The term "State concerned" refers to a state that receives a share of royalties or other payments from mineral leases under the mineral leasing laws. This designation is important for understanding how states benefit financially from mineral extraction activities conducted within their borders.
This term is commonly used in the context of mineral leasing, particularly in relation to oil and gas royalties. It plays a significant role in legal practices involving mineral rights, property law, and revenue-sharing agreements between state governments and private entities. Users may need to complete specific forms related to mineral leasing, which can be managed using templates provided by US Legal Forms.
Here are a couple of examples of abatement:
For instance, if a company holds a mineral lease in Texas and extracts oil, Texas would be the "State concerned" as it receives a portion of the royalties from that lease. Another example (hypothetical) could involve a state negotiating a new lease agreement that alters the percentage of royalties received, impacting its revenue from mineral extraction.
Key legislation includes:
| State | Royalties Percentage | Notes |
|---|---|---|
| Texas | 25% | Standard royalty rate for oil and gas leases. |
| California | Various | Negotiated rates depending on lease agreements. |
| Alaska | 16.67% | Standard rate for state-managed leases. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Difference |
|---|---|---|
| Mineral Rights | The ownership of the minerals beneath the surface of a property. | Mineral rights refer to ownership, while "State concerned" refers to revenue-sharing from leases. |
| Royalty | A payment made to the owner of mineral rights based on the production of resources. | Royalties are payments, while "State concerned" identifies the state receiving those payments. |
If you are involved in a mineral lease or are a state entity receiving royalties, consider the following steps:
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It refers to a state that receives royalties from mineral leases.