Sec. 53.026. IN KIND ROYALTY. (a) The commissioner or the commissioner acting on behalf of and at the direction of the board or a board for lease may negotiate and execute a contract or any other instrument or agreement necessary to dispose of or enhance their portion of the royalty taken in kind, including contracts for sale, purchase, transportation, or storage.
(b) The commissioner or the commissioner acting on behalf of and at the direction of the board or a board for lease may negotiate and execute a contract or any other instrument or agreement necessary to convert that portion of the royalty taken in kind to other forms of energy, other than electricity.
(c) This section shall not be construed to surrender or in any way affect the right of the state under an existing or future lease to receive monetary royalty from its lessee.
Added by Acts 1993, 73rd Leg., ch. 897, Sec. 52, eff. Sept. 1, 1993. Amended by Acts 1999, 76th Leg., ch. 405, Sec. 50, eff. Sept. 1, 1999.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 53 (H.B. 2263), Sec. 2, eff. May 17, 2019.
Structure Texas Statutes
Subtitle D - Disposition of the Public Domain
Subchapter B. Prospect and Lease on State Land
Section 53.011. Land Subject to Prospect
Section 53.012. Application for Right to Prospect
Section 53.013. Conditions of Permit
Section 53.015. Application for Lease
Section 53.016. Issuance of Lease
Section 53.020. Assignment and Transfer
Section 53.021. Forfeiture of Lease
Section 53.023. Immediate Lease
Section 53.024. Penalty and Interest
Section 53.025. Lease Relinquishment
Section 53.026. In Kind Royalty