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Oil & Gas Law Archives

OIL & GAS LEASES - NEGOTIATION BASICS

Mineral owners in Colorado and Wyoming have been and continue to be approached to lease their oil and gas rights. Often times, the first contact the oil and gas company will have with the mineral owner is through a pre-drafted lease mailed to the mineral owner. Most times these pre-leases strongly favor the oil and gas companies. Mineral owners may be tempted to sign the lease without negotiating, especially with the financial incentive. However, it is important to understand the terms of the lease are negotiable and accepting the first offer may not be in the mineral owner's best interest.

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