We will review the landowner`s concerns and order the company to comply if it does not comply with the agreement. But what if you have already signed an oil lease contract and wasted on surface rights and the compatriot knocks on the door again? It all depends on the specific wording of your lease agreement and what the oil and gas company is looking for. Whatever the situation, your signature on their documents is always valuable and you should be compensated accordingly without renouncing any other rights. […] , exploitation must be approached from a legal point of view, the purchase, lease or transfer of a surface right over the country in which the project … Landowners who are parties to a surface lease agreement or a surface rights board provision have the right to have the amount of compensation to be paid by the oil company verified every five years. If the property owners contact us, we compare the existing rent with the current amount of the annual indemnity. We are looking at land problems that may have developed. We have people who are able to visit the country and advise on the next steps in the rent verification process. Often, landowners are asked to sign a contract at the first meeting.
In this situation, there is no obligation to sign documents. We recommend that these agreements be reviewed and negotiated in depth. Currently, the lease is the most common agreement between the project proponent and the landowner. However, in the case of a long-term contract – usually between 25 and 40 years, due to the long-term profitability of most renewable energy projects – this raises many concerns that need to be clearly clarified in the clauses. You signed your oil and gas lease agreement and the company paid you your premium. It`s great! All that`s left to do is sit back and wait for the company to drill through so you can receive royalties, right? For the most part, that`s it. But for you, that`s not the case. Years later, a compatriot from the oil and gas company knocks on your door to ask you to sign a surface use agreement that will allow them to build a wellpad on your farm. .