Jan. 19, 2007

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GILMER – Most oil companies want to be good neighbors when they come to drill, but as in every profession there are a few "bad apples" said an attorney who specializes in oil and gas real estate law.

And because of these few bad examples, landowners should be aware of their rights and be sure to read the fine print on the oil and gas lease, said Celia Flowers, the featured speaker at an upcoming Landowner's Rights Programs set Feb. 15 in Gilmer.

With higher prices for natural gas and oil, drilling operations have stepped up in Texas, said Brian Hill, Texas Cooperative Extension agent for Upshur County. And though most landowners in East Texas don't own the mineral rights to their property, it's still helpful to know what rights they do have, and what is negotiable.

"There have been a few horror stories, " Hill said.

For example, Hill knows of one site where the oil company cleared about 3 acres of a 26-year-old pine tree stand before the landowner had a chance to harvest the timber. The landowner lost thousands of dollars in the timber that was bulldozed out of the way. Moreover, the timber was pushed up against standing trees at the border of the drilling site, lowering their value as well, he said.

"The objective of this program is to arm the private landowner and the real estate professional if there are conflicts when they don't own any or part of the mineral rights," Hill said.

Flowers said real estate professionals need to know the rights of the mineral lessee, as well as the legal remedies that can be used against surface owners who interfere with exploration by the oil and gas lease holder.

The program will be held 6:30 p.m. at the Gilmer Civic Center on state highway 271. Registration is free and open to the public. Legacy Ag Credit is catering a free barbecue dinner for the participants. Licensed real estate agents who attend will receive two hours toward their mandatory continuing education requirements.

For more information call Hill at 903-843-4019 or by e-mail at b-hill@tamu.edu . An on-line brochure, printable, can be found at http://tcaaa.tamu.edu/rights.pdf .

Hill stressed the need for participants to RSVP so everyone can be fed.

" Legacy Ag Credit is being very generous," Hill said. "They said they will cover how ever many we have. I'm just afraid that many won't RSVP, and I won't order enough food from the caterer."