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Most leases that are offered to the owner of the oil and gas rights are surface use leases under which the land to which the oil and gas rights have been leased is used to develop the oil and gas. The landowner may also be offered a non-surface use lease.
This means that a mineral owner (or lessees, as the case frequently is) has the right to use as much of the surface estate as is reasonably necessary for the production of minerals like oil and gas without compensation to the surface owner.
A use and occupancy agreement - sometimes referred to as a UO - is a temporary agreement between the buyer and the seller that allows one party the right to use and occupy the property for a set period of time. Its usually put in place if the buyer needs to move into the property before ownership can be transferred.
A surface use agreement, which is also sometimes referred to as a land use agreement, is an agreement between the landowner and an oil and gas company or an operator for the use of the landowners land in the development of the oil and gas.
Surface Waiver and Accommodation Agreements The broadest contractual limitation is a surface waiver agreement through which the owner of the mineral estate waives the right to use the surface of the land where the project is located. Mineral owners may not be inclined to sign such a broad limitation.
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Surface Waiver and Accommodation Agreements The broadest contractual limitation is a surface waiver agreement through which the owner of the mineral estate waives the right to use the surface of the land where the project is located. Mineral owners may not be inclined to sign such a broad limitation.
The Surface Use Agreement is the contract that governs the relationship between the owner of the land (surface estate) and a mineral producer and addresses topics such as liability allocation, damage payments, well-pad siting, building roads, installing pipelines and many more.
A property owner with mineral rights may explore, extract, and sell natural deposits found underneath the land surface. But surface rights only refer to exclusive rights to all physical property on the land.
Surface Waiver and Accommodation Agreements The broadest contractual limitation is a surface waiver agreement through which the owner of the mineral estate waives the right to use the surface of the land where the project is located. Mineral owners may not be inclined to sign such a broad limitation.
Surface rights are the ownership of the land above ground. Pheasant Energy explains these rights amount to the right to access.