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Old 09-14-2011, 02:16 AM
 
1 posts, read 3,599 times
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Let's say you own some land out in West Texas (Pecos, Odessa area) and a company wants to drill on your land. How much compensation should you negotiate for surface damage done to your land? One website I came across said you should make sure to get at least $20,000 per well site. If anyone is knowledgeable in this area I'd really appreciate any input! Thanks!
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Old 09-14-2011, 06:09 AM
 
Location: Austin, TX
15,269 posts, read 35,642,308 times
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A couple of things to consider:
- Make sure you have an explicit contract about the clean-up and/or compensation. Yes, I know that is silly sounding, but you would be surprised. They could ditch all sorts of equipment out there OR leave/spill hazardous chemicals which could cost a small fortune to clean-up.
- Is is an established company? You don't want a small company drilling for x years and then suddenly declaring bankruptcy and leaving a mess.
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Old 09-14-2011, 01:05 PM
 
Location: Blah
4,153 posts, read 9,268,809 times
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Quote:
Originally Posted by blueplanet12 View Post
Let's say you own some land out in West Texas (Pecos, Odessa area) and a company wants to drill on your land. How much compensation should you negotiate for surface damage done to your land? One website I came across said you should make sure to get at least $20,000 per well site. If anyone is knowledgeable in this area I'd really appreciate any input! Thanks!
This isn't my field but I would consider posting the question under the general section of Rowdyrides.com. Yes, it's a car forum but it's mostly West Texas members (Midland/Odessa) and most of which are in the oilfield business one way or the other.

Also, here is some home owner info that may help.

Texas Land & Mineral Owners Association
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Old 09-14-2011, 07:31 PM
 
37,315 posts, read 59,878,910 times
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there is no SHOULD when it comes to o/g leasing--especially if you are the surface owner and not the mineral owner
Just because you read it on the Internet does not make it a viable opinon

if you are not in that area then you need informed opinion of someone who is--
maybe you need an attorney working in the area who knows o/g law--because if you are having drilling on your property you want to make sure your interests are protected--and sometimes money alone does not guarantee that
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Old 09-15-2011, 09:37 AM
 
Location: Richardson, TX
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$20,000 Wow. How things have changed. Back in my day it was $1000/location.
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Old 09-16-2011, 08:50 PM
 
5,760 posts, read 11,548,273 times
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Why not a million?
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Old 09-16-2011, 08:59 PM
 
Location: Richardson, TX
8,734 posts, read 13,821,652 times
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Quote:
Originally Posted by Philip T View Post
Why not a million?
Oh that'll happen.
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Old 09-16-2011, 09:15 PM
 
5,760 posts, read 11,548,273 times
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Quote:
Originally Posted by SVTRay View Post

Also, here is some home owner info that may help.

Texas Land & Mineral Owners Association
Interesting link. Thanks.

Seems like folks would start to refuse to purchase land absent the Mineral Rights, as protection against future damages.
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Old 09-16-2011, 10:10 PM
 
Location: Blah
4,153 posts, read 9,268,809 times
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Quote:
Originally Posted by Philip T View Post
Interesting link. Thanks.

Seems like folks would start to refuse to purchase land absent the Mineral Rights, as protection against future damages.
Yes sir, thats my thinking as well but people generally sell off their mineral rights to help pay for the land.
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