODUCTION BEGINS
Division Orders & Post Lease Requirements – Once production of oil & gas has commenced, the division order specifies the proportion of the proceeds that the royalty owner is entitled to receive. In most cases, the operator will make this determination based on the title work that he has done. The royalty owner will be able to verify that he is receiving the correct royalty payment based on the terms specified in the lease by learning exactly how royalty interests are calculated. Both division orders and transfer orders will be reviewed.
Payment Review & Production Verification – Payor statements, production data reports, and other information will be reviewed to ensure that mineral owners are receiving correct royalty payments. We will examine several alternatives to gather and collect information from production payments to examine readily available reports on various wells and mineral properties.
Eminent Domain & Pipelines – Every oil and gas well must have a distribution outlet to get the product from the wellhead to the marketplace, including pipelines, rail, and truck routes. The locations of these distribution systems can be controversial and disruptive to the royalty owner unless they are planned for in advance. We will discuss who decides on the locations of pipelines and truck routes, eminent domain and condemnation proceedings, pooling agreements, and how best to avoid disputes and legal proceedings.
Accounting & Taxation – Royalty owners must be aware of the importance of having a personal accounting system that provides the records necessary for preparing tax returns and paying taxes that are due on royalty income. These recordkeeping systems will make your CPA's life easier, save you time and money, and prepare you to deal with the taxes that are due on royalty income, including federal income, severance, and ad valorem taxes. What should be reviewed when you receive your Ad Valorem tax statement regarding your minerals. We will learn what to do to insure that you are receiving the production payments you should receive.
Estate Planning – Most large royalty owners should engage in estate planning to make sure that their mineral interests are protected and passed on to their heirs in accordance with their wishes. Inheritance taxes can take a significant portion of the value of an estate if proper planning is not done in advance. These laws and regulations are complex and confusing to the typical royalty owner. We will consider wills, trusts, LLC's, LP's, gifting and conveyance to heirs in advance of death.
George H. Wilson, II is founder and principal of Wilson Consulting, a privately-held business enterprise devoted to the education of and issues concerning independent royalty owners. He advises clients on all aspects of minerals management and negotiations and is recognized in Texas, Oklahoma and Colorado for his work as an advocate for fair and equitable leasing practices. George serves as the TCU Energy Institute Legal Scholar in Minerals Management and teaches regularly in Royalty Owner Programs.
George received his Doctorate of Jurisprudence Degree from the University of Tulsa and began his private law practice in Oklahoma in the early 1970s. He was admitted to the Federal U.S. District Court for the Western District of Oklahoma and to the 10th Circuit of the United States Court of Appeals during his time there. In 1981, he was appointed to the office of United States Magistrate in the Western District of Oklahoma and became a City Judge in 1991. George's law practice has spanned 30 years and throughout his career he has provided leadership and counsel in many aspects of law related to the oil and gas industry.
An active leader in the National Association of Royalty Owners (NARO), George has served on the NARO Board of Directors, was Vice-President of the national organization, and led the NARO Ethics Committee. He has been named to the Board of Directors of both Oklahoma NARO and NARO Texas and is a frequent contributor to the organization's publication, ROAR.
A Certified Minerals Manager, George is a frequent speaker in cities across the U.S. on topics of importance to royalty owners. Known for his high energy and entertaining style, George educates land owners in all aspects of the management and leasing process including "Techniques of Minerals Management," "Leasing: How to Mine the Underground," "Leasing Clauses and Other Protection," "Dealing and Negotiating with the Landman," "Surface Damages: Know Your Rights," and more.
George lives in Dallas, TX, where he maintains his consulting and management practice.
|G090133Q||Mar 24 - 26||8:30 am - 4:30 pm|
|Midland College PPDC Building|
|Registered: 1||21.0 Hours|