Replies to This Discussion

Permalink Reply by The_Baron on September 10, 2009 at 9:57

I don't think that would apply. Is your attourney experienced in the LA mineral code?

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Permalink Reply by The_Baron on September 10, 2009 at 9:58

A lease is not creating a servitude.

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Permalink Reply by Cooter on September 11, 2009 at 4:58

so, withstanding what Dion says below, a servitude can never be created in an O&G lease?

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Permalink Reply by Dion Warr, CPL on September 10, 2009 at 17:45

Cooter:

Reread the bottom half of the first clause. The rights granted are conditional upon use without the passage of a sufficient lapse of operations or production (stated here to be no more than 180 days). This limits the rights of the personal servitude, thus no 'ten-year duration' problem. Further, there is no qualification that the rights conveyed in the first paragraph will survive the lease.

You may wish to limit that the surface and access rights as to time and extent depending upon your tolerance of lessee's use of same. How long, how far, and to what extent should all be considered in your negotiation.

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Permalink Reply by Bobi Carr ("parker") on September 11, 2009 at 3:56

Dion,

The lease could be for 10 years. Twin Cities is getting an unbelievable amount of people to sign 10 year leases.

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Permalink Reply by Cooter on September 11, 2009 at 4:58

3 year lease

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Permalink Reply by Dion Warr, CPL on September 11, 2009 at 17:05

Parker:

Hopefully no one that has followed this site would sign a lease for ten years. Even if broken up as a 5+5 deal. Five years is the "long" standard for primary terms in this area (straight 5, or even as 3+2)

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Permalink Reply by Mac Davis on September 10, 2009 at 9:13

Do they even need surface access to your land? Consider not giving them ANY surface access rights at all, or requiring that surface rights be negotiated separately. Depending on how much land you have, where it is in the section, where the roads are, and whether your neighbors have granted unlimited surface access, they may not squawk at all.

Several people in my neighborhood got "no surface access" restrictions in their leases when they asked.

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Permalink Reply by Randy on September 11, 2009 at 4:20

If we are talking about 300 acres then I doubt any company will accept no surface. Although it never hurts to ask. He may be able to negotiation 2 or 3 specific places where he would accept a well site on his property in advance though. Or specify certain areas (on a plat) where no surface rights were granted.

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Permalink Reply by Bobi Carr ("parker") on September 11, 2009 at 4:34

My lease was for close to 300 acres and I received a no surface.

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Permalink Reply by Bobi Carr ("parker") on September 11, 2009 at 4:38

I don't see anything that says he has 300 acres, but if he does, I just wouldn't go it alone.

I would hire a good consultant or oil and gas attorney.

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Permalink Reply by Cooter on September 11, 2009 at 4:57

it is close to 300

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