Going Rates for Natural Gas Lease/Rights

[Ouch]

1: A word of caution: don't get too greedy if you don't own a lot of land. They can simply skip over you and leave you out of the unit if your terms are to onerous.

2: While Rat makes some good points, if you make it too tough the company can and will just leave you out.

3: Also, correct me if I'm wrong (Ouch) but understand that all terms (i.e. cash bonus) doesn't always end up being disclosed in recordable instruments.

1. Very true. Sad, perhaps, but true. If it's a large enough tract, they probably would have already met any demands made.

2. I've never bought a lease with a Favored Nations clause. I've worked for 4 of the 5 largest producers in the state, and they won't allow one, period. Never heard of a car dealership refunding money to anybody after they sell a car at a lesser price, either.

3. You are correct. It is extremely rare for a lease form to make any reference to Bonus amounts, unless the lease has an option to extend.