Natural Gas Pipeline Easement And Right-Of-Way Agreements

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While most oil and gas leases offer the gas company the ability to route a pipeline to your gas well site from your land or production unit that includes your property, the vast majority of gas leases require a separate pipeline agreement in writing to conduct pipelines on land that carries gas from other production units that do not contain not the owner`s property. In other words, most gas leasing companies do not grant the power of gas or gas pipeline companies to install pipelines to transport „third-party gas” or „foreign gas” on a landowner`s land. Pipeline companies typically offer to compensate the owner of the relaxation contract with a linear foot payment (or stick) of the facility covers. But what does that mean? And is the landowner entitled to additional compensation? With respect to the first question, the price per linear foot (or stick) usually contains only the value of the country covered by relief. Often, the law officer calls it the „going rate” in the area. But is this all the damage suffered by the landowner or all the compensation that the landowner should receive for the facilitation contract and the permanent presence of the pipeline on his land? In general, no. In order to ensure an adequate remediation area, the landowner should ask the pipeline company to sow the surface each year with the desired herbs of the owner until the sustainability. The landowner should also require a double dig so that the top floor is brought back to the surface. Ideally, these remediation measures would apply even if the pipeline company disturbs the surface.

Landowners need to understand the uniqueness of their particular situation and effectively assess and understand their bargaining leverage. Lawyer Doug Clark has seen that many pipeline offers start well below $50,000,000, just to end up in deals for hundreds of thousands of dollars as compensation. Leverage is king! Once the company and the landowner have agreed to the pipeline site, the facilitation document should indicate the exact location of the pipeline and the boundaries of pipeline facilitation, rather than using broad or general language such as „landowner property.” Problems or changes to the proposed route may occur during the construction period.

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