A title opinion is crucial to the protection of an oil and gas exploration or production company considering leasing drilling rights from owners of valuable mineral rights or for companies acquiring existing production.
For a title opinion regarding oil and gas rights anywhere in Wyoming, Colorado, Montana, or North Dakota, contact Throne Law Office, P.C..
Ownership of mineral rights, independent of ownership of surface rights, may be distributed among several parties. Each owner may execute a lease to convey their rights to a different oil and gas company. Those rights may be further subdivided when companies enter into agreements among themselves, or convey a percentage of the proceeds to engineers and key personnel as a part of their compensation package. However, since only a limited number of wells can be drilled on a parcel of land, there is substantial risk to the oil and gas production company that is about to assume the costs of production.
Prior to drilling a well, an oil and gas production company needs an experienced mineral rights title opinion lawyer to determine ownership and leases that may entitle other parties to an interest in the oil or gas produced by the well and any royalties due. This is critical because, using Wyoming law as an example, an oil and gas production company that does not pay royalties within a specified time must pay the owner 18% interest in addition to the royalties owed. This information could have significant impact on the decision-making process.
The title opinion lawyers at Throne Law Office, P.C. in Sheridan, Wyoming, are experienced in dealing with oil and gas law issues such as complex ownership of mineral rights, well density, royalty agreements, surface access rights and responsibility for production expenses.
Contact Throne Law Office, P.C.
To discuss your case with an experienced attorney at Throne Law Office, P.C., call the firm at 307-672-5858 or send an e-mail.
