Branch Midstream Pipeline in East TX


#1

It took a while but i found you. Mr. Clint Liles said you might be able to offer some advice. A company called Branch Midstream contacted our attorney to see if we’d be interested in a line through our farm in Panola and Harrison Counties, Texas. Very early in the talks. We’re told it’s a 24-inch natural gas line and an 8-inch saltwater disposal line. they want a 40-foot permanent ROW and 20-foot work space. we’ve negotiated several NG lines recently but never a salt water line. do you negotiate as two lines or as oneandis one worth more than the other? we’re a little wary because it comes very close to a relatives house in the middle of our farm…plus the saltwater issue. I don’t think they have eminent domain. we recently (2018) got $600/rod for a 16-inch NG line. I’ve also heard this is the beginning of a much larger infrastructure project… anticipating more activity in the area. thanks for any advice. jh


It's not as bad as you think
#2

Dear Mr. Hodges,

Since they asked if you “would be interested” that leads me to believe that the Operator does not have condemnation privileges. If they didn’t send to you a “Landowner’s Bill of Rights” that would pretty much confirm it.

If it were me, there would be two single use pipelines laid within one easement, if you wanted one in the first place. Termination of rights would be a big deal.

Since you are already represented by attorney, that is where your questions should begin and end. That may sound rude, but this is to completely protect me from bad endings such as tortious interference and/or “twisting.”

There is much too much to discuss in this forum. Scholarly articles and courses have been presented on this subject.

Best,
Buddy Cotten
Mineral Manager