Calculate the NRI of each investor

Reference no: EM132199737

Question - An Oil Company A acquires an oil and gas lease from a landowner. The mineral deed shows the landowner will be entitled to royalty interest of 1/8th. The geologist who found the area retains an ORRI of 1.5%. Assuming the company shares the working interest with three other investors as follows, calculate the NRI of each investor assuming the same LORI and ORRI are applicable.

Investors	WI Share, %
Oil Company A	50%
Oil Company B	25%
Gas Producer C	15%
Oil and Gas Company D	10%

Reference no: EM132199737

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