GAS LEASE RENEWAL

Posted in: River Trails
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  • pappy74
  • Valued Neighbor
  • Fort Worth, TX
  • 44 Posts
  • Respect-O-Meter: Valued Neighbor

If you signed with Dale and are currently receiving royalty checks, you are locked into that lease until that gas well stops producing for 60 or more days.  They can rework the wells and make them produce for up to 30 years.

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  • pappy74
  • Valued Neighbor
  • Fort Worth, TX
  • 44 Posts
  • Respect-O-Meter: Valued Neighbor

The people that signed with Dale and did NOT receive any royalty, probably did not get a well drilled rear their property. Those leases will expire 3 years after they were signed unless they drill within 60 days after the expiration date.  If your lease is expired, you can sign with another gas company and get a better bonus. If you sign with Carrizo you will be included in the Neignborhood Lease and will receive royalty checks no matter where they put the gas wells.

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  • whcraft
  • Valued Neighbor
  • Fort Worth, TX
  • 3 Posts
  • Respect-O-Meter: Valued Neighbor

We received a royalty check a few weeks back so looks like we're stuck.  How do you find out if the well stopped producing for 60 or more days?  I'm sure they wouldn't just come out and tell you that so you could run off and sign with somebody else.

thanks for all the info everyone.

 

billy

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  • pappy74
  • Valued Neighbor
  • Fort Worth, TX
  • 44 Posts
  • Respect-O-Meter: Valued Neighbor

The gas companies are required to file monthly well production reports with the Texas Railroad Commission.  The reports can be viewed online at the railroad commissions web site. 

Read your gas lease.  There may be a "shut in" clause that allows them to stop production for a period and then restart production.  If they do that, they have to pay you a small shut-in fee but it keeps the lease alive.

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