Will a Landman be able to review a "Paid-Up Oil and Gas Lease" offer from an oil company as well as an attorney could?
There is a Landman from another county who has no interest in the lease offer we have received. The general consensus in our group is we will have him review the offer as written to get his advice and cut through/explain the legalese for us. He has been real generous with info so far at no charge and has been helpful.
The thought is that we have him review the language and advise us. Of course if there are glaring problems or pitfalls then I think we need to bring in legal counsel.
I would proceed with the advise of the landman since you and your group seem comfortable with him thus far. He could probably advise you in regards to any amendments which might be advisable in your lease. Just remember, oil and gas attorneys aren't cheap and if you are satisfied with the results from this landman, you'll come out ahead in the long run but if matters can't be resolved or this landman advises the use of counsel, I would consider this route.
I would proceed with the advise of the landman since you and your group seem comfortable with him thus far. He could probably advise you in regards to any amendments which might be advisable in your lease. Just remember, oil and gas attorneys aren't cheap and if you are satisfied with the results from this landman, you'll come out ahead in the long run but if matters can't be resolved or this landman advises the use of counsel, I would consider this route.
A landman, unless he is a personal friend, is not going to give you the best lease you can get. After all, even though he is not interested in your minerals he is a landman. If you want a really good lease you need a mineral manager who knows everything there is to know about leasing minerals.Of course, I don't know your finances
or where your minerals are. But, give some thought to using a professional and they will pay for themselves many times over. Is there a clause in the lease saying you warrant deed on your minerals? Is there a clause that says "wellhead" and from there you share in the expenses, processing, production, shipping? These things add up to big money for either you or the oil company. Your choice. Have a great day,
You certainly can save some $$$ by doing the bulk of the negotiating yourselves with some advice and guidance from a knowledgable landman.
Do yourselves a favor, however, and do not finalize and sign anything without having a good Oil and Gas attorney look over your contract prior to execution.
The devil is in the details and far too many people end up screwing themselves in the long-term by trying to save a penny or two in the short term.
You will be locked into that contract in perpetuity for as long as your wells are in production, so don't loose sight that this is your time now to make sure that you do things right.
I would use an attorney who exclusively practices in oil and gas. If your attorney does not do this, I would have Buddy Cotton review anything your attorney prepared. Buddy’s rates are very reasonable and could save you a lot of money and headaches!
In my case, Buddy Cotten thought of a few things that an oil and gas attorney didn’t. It was money well spent for his advice!
Susan Nolen said:
I would use an attorney who exclusively practices in oil and gas. If your attorney does not do this, I would have Buddy Cotton review anything your attorney prepared. Buddy's rates are very reasonable and could save you a lot of money and headaches!
In my case, Buddy Cotten thought of a few things that an oil and gas attorney didn't. It was money well spent for his advice!
Susan Nolen said:
I would use an attorney who exclusively practices in oil and gas. If your attorney does not do this, I would have Buddy Cotton review anything your attorney prepared. Buddy's rates are very reasonable and could save you a lot of money and headaches!