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Oil/Gas/Gas leases for 2014 - 2015

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Question
Hello Brian,

I signed a gas lease with Hillwood Energies (A Perot Company) back in 2008 and extended it in 2011.  They did not renew it after that because of the falling gas prices.  Also, they never did any drilling during that time.  So I received lease money ($5,500) per acre, but no royalties.  I have about 2 acres.  Can you tell me if leases will be renewed in 2014 or 2015?  I see that the price of natural gas is currently over $4.

Note:  These mineral rights are in the Barnett Shale.

Answer
Hi Richard,

The decision to approach you to renew or seek to obtain a lease would be up to the pertinent Oil and Gas company and that would most likely depend on their projected exploration goals and business strategy. If your lease has expired and no drilling has occurred, you should be able to consider all offers, when or if they come, from interested exploration companies.  

Thanks again.  

Oil/Gas

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Brian Robinson, J.D.

Expertise

Questions related to Oil and Gas Exploration and Production.

Experience

More then 13 years handling matters involving: •Joint Operating Agreement Preparation and Reviews •Farm-In and Farm-Out Agreements •Assignments •Purchase and Sale Agreements •Due Diligence •Research •Data Room Development •Divestitures •Title Curative •Oil and Gas Lease Management •Negotiations •Run Sheets •Pipeline Right-of-Way Acquisitions •Unpaid and Unclaimed Royalty Solutions

Organizations
I'm the managing member of Innovative Contracts Consulting LLC, which has developed its oil and gas professional service capabilities over many years and is able to provide subject matter expertise in land and other related oil and gas upstream services. We provide our clients with experienced leadership and a team of go to land and oil and gas professionals that have expertise in all the producing regions of the United States, the Caribbean and in certain offshore locations in Central and South America.

Education/Credentials
Juris Doctor, University of Kansas School of Law Business Administration (BBA), Texas Wesleyan University

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