Freehold Royalty Trust owns one of the largest portfolios of oil and gas royalties in Canada. Our land holdings total 2.4 million gross acres extending from northeastern British Columbia to southern Ontario, the majority of which are royalty lands. We have royalty interests in more than 26,000 wells and receive royalty payments from over 200 industry operators. This diversity lowers our risk, while we benefit from industry drilling activity.
As a royalty interest owner, we do not pay any of the capital costs to drill and equip the wells for production, nor do we incur costs to operate the wells, maintain production, and ultimately restore th land to its original state. The operators pay all of those costs and we simply receive a percentage of the production. Approximately 70% of our production comes from royalty interests.