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Hints on Negotiating an Oil and Gas Lease Texas A&M Form

Hints on Negotiating an Oil and Gas Lease Texas A&M Form

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Let's talk about the oil and gas lease. Let's say you actually have the minerals that underlie the property. What should you be looking at and we were talking about your lease. Number one and I know this is tough, but get a feel for your bargaining position. Do you own all the minerals underlying the property that they're talking about or are you sharing those in fractional interests with others? The first thing you really need to do, iand if you need to get a mineral abstract do that, but really understand what is the totality of the mineral interests that you have with respect to the property that's going to be leased and if you have the ability in the means to communicate with your other mineral owners. Get together, try to negotiate with one voice and increase your bargaining power that way. Another thing to think about with your bargaining power is how close you are to another producing well. You know all other things being equal, the closer you are

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