My parents leased their minerals a number of years ago and had all of the tracts listed on one lease with a Pugh clause. Unfortunately, they thought they were protected, but they were not. The oil company drilled a gas well, did not pool them with anyone (called a lease well) and tied up all of their non-contiguous land for years and years (even though they had an oil and gas lawyer assist them with the lease wording). When they finally got free of this company, they leased to someone else with a separate lease for each non-contiguous tract.
Sean Clay said:
I am also very interested in this subject, since I have a lease in my hand, waiting for my signature. I had requested that the Warrant & Defend part be struck out, and also that they split the two, not contiguous properties onto separate leases. They refused to do either. I am at a point where I just sign it as is, or go find another landman that will work with me. If I refuse this lease, can they ‘force pool’ me, while I am looking for better offers?