Landowners' viewpoints in right-of-way and oil and gas leasing

Conference · Wed Jan 01 04:00:00 EST 1986

OSTI ID:5598303

Nordling, B E

Several problems can arise between landowners and oil and gas leaseholders; however, clarification and expansion of the lease terms can mitigate these problems and help protect both parties. One important fact to remember during lease transactions is that every provision in an oil and gas lease is negotiable - that is, a standard lease form does not exist. Once the lease has been negotiated, both parties should make the discovery and production of oil and gas their primary interest; often, however, the commencement of drilling operations changes the landowner/leaseholder relationship and gives rise to misunderstandings. From the landowner's viewpoint, some of the rights and privileges given to the leaseholder in the granting clause are unnecessary, outdated, or too broad in scope. One of the most troublesome areas is the location of the well. Another potential problem is the settlement of damages caused by the well itself or by the use of access roads; usually, the leaseholder pays for surface damages to reimburse the landowner for lost crop production. Most well operators restore the surface to good condition. Electric-line and gas-gathering-line easements create numerous legal problems.

• OSTI ID: 5598303
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020300 -- Petroleum-- Drilling & Production
03 NATURAL GAS
030300* -- Natural Gas-- Drilling
Production
& Processing
DRILLING
GEOLOGIC DEPOSITS
LAND OWNERSHIP
LAND USE
LEASES
LEASING
LIABILITIES
MINERAL RESOURCES
NATURAL GAS DEPOSITS
NATURAL GAS FIELDS
NATURAL GAS WELLS
OIL FIELDS
OIL WELLS
OWNERSHIP
PETROLEUM DEPOSITS
RESOURCES
RIGHTS-OF-WAY
WELL DRILLING
WELLS