There are a number of words in oil and gas leases that may adversely affect a Landowner’s pocketbook or land.
We list many of those key words below with an indication of where these words might appear in an oil and gas lease.
- Standard Lease (“Landman talk”)
- Non-hydrocarbons (Granting clause)
- “Water” (Granting clause or anywhere in lease)
- Facilities/Structures/Buildings (Granting clause or anywhere in lease)
- Operations (Granting and/or Term clause)
- Disposal or Injection (Granting or separate clause)
- Gas Storage (Granting clause or anywhere in lease)
- “Neighboring lands” (Granting clause)
- Capable of Production (Term clause)
- “Other payments are made” (Term clause)
- Net Royalty (Royalty clause)
- Non-contiguous Land (Pooling clause)
- Pool Before or After Drilling/Reform/ Enlarge (Pooling clause)
- No Implied Covenants (Separate clause or hidden)
- Notice (Separate paragraph)
- “Commence” (Notice clause and anywhere)
- “Force Majeure” (Separate clause)
- “No Forfeiture or Termination” (Separate clause and anywhere)
- “Option” or “Renewal” (Separate paragraph or hidden)
- Arbitration (Separate paragraph)
- Payments suspended (Lien clause or hidden)
