I recently asked this question but I was using the wrong term.. The agreement sent to me for review is called a Backbuld. I've not heard the term but it being presented as a servitude agreement to drill under my property to access another section to increase their production.
Does anyone have any objective or subjective pros or cons. On the front end this seems like a not so good a deal for me since there is no mineral interest, royalty, or other incentive except to help the O&G co make alot more.
Any info would be appreciated..cs

Views: 803

Reply to This

Replies to This Discussion

csimmons,

It sounds like your main concern was the fact that a rig would be located close to your home. If that is not the case anymore and there is nothing to 'look at' then why not grant the subsurface 'backbuild'? I may not have a good understanding of the 'backbuild' but it sounds to me like it would be like granting a pipeline right of way. You get paid and you never see anything. Am I wrong in my assumption?
A family friend got an offer of something like $15,000 every 5 years for a wellbore easement back during the days of the wild frenzy. There were some sort of legal hangups about who owned the rights, but they appear to have been cleared up, but the original offer is gone. We'll see if he gets a new offer.

RSS

Support GoHaynesvilleShale.com

Blog Posts

The Lithium Connection to Shale Drilling

Shale drilling and lithium extraction are seemingly distinct activities, but there is a growing connection between the two as the world moves towards cleaner energy solutions. While shale drilling primarily targets…

Continue

Posted by Keith Mauck (Site Publisher) on November 20, 2024 at 12:40

Not a member? Get our email.

Groups



© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service