Looking for suggestions for compensation for allowing an off-lease drill site on my property.
What should I ask for to allow oil co to place a well site and production facilities on my property when the well drainhole will be on an adjacent lease where I have no mineral interest?
You need to add your state and county so folks can answer. You will need a good surface lease and a good attorney.
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I negotiated one of those agreements in the Eagle Ford Shale last year. We got $50,000 / acre for a 5 acre pad. That was up front for right to use the surface so long as those wells produced. We limited it to drilling and producing those wells only. They couldn’t do any facility or pipeline that served any other property. Good luck…
You have a great situation. A per acre price is nice but also consider negotiating an overriding royalty interest in the production from the well. This could pay for years.