Back in

{
  "id": "MLC-T-OAG-000237",
  "term": "Back in",
  "field": "Oil and gas",
  "definitions": [
    "A contractual right held by a grantor, such as a landowner or original leaseholder, to regain a percentage of working interest in a well or property after certain conditions are met. This right is often triggered when the grantee has recovered all drilling and completion costs. The back-in clause specifies the exact percentage and the conditions for its activation.",
    "A contractual provision that allows a party, usually the grantor of a farmout agreement, to convert a non-operating interest into a working interest after the grantee has achieved a specified level of production or cost recovery. This right enables the original owner to participate in the operational aspects and share in the revenues once the initial risks and costs have been borne by another party. The terms of the back-in are negotiated and specified in the farmout agreement."
  ],
  "subject": "Oil and Gas Business",
  "url": "https://mlchart.com/terminology/oil-and-gas/back-in/"
}