Operator pencils on the algebra of densities

We continue to study equivariant pencil liftings and differential operators on the algebra of densities. We emphasize the role played by the geometry of the extended manifold where the algebra of densities is a special class of functions. Firstly we consider basic examples. We give a projective line of diff(M)-equivariant pencil liftings for first order operators and describe the canonical second order self-adjoint lifting. Secondly we study pencil liftings equivariant with respect to volume preserving transformations. This helps to understand the role of self-adjointness for the canonical pencils. Then we introduce the Duval-Lecomte-Ovsienko (DLO) pencil lifting which is derived from the full symbol calculus of projective quantisation. We use the DLO pencil lifting to describe all regular proj-equivariant pencil liftings. In particular, the comparison of these pencils with the canonical pencil for second order operators leads to objects related to the Schwarzian.