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Join Date: Jan 2002
Location: Columbia County
Re: Gas and oil lease
investigate whether or not there is a landowner's coalition in the area.
Join them if there is.
Sign-Up bonuses are anywhere from $2000 - $3000 per acre for a 5 year lease (if they don't drill in 5 years, the lease reverts back to you) with the same payout in 5 years.
Royalties should NOT be below 15% (18-20% is your goal)
DO NOT SIGN THE LEASE until you read and understand the lease!
If you don't want them drilling within XXX number of feet from this, that or the other thing, put it in the lease.
TEST YOUR WATER BEFORE YOU SIGN THE LEASE!
Pay the scratch to have it independently tested... I would have 2 tests done by different laboratories.
One thing to consider is attaching a notorized copy of the water test results with the lease, with a clause in the lease that states that any change in water quality will result in X,Y and Z...
Put everything you want in the lease up front... during negotiations, you and the lessee can work on the details.
In an age of universal deceit, telling the truth is a revolutionary act.
<span style="font-style: italic">ixnay on #11534</span>