Terminology in Gas and Oil Leases – Do You Know What it Means?

Do you know the difference between a production royalty and shut-in royalty? How long can a shut-in royalty cause your interests to be held by production? What is held by production? How does the Rule of Capture affect your mineral interests? Does West Virginia apply the Rule of Capture or the Ownership in Place Rule? Should you have a Pugh Clause in your mineral lease? Is there a difference between a horizontal Pugh and a vertical Pugh? How does a lease move from a primary term to a secondary term? How long is the secondary term? How do post-production costs impact royalty payments? When a lease moves to secondary term does the lessee still have a leasehold interest or is it a fee simple determinable? What is a fee simple determinable? Does the latin phrase cuius est solum, eius est usque ad coelum et ad inferos have anything to do with my oil and gas lease?

If you do not know the answers to these and a myriad of related questions and complex terms of art in the gas and oil industry are you well equipped to negotiate a lease of your extremely valuable gas and oil interests with a complex lease filled with hyper-technical terms?

On way too many occasions the Lawyers at Kahle Law Office are questioned by mineral interest holders as to why their friends and neighbors are receiving delay rental bonuses and royalties far in excess of those they are receiving. When questioned as to whether they retained a knowledgeable gas and oil attorney to negotiate, or at least look over their proposed lease the answer is universally NO.

The gas and oil leases for horizontal fracturing could last for decades and perhaps over a hundred years. If you sign such a lease without knowing what it is that you signed, not only could you be cheating yourself of due compensation – but your children, their children, etc.

IF YOU HIRE KAHLE LAW OFFICE TO NEGOTIATE YOUR GAS AND OIL LEASE AND WE DO NOT OBTAIN BETTER TERMS THAN THOSE ORIGINALLY OFFERED WE WILL CHARGE YOU NO MONEY AT ALL.

What do you have to lose? Call Kahle Law Office and ask for Gail to negotiate you mineral interest lease.