NON-OPERATING INTEREST definition
NON-OPERATING INTEREST means an interest in oil and gas property that does not entitle its holder(s) to participate in decisions concerning the testing, drilling, completion, operation or abandonment of the property and all such decisions are controlled by the holder(s) of the Working Interest in such property. Non-Operating Interests include Royalty Interests, Overriding Royalty Interests, Net Profits Interests, and Production Payments, as well as oil payments, calls on production and other miscellaneous interests similar to the foregoing. It would not include Working Interests or Mineral Interests not subject to an oil and gas lease since these interests bear a share of the cost and risk of testing, drilling, completing, operating and abandoning of the property.