Hello everyone
I have the property at the SE/4 NE/4 of Section 8, Block 53, Culberson County. I received an email from Admiral that they will produced water pipeline and a road easement in our property ( we own surface)
The water pipeline will be 10 inches in diameter and the road will be the typical 20 ft.
They said they are proposing University Lands Rate and Damage Schedule compensation for this which will come out to the following:
80 rods X $64/rod (Pipeline) = $5,120 and 80 rods X $40/rod (road) = $3,200 for a total of $8,320.
We really need ideas from anyone please. We are out the States. We don’t have any blue for this
Please advise
Thank you
Here is link to University Lands Rate & Damage schedule to be effective January 1, 2022. Ask for these rates as they are higher. First, the rates are for 10 year term and are then renewal payment for each 10 years. Ask for 3 times these rates for an easement until cessation of use. Do not agree to a permanent easement. It should terminate upon cessation of use. Second, rates vary depending on whether you own only the surface or also own the minerals which are leased to Admiral and the line and road are for that lease. Road requiring an easement on page 5 is $70. It is $40 if limited to your mineral lease. Pipeline easements are only pages 6 (if your mineral lease) and page 7 (only surface or not your mineral lessee). Be sure to limit to a single pipeline not to exceed 10 inches. The form is also important and you may want to consult an oil and gas attorney to help you with the form and to negotiate better rates. https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=&ved=2ahUKEwi54-id8Y70AhU2RjABHZ3CA4wQFnoECBIQAQ&url=https%3A%2F%2Fwww.utlands.utsystem.edu%2FContent%2FDocuments%2FOperations%2FRate_Damage_Schedule.pdf&usg=AOvVaw2i9WaT93WSSyKds5HXQ1iL
Always good to get an attorney with surface use experience because you want the most protection that you can get for environmental protection. Also ask for what is called something like double ditch soil method which means that they “carefully” put the top soil aside and refill the ditch with the deeper soil first and then put the top soil back on top instead of all mixed in together.