Considerations for Addressing Royal Frustration Over Royalties
- February 18, 2014 | By Alan D. Wenger | Oil & Gas
Prompted by the flowery prognostications of oil company landmen, many Northeastern Ohio property owners hastened to lease their acres for horizontal shale drilling, with visions of fat royalty checks to come. Now, with a few new wells coming online (mostly…
Landowners With Unit Size Limits in Leases Should Resist Lessee Moves for Larger Units
- January 17, 2014 | By Alan D. Wenger | Oil & Gas
A troubling development in Ohio's oil and gas drilling craze is the pursuit by energy companies of regulatory orders that could undermine the existing lease rights of landowners. Although the Ohio Department of Natural Resources has not yet approved any…
Landowners Should Challenge Threats of Eminent Domain For Pipeline Easements
- June 27, 2013 | By Alan D. Wenger | Oil & Gas
Landmen unfortunately sometimes resort to veiled or explicit threats to landowners regarding pipeline easements. They may something like, “If you won't work with us we can just take an easement by eminent domain.” This is probably not true. Eminent domain…
New Ohio Rules on Forced Unitization Require More Documentation, Specifics
- June 17, 2013 | By Alan D. Wenger | Oil & Gas
New Ohio rules governing the complicated practice of unitization in the development of oil and gas resources will force energy companies to provide more notice and documentation and to negotiate in good faith as they pursue larger units. These rules,…
Unit Size Amendments: Watch Out for Brokers Asking You to Assign Lease Rights
- April 14, 2013 | By Alan D. Wenger | Oil & Gas
We are hearing of at least one broker soliciting area lessors who have “held by production” leases, touting a negotiating group forming to seek better lessor financial terms in return for allowing the lessee larger unit sizes. The broker is…
Doing Business with Oil & Gas Companies Requires Close Scrutiny and Caution
- July 3, 2012 | By Martin J. Boetcher | Business & Employment, Oil & Gas
The rise of oil & gas exploration activity in the northeastern Ohio has created business opportunities for many local companies. Making the most of those opportunities requires caution with respect to the contracts that govern business relationships with the large…
Seismic Testing: Know Your Rights Around the ‘Big Bang’
- April 23, 2012 | By Alan D. Wenger | Oil & Gas
Many landowners have become familiar with seismic testing contractors who ask landowners to sign form permits allowing access to conduct sophisticated tests to map shale layers. Testing can involve explosive charges set off in shallow bore holes and compressive “thumper…
Who Does Your Oil & Gas Lease Consultant Work For?
- October 6, 2011 | By Alan D. Wenger | Oil & Gas
With the explosion of oil and gas leasing and the escalating bonus payments and royalty percentages has come a proliferation of consultant-types who appeal to landowners, sometimes promising attractive leases and big money with very low fees to the landowner….
Landowner Protections in Pipeline Easements
- July 5, 2011 | By Alan D. Wenger | Oil & Gas
With expected increased shale drilling come offers for pipeline easements. Pipelines are used for transporting well products, as well as potentially other drilling fluids. The typical industry right of way or easement document is slanted in favor of the grantee…
Beware of Buyers of Mineral Rights; Purchase Offers May Bring Major Risks
- June 7, 2011 | By Alan D. Wenger | Oil & Gas
There are companies going around offering to purchase mineral rights from landowners who may already have an existing oil and gas lease on their property. For a property owner stuck with an older oil and gas lease that predated the…