---
title: "Draft or review a royalty, streaming or offtake agreement"
url: "https://ailawframework.com/practice/energy-resources-and-mining/draft-or-review-a-royalty-streaming-or-offtake-agreement"
type: "task"
site: "AI Law Framework"
id: "A13-T1-R7"
practice_area: "Energy, Resources & Mining"
tier: "yellow"
lawyer_review: "required"
last_reviewed: "2026-10-22"
---

# Draft or review a royalty, streaming or offtake agreement

> Extract payment mechanics, delivery, quality, audit and change-of-control into an issues table, or draft first-pass clauses from the term sheet.

Canonical page: https://ailawframework.com/practice/energy-resources-and-mining/draft-or-review-a-royalty-streaming-or-offtake-agreement  
Last reviewed: 2026-10-22

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Energy, Resources & Mining](https://ailawframework.com/practice/energy-resources-and-mining.md) |
| Human involvement | Yellow: Lawyer and AI draft together |
| How AI is used | Extract payment mechanics, delivery, quality, audit and change-of-control into an issues table, or draft first-pass clauses from the term sheet. |
| What the lawyer must review | Check payment waterfalls and audit rights match the commercial deal Check security over the royalty if instructed |
| Written for / versions | 1 jurisdiction versions below |

## Checking plan

**Lawyer review required**

The responsible lawyer reviews the work against the instructions, sources and intended use.

- What the AI does: Potential support includes preparing preliminary structure or wording and identifying points for review. Confirm the tool’s capability and permitted scope.
- What the lawyer does: Set the scope, verify the evidence, resolve exceptions and approve the final output for its intended use.
- Who reviews: Responsible lawyer with competence in the matter
- Basis: Suggested checking approach based on the task guidance. Complete the assessment for the actual tool, information and jurisdiction.
- Why: The plan reflects the described work and review requirements. Policy colours are not used to determine permission or checking.

## Checks the lawyer makes

1. Trace every relied-on figure to its source, confirm dates and assumptions, and independently recalculate totals or derived amounts.
2. Review operative clauses in the complete document, including definitions, cross-references, schedules and inconsistencies with the instructions.
3. Obtain and inspect the relevant current official register or search result. Confirm identities, interests and the date and scope of the search.
4. Review the original source set for relevant material absent from the output, including contrary evidence, qualifications and unresolved gaps.
5. Verify the applicable jurisdiction and the version of each relevant law, rule or instrument in force at the material time.
6. Confirm the output against the client’s instructions and the complete relevant source material, including omissions or contradictions.
7. Resolve exceptions and record the responsible lawyer’s approval of the exact output and intended use.

## Notes

- Confirm the required checking with the responsible lawyer before work starts. The checking approach does not establish permission to use AI.

## Forms and precedents for this task

| Form or precedent | Kind | AI level | Summary |
| --- | --- | --- | --- |
| [US power purchase agreement term sheet](https://ailawframework.com/precedents/energy-resources-and-mining/us-ppa-term-sheet.md) | Letter | Yellow | Term sheet for a bilateral sale of electric energy. Price, volume and credit stay blank.… |
| [US power purchase conditions checklist](https://ailawframework.com/precedents/energy-resources-and-mining/us-ppa-conditions-checklist.md) | Checklist | Yellow | Conditions checklist for a power sale, covering credit support, permits and interconnection as commercial items, and asking the lawyer whether a Commission filing is required.… |
| [Qualifying facility question list under PURPA](https://ailawframework.com/precedents/energy-resources-and-mining/us-qualifying-facility-questions.md) | Checklist | Yellow | Questions drawn from the parts of 16 U.S.C. § 824a-3 that were read, including the incremental-cost limit. The list does not decide qualifying-facility status or a purchase obligation. |

Signed-in accounts can read the full text of each one.

## Jurisdiction versions

| Jurisdiction | Level |
| --- | --- |
| [United States](https://ailawframework.com/practice/energy-resources-and-mining/draft-or-review-a-royalty-streaming-or-offtake-agreement/united-states.md) | Yellow |

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*
