The Ohio shale boom started slowly when a few small companies quietly began acquiring mineral leases for as little as $25 per acre. This soon gave way to a full blown land rush in the fall of 2010. But as lease prices skyrocketed through the Fall of 2011, disillusioned lessors who signed before the peak… Continue Reading
Tag Archives: lease
A Bonus Payment is Not Relevant to the Validity of an Oil & Gas Lease.
Posted in Contracts and Leases, Real Estate, RegulatoryIn Eastern Ohio, before 2010, a customary signing bonus for an oil and gas lease was usually less than $25 per acre, as it had been for years. By the fall of 2011, after the shale boom hit, lease bonus prices had risen in leaps and bounds to their peak (so far) of about $6,000… Continue Reading
Production in “Paying Quantities”
Posted in Contracts and Leases, Real EstateThe Point: Oil and gas leases are specialized instruments of real estate and contract law. The very existence of the lease can turn on court opinions over 100 years old (with little between now and then) and the court’s interpretation of something as ephemeral as “good faith” can be determinative. Curative documents, a royalty check… Continue Reading