In this episode of All Things Marcellus, Attorney Doug Clark of The Clark Law Firm discusses how oil and gas lease agreements are presented to Pennsylvania property owners. Doug explains the gas company’s present a standard form oil and gas lease usually consisting of two to four pages. These gas lease form documents are drafted by smart company lawyers for the benefit of the gas company and not the lessor. These gas lease agreements have evolved over time and are carefully designed to take advantage of Pennsylvania oil and gas law to the benefit of the company and not the royalty owner.  The landowner or natural gas right owner must negotiate to have beneficial terms added to the gas lease by way of an attached Addendum. Often gas companies will have their landman present gas lease agreements with addendum terms already provided. These company provided addendum terms must be highly scrutinized because there is a strong chance that these terms initially offered by the company provide little to no protection or benefit to the landowner/lessor.

All Things Marcellus® GEM 104, KZFM 96.9, KC 101.5 FM, and 1250 AM The Answer
Air Date: April 9, 2017