Family owns all minerals on property. Lease has been offered, but not all are willing to sign. Can the minerals be leased with only 2/3 of heirs agreeing to terms? If so, what happens to those owners who refused to sign the lease? Do the mineral owners who objected to the terms have any recourse?
Depends on the state. In Oklahoma those that don't sign could be force pooled.
Property is in Texas in Atascosa county.
Dear Barbara,
Texas leases typically have 640 acre + 10% pooling provisions for units formed for natural gas, which has nothing at all to do with spacing.
You acreage position is significant enough to attract attention if you are located in a good area.
For more information, click here:
http://www.mineralrightsforum.com/profiles/blogs/the-basics-of-pooling-and
I do not know what the law is, but it is my understanding and experience that unless all mineral owners decide to sign the lease, it is unlikely the company will go forward with the lease. They want 100% of owners to sign (Texas). The others who will not sign the lease can certainly negotiate a separate lease with the company if they are not happy with the one offered, but again, companies don't like this kind of divisiveness within families, but it certainly can be done. We have signed leases on property where our family together owns 2/3 of the minerals, and people we essentially do not know own the other 1/3, and to the best of my knowledge negotiate the own lease terms.
I think you need to know if you are drillsite tract or not. If you are non-drillsite they will drill the well and drain you anyway and pay you nothing. If you have a large enough percentage of drillsite tract the operator may not want to drill since they will not get the lions share of your oil. With all due respect to Mr. Hicks, the oil companies are in business to make money, they have no other purpose, they do not care about divisiveness in your family. Divide and conqueor is one of the energy companies favorite tactics.