Oil & Gas Law
Smith & Johnson has an extensive history representing gas field service providers, working interest owners, major and independent producers as well as midstream and downstream companies. We have represented clients in coordinating transfers of royalty and working interests and have represented numerous individuals and corporate entities in the negotiation of oil and gas leases. Having represented nearly every aspect in the industry here in Northern Michigan from major producers to small land owners seeking to negotiate a fair lease, we are uniquely situated to represent our clients’ needs no matter how large or small the issue.
Smith & Johnson’s natural resources group assists clients in their possession and control of subsurface hydrocarbons, in accomplishing wealth accumulation and transfers consistent with individual, family values and goals in development of this nation’s energy needs; including, but not limited to, negotiating oil & gas leases; planning for the transition of same via exploration, drilling and development; family business, large or small; and, planning for the succession of royalty interests working in conjunction with our trust and estate group. We assist not only landowners, but also oil and gas companies, in the protection of their many legal rights to explore for, develop and produce the natural resources to accommodate the many energy and manufacturing needs of our nation.
Oil & Gas Law Areas of Service
- Oil and Gas Leases
- Surface and Subsurface Rights
- Transfers of Royalty and Working Interests
- Title Examination Services for Oil, Gas and Mineral Resources
- Property Access Disputes
- Condemnation and Restoration Disputes
- Well-Site Performance Disputes
- Contract Negotiation for Exploration Production and Transportation
- Subsurface Mineral Leases
- Master Service Agreements
- Joint Operating Agreements
- Royalty Agreements
- Assignments of Interest
- Exploration Agreements and Leasehold Acquisition Agreements
- Equipment Sales Purchases and Leases
- Oil Field Service Agreements
- Forced Pooling
- Dormant Minerals
- Fiduciary Litigation
- Correlative Rights and Division Orders
Case Studies
An oil and gas company desperately needed an landowner to lease acreage in order to make a ‘drilling unit’. The landowner refused to deal with any oil and gas company and refused all offers to negotiate a fair oil and gas lease. Our firm was retained to help. After spending several hours with the family at their kitchen table to learn of their reasons and concerns; and, after taking the time to fully explain what each provision of a Producers 88 Oil and Gas Lease meant, then recrafting terms to satisfy their particular concerns, we were able to obtain signature. The company drilled-up the unit; and, both oil and gas was discovered in paying quantities.
A service company provided faulty ‘drill-pipe’ to a location resulting in ‘bore hole failure’; and, it refused to indemnify the operator for the loss. Our firm was retained to dispute and defend in litigation. By assuring that the drill stem in question was preserved, we were able to report a successful result to the client.
A private landowner was approached by an oil company to lease its subsurface rights; however, due to past severances or fracturing of the mineral rights, it was unclear who had the legal authority to lawfully execute and bind the land. The landowner and the company retained the firm to unify the subsurface rights and interests. Once the project was successfully completed and an oil and gas lease executed and filed of record, the company drilled-up the unit and discovered oil and gas in paying quantities.
The firm has been engaged on many occasions to negotiate better oil and gas lease terms and conditions – most particularly a better bonus payment and improved royalty interest.
Given our industry contacts, and on behalf of landowners and companies as well, our firm has also achieved success in arranging for oil companies to explore for, drill and produce hydrocarbons in paying quantities from desired or sought after subsurface formations . Given its reputation, lawyers from the firm have been asked to assist attorneys, for both oil companies and landowners in other States, to assist in preparing and implementing legal strategies involving matters of complex resources litigation. The firm has also appeared before the Supervisor of Wells involving matters of forced pooling.