Legal Question in Real Estate Law in Mississippi

oil lease property

As the owner of mineral rights for thirteen acres of land in Mississippi I have been offered

$100.00 per acre for a three year term to drill for natural gas by an oil and gas corporation.

I don't know the price or any particulars of the market. Should I sign the lease and

accept a check for one hundred dollars per acre ($1300.00). Thanks.


Asked on 6/27/02, 1:17 pm

2 Answers from Attorneys
Douglas A. Crowder Crowder Law Center

Re: oil lease property

This is a business decision rather than a legal decision. A lawyer can't tell you whether that is a good deal or not, since we don't have any information about the value of the land or of the oil. It would probably be a good idea to demand some percentage of the income as well as a payment for the drilling rights.

In any event, you should discuss this with a Louisanna attorney before signing any documnts.

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Answered on 6/27/02, 3:32 pm
Michael Cortson Law Office of Michael D. Cortson, Esq.

Re: oil lease property

No. You hold out and ask for a percentage of what they make. If you have to set up a partnership with them, the so be it. The more they complain the more it is worth.

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Answered on 6/27/02, 1:25 pm


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