Who makes the oil lease

Oil and Gas Leasing Help
1

Greetings:

There are 5 individuals who each own a portion of our land (heirs to a deceased relative). Who makes the deal on an initial bonus & percentage offered for a lease for each parcel being proposed? A Landman has sent a lease request to all 5 individuals. Two of the 5 are not responding. Do the remaining 3 have to be in lockstep on the agreement or can we each make a separate agreement on bonuses & percentage? And, if 1 individual makes the deal and moves forward, are the remaining 4 locked into this agreement?

I guess this is a dumb question for those of you who’ve been at it for a spell; but, while waiting for the 5 of us to get together, I thought I’d see if I can find some suggestions before moving forward.

Thanks

2

It depends upon the language of the deed and how it was conveyed. Most likely is that each of you can lease independently. You do not have to make the same decision, but if you work together you have more power. You can share in the costs of getting a good oil and gas attorney to review the lease and make suggested edits. Most draft leases are not in favor of the mineral owner, so need negotiation to be better. If you have never leased before, it is important to understand the clauses in the lease as they can hold your families for decades.