Texas has been known to be a gold mine of resource deposits, with large swathes of inland and offshore areas harboring undiscovered oil and gas pockets. A report issued by the United States Geological Survey found that there are nearly 1.6 billion barrels of undiscovered oil and gas reserves in the Permian Basin alone. Meanwhile, southeast Texas remains active in terms of oil and gas production, with the Hosston and Travis Peak formations being marked for their significant potential as sites of major reserves.
Notwithstanding offshore sources, there is still considerable potential for discovering oil and gas on the mainland, particularly around the city of Houston, which already accounts for 2.6 million barrels of the country’s daily crude oil production. Many undiscovered deposits remain around the metropolitan area, and there’s a good chance for first-time residents to strike it rich.
However, they should be prepared for the legal hurdles that could result in them unknowingly surrendering their mineral rights and depriving themselves of fair royalties and lease terms. If you are fortunate enough to discover an oil or gas reserve in Houston, you will need to find a good lawyer using these essential tips.
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1. Learn as Much as You Can About Oil and Gas Regulations
A crucial factor in choosing a good lawyer is being informed of what you can and cannot do with an oil or gas discovery in your backyard. You need to be aware of your rights if the deposit is directly underneath your property. Under state regulations, you are allowed to extract and sell oil and gas even if the reserve also lies underneath a neighbor’s adjoining property. In such a case, you are not allowed to drill directly within your neighbor’s property in a bid to extract oil or gas.
It’s also important to understand that surface rights and mineral rights are distinct. You can have both under a unified estate. In the case of a split estate, you are only allowed ownership of what’s above the soil, while the original owner of the land or even the government reserves the minerals on account of an ongoing lease or a previous purchase. No matter the case, check your property’s land records and see if the mineral rights aren’t subject to an ongoing agreement. This will help you thoroughly understand your current legal situation and determine which law firm best suits your needs.
2. Check for Credentials and Experience
Since oil and gas issues offer highly technical legal challenges, you wouldn’t want to entrust the process to attorneys who aren’t battle-tested. It’s one thing for a lawyer to say that they can handle cases covering property and mineral rights, but it’s another to entrust the whole process to a firm that has handled high-value cases and has maintained a positive reputation within the oil and gas industry as well as the legal and environmental sectors.
You know you’ve picked the right Houston oil and gas attorney if they can demonstrate their experience in specific areas, such as handling royalty disputes and helping previous clients navigate the intricacies of discussing mineral lease terms and handling environmental compliance issues. It’s only a matter of checking their official websites and browsing the testimonies of previous clients.
3. Make the Most of Your Initial Consultation
Never assume that everything written on the website reflects an oil and gas lawyer’s capacity to represent you in court. They might have exaggerated their credentials, so it helps if you could dig deeper during the initial consultation. Other than verifying their knowledge and experience in oil and gas issues within the Houston metropolitan area, you should also ask about the landmark cases they handled and how they won these.
From there, pay attention to the breadth of knowledge they possess and their ability to communicate complex concepts in the simplest terms. It’s already a major consideration if they demonstrate thorough knowledge about your situation as a property owner and can lay out a quick summary of what to do if you take the matter to court. On the other hand, if they focus too much on the results rather than the process for winning, then you may have to think twice before getting them to represent you.
Endnote
You may have struck gold by discovering oil and gas reserves lying underneath your home, but without quality legal help, you’re bound to lose whatever rights and benefits you are entitled to. Use the tips above and find a Houston attorney who can help you secure the deal of a lifetime.
