It is recognized and ordained that the landowners of the city in the absence of their own contractual agreement of conveyance to the contrary have the following estates in and to the land: An expense-bearing seven-eighths (7/8) working interest, or "leasehold estate" and a free royalty interest, equivalent to one-eighth (1/8) of all minerals produced, saved and sold from his land, free of cost. In the absence of conveyance or contract to the contrary, the landowner shall always have and be entitled to a free royalty of 1/8 of the minerals produced and saved from the drilling block in proportion that the surface area owned by the landowner bears to the total surface area in the drilling block.
(Ord. 39817, passed 10-2-79)