Pennsylvania landowners across the Marcellus Shale formation have been swamped with oil and gas lease offers from big natural gas companies and their land agents seeking to lease their Marcellus Shale gas rights.

The daunting process of wading through oil and gas leases and lease addendum that reads like legal riddles is enough to leave anyone overwhelmed. However, with the proper information and trustworthy guidance from an experienced oil and gas lease lawyer working for you, every landowner can find the answers to make the right decision on oil and gas leasing for their individual situation.

Initially, we believe every Marcellus Shale landowner must educate themselves to determine whether entering into an oil and gas lease is right for them. My experience as a lawyer in oil and gas leasing has revealed that landowners often share similar concerns and fears. For example:

• Pennsylvania permanent residents often fear water contamination issues and the infiltration of drilling rigs on their scenic land.
• Hunting clubs and sportsmen are generally concerned with the environmental impact that drilling operations will have on hunting and fishing in the area.
• Many farmers question what effects will oil and gas leasing and natural gas company activity have on livestock and the use of their land for agricultural purposes.

Oil and Gas Lease Addendum, or Riders, are critical clauses that are negotiated and added to standard oil and gas leases that seek to specifically address landowner concerns such as:

• clean and green implications,
• water quality and contamination,
• environmental issues and
• many other landowner concerns.
• The oil and gas lease addendum must also protect the property owner from any unfair oil and gas lease provisions designed by the leasing company's lawyers.

The oil and gas lease addendum is often the most important part of the leasing document for any landowner. An oil and gas lawyer should fight and negotiate the strongest possible oil and gas lease for the property owner.

However, despite any oil and gas lawyer’s best efforts, all the Marcellus Shale landowner’s concerns may not be entirely eliminated. Certainly an effective oil and gas lease lawyer can drastically reduce the natural gas company’s activities and control of your land, but this still may not make the oil and gas lease acceptable to each individual landowner. Leasing your Marcellus Shale gas rights is an individual decision that a property owner should complete only after fully understanding what is contained in their proposed oil and gas lease, and determining whether the terms offered within the oil and gas ease are sufficient to address or outweigh any concerns they may have.

Time has unfortunately proven that uninformed landowners and landowners NOT represented by an experienced and dedicated oil and gas lease lawyer have fallen victim to unfair oil and gas leases heavily slanted in the company's favor - and lived to regret it every day.

Too many of our region's landowners have entered into oil and gas leases without a full understanding of the techniques that a gas company can use to extend their lease term or hold their entire property under lease while the landowner receives few or no royalty payments for several years at a time. Every landowner must be aware of how an oil and gas lease terms can possibly negatively impact their property for generations.

• We take the approach to listen to each client’s individual concerns and negotiate for an oil and gas lease with those concerns in mind.
• We also seek to simultaneously incorporate provisions through the evolution of addendum from across the country.
• Experience has shown me that the vast majority of client’s fears can be eliminated with education of oil and gas laws and effective oil and gas lease negotiation.

However, some fears may remain and the landowner alone is ultimately left with the decision if leasing is right for their property.

We maintain as a fundamental principle that no Pennsylvania landowner should give up any Marcellus Shale gas rights associated with their land unless they are fully informed and completely comfortable with their decision. Knowledge and education are the foundation for making the right decision for each individual landowner. With this foundation, landowners will maximize their oil and gas leasing benefits and always make the right decision.

We endeavor to educate and assist you through the oil and gas leasing process and beyond. Contact us now.

-Douglas A. Clark, Esq.