Home >                  	Term: net profits interest  
net profits interest
A contractual arrangement under which the beneficiary, in exchange for consideration paid, receives a stated percentage of the net profits. That type of arrangement is considered a nonoperating interest, as distinguished from a working interest, because it does not involve the rights and obligations of operating a mineral property (costs of exploration, development, and operation). The net profits interest does not bear any part of net losses.
- Part of Speech: noun
 - Industry/Domain: Energy
 - Category: Coal; Natural gas; Petrol
 - Company: EIA
 
 			0   			 		
 Creator
- Pud6
 - 100% positive feedback