Every person engaging or continuing within the City in the business of severing oil, natural gas or petroleum products from the strata of the earth, or of operating oil or gas properties, shall use as the measure of the tax imposed by Section 729.02 the value of the entire productions, with no deduction by reason of payments under contracts or agreements requiring payment, either in money or in kind, to the owner of the royalty interest, excess royalty or working interest in such properties, where such payments are made in kind, the market value of the natural resource product or other things so paid, at the time of payment, shall be included in the measure of such tax. Every person who is hereby required to pay such tax measured by the entire production of the property operated, is hereby authorized and empowered to deduct from any payment, in money or in kind, to the owners of any royalty interest, excess royalty or working interest in such properties, that proportion of the tax paid which the royalty, excess royalty or working interest bears to the entire production; and there is hereby levied upon such royalty interest, excess royalty or working interest, such proportionate part of the tax imposed by Section 729.02. The exemption of five thousand dollars ($5,000) granted to producers of natural gas, by Section 729.02 shall be for the benefit of the owner of such royalty interest, excess royalty or working interest in the same proportion which royalty interest, excess royalty or working interest bears to the entire production, and the balance of the exemption shall be for the benefit of the person operating such properties. (1978 Code Sec. 9-12.)