Gas Pipeline

Our family was contacted by a company that wants to run a pipeline through our property at Section 3, 16N, 10W. Have many people signed contacts already? What is the rate for a pipeline contract offer. Can we negotiate dollars and other terms.

Any recommendations for legal assistance with a contract?

Are there considerations/issues because the mineral rights are under contract to oil company with an active well on the land?

Thanks for help on this issue.

I have some easements on my land including pipelines and power lines. I will never again grant an easement unless the term of years is limited. You get a lump sum for the easement and then have to pay property tax on the land yourself forever.

Thanks

I recently signed a pipeline agreement on some property I own near Roman Nose State Park. The going rate seems to be $50 a rod including damages. It's very important to negotiate a favorable agreement. There is an excellent law firm in Kingfisher that has extensive experience with these easements and are reasonable. They helped me immensely. You should contact Schulte, Schneiter & Gibson at (405) 375-4165. A specialist in their office (Donna) deals with easement and right-of-way agreements.

Earlier this year I received $200 per rod for an 8" gas pipeline across my property in McClain County. They initially offered $150 per rod but agreed to $200 per rod after about 3 weeks of negotiating.

I made a mistake in my quote. I was paid $250 per rod rather than $50. Just signed another pipeline agreement for $375 per rod in Blaine County near Watonga, but it was for two lines to be laid in the same 50' easement (one now and one later). I believe provisions are just as important as the compensation. In both instances, the easement is voided once the pipeline company stops using the lines. The result being you don't have a permanent forever easement.

Pipelines usually stay in place for many years. An abandoned pipeline is still the property of the pipeline company. Unless a local law or state law requires removal by the owner, if you want it removed, then you may have to pay for the removal costs. Better to get an upfront agreement with the pipeline company than have this problem in the future.