Could someone tell me if after our wells are up and running and we are receiving royalties,do we need to sign new lease,we multiple wells under 2 leases that we signed 3and 5 years ago that are about to expire,these were signed before production of wells.Do we need to renegotiate at expiration date of lease?
If you have producing wells on both leases, then the leases have moved into the secondary terms of the leases and you do not have to sign new ones. The leases remains in effect as long as the clauses in the leases remain in effect.
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