We have received an offer of $206.25 per rod ($12.50 per foot) for a gas pipeline easement on property in Canadian County, OK. Anyone with an opinion if this is a fair price? Thanks for any advice.
Is that per month or per year or a one-time payment?
Second question: How close to your home or other buildings will the pipeline be? The closer to your home and buildings, the greater risk and the more money you should demand. 100 feet from your home should be, in my opinion, $10K per month; 10,000 feet should equal $1,000.00 per month.
That’s a one-time payment and would be about 300 feet from any building.
They could not pay me enough to allow a pipeline on my property.
What if there is a leak? What if there is an explosion and someone in your family is killed? What if workers are hurt installing the pipeline? What if workers are hurt providing maintenance of the pipeline? What if trespassers enter your property to take a look at the pipeline and are injured?
If you do allow it, request a free gas clause. Also, it will ruin the property for future development.
As far as liability, the contract can place the load on the pipeline company. Consult an attorney.
That’s in the ballpark of what we were offered in North Dakota. The number of pipe runs and their diameter should also influence the per rod price as well, and should be clearly spelled out.
Dear Mr. Walker,
What is the nominal diameter of the line?
Best,
Haven’t received documentation yet on diameter, depth, etc. but will post it when received. Thanks for your interest.