Mistakes often made when negotiating oil and gas leases

Louisiana residents who find they are sitting on land that is rich in minerals have every right to take advantage of the situation. If approached about an oil and gas lease, it may be tempting to accept whatever is offered, but that may be a mistake. Be careful and seek assistance with negotiating lease terms that are to one's benefit.

There are several mistakes that mineral owners tend to make when approached about leasing their mineral interests -- only a few will be discussed here. The first is that they may take the first offer that comes along. It is okay to take things slow, look at all of one's options and then negotiate lease terms. If agreeable terms cannot be reached, it is okay to walk away.

Second, they only think about money. Yes, a great deal can be earned when leasing one's mineral interests, but money is not all that matters. Finally, third, they fail to have contracts reviewed by legal counsel. Wording matters, and if a lease agreement is not worded just so, one may be signing away certain rights unintentionally.

Achieving an oil and gas lease that works in a mineral owner's favor takes patience. This is a complex issue, with a lot involved and a lot at stake. Louisiana residents, whether they are new to the oil and gas scene or have been down this road before, who would like help responding to lease proposals, can turn to legal counsel with direct experience in this field of law.