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Oil/Gas/pipeline easment


I am being offered $380( including damages, )a rod for a bridgetex pipeline coming thru my property in grimes county TX. Pastureland. I have been pushing for $500. Is this unreasonable of me, and should i seak a lawyer to seek additional monies for the loss of use of my land?

A general rule is that the easement is going to be not seen but permanent (because we do not know when it will be released if ever).  When considering that the easement is perpetual the idea is that you are selling that portion of the land but still get to use the surface, own the minerals but are restricted from building a structure on it.

So, the value of the land is what is typically the measure.  If an acre of ground sells for $5,000 in your area, you should figure the area of the easement and calculate the number of acres of the surface you will be "selling" for the pipeline.  If the pipeline is 25' wide and it is 1000' long you have 25,000 square feet subject to the conveyance.

The area in an acre is 43,560 so they have 57% of an acre or just over 1/2 acre.  Under normal circumstances you are looking at a cost of $2,500 per acre but depending on where they are wanting to put the pipeline you have to consider other land the pipeline installation may be condemning.  If they are cutting from the northeast all the way across to the southwest, you may not be able to sell the entire tract.  In that case you would calculate the easement based on the number of acres you will not be able to sell.

I wish I could tell you that $380 or $500 per rod (16.5 feet) is adequate but you will need to look at their map and determine how much acreage they are going to affect.  If you explain how you are coming up with your number per rod, then they will have a hard time trying to low-ball you by limiting the payment to just the 25' width of the pipeline by the length.

If they will not listen to your reasoning then it may be time to hire an attorney so long as the potential payment is enough to cover your costs of the attorney and still give you money for the loss of acreage.  I'm writing a blog post later today on eminent domain so you can check my website after lunch for a short discussion on that issue.

Hope this helps some.  


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Cliff Williams


I will try to answer any question you have. Even if I reject a question, I still will give a shot at what I would do in your position. The only questions I will not take a shot at would be a highly technical engineering or geological question. I am beginning to see quite a few questions from land men and other oil companies and that doesn't matter to me either. I will attempt to help.


I am an oil and gas attorney that has been in the business for more than 20 years. I have held a series 22 and 63 securities license, been in oil and gas operations, land man, division order analyst all prior to obtaining my law degree. Today, I typically write title opinions verifying ownership of oil and gas minerals, assist landowners in negotiations on oil, gas and mineral leases, easements and conveyances. I also assist oil and gas companies with the sale of working interest ownership as well as common business law issues.

State Bar of Texas, Member of the Tarrant County Bar and the Dallas County Bar Associations.

Multiple oil and gas topical columns on

I have a B.S. degree which I rely upon more than my Business Mgmt degree or Law degree...

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