North Dakota Surface Use Agreement (Where Lands are Currently in Use) — Explained A North Dakota Surface Use Agreement refers to a legal contract between the surface owner and the oil and gas company that outlines the terms and conditions for utilizing the surface land for oil and gas operations. These agreements are essential in ensuring responsible and harmonious coexistence between landowners and energy companies in North Dakota. The agreement typically covers various aspects, including defining the scope of operations, the rights and responsibilities of both parties, and the compensation provided to the surface owner. The main purpose of the agreement is to protect the landowner's rights while allowing oil and gas companies to conduct their operations efficiently. Types of North Dakota Surface Use Agreements: 1. Standard Surface Use Agreement: This is the most common type of agreement used in North Dakota. It outlines the general terms and conditions for the use of the surface land for oil and gas activities. It includes provisions related to access roads, drilling pads, pipelines, and equipment placement. 2. Pipeline Surface Use Agreement: This specific type of agreement focuses on granting permissions and restrictions related to the construction and operation of pipelines. It typically covers land use, environmental considerations, and compensation for easements and land disturbance caused by pipeline activities. 3. Drilling Pad Surface Use Agreement: In cases where drilling activities are planned, a separate agreement known as a Drilling Pad Surface Use Agreement may be required. This agreement specifies the rights and obligations regarding site preparation, drilling rig placement, access, and reclamation once drilling is completed. 4. Access Road Surface Use Agreement: When oil and gas companies need to construct or utilize access roads that cross private land, an Access Road Surface Use Agreement is executed. This agreement defines the terms for road construction, maintenance, and compensation for any land disturbance caused during road development or use. Key Considerations in North Dakota Surface Use Agreements: 1. Compensation: The agreement must clearly state the compensation terms for the use of the surface land, including upfront payments, annual rentals, and potential damages. This ensures that landowners are fairly compensated for any disturbances or potential risks associated with oil and gas operations. 2. Environmental Protection: Surface use agreements should include provisions to protect the environment and address reclamation requirements. This ensures responsible land use and mitigates potential negative impacts on soil, water resources, and wildlife. 3. Legal Rights and Obligations: The agreement must outline the rights and obligations of the surface owner and the energy company, addressing issues such as access rights, safety measures, indemnification, and dispute resolution procedures. 4. Term and Termination: The duration of the agreement, termination conditions, and renewal provisions should be clearly defined to avoid any confusion or disputes in the future. In conclusion, a North Dakota Surface Use Agreement plays a crucial role in regulating the use of surface lands for oil and gas operations. By addressing various components such as compensation, environmental protection, legal rights, and specific types of agreements, these contracts ensure mutual understanding and cooperation between landowners and energy companies for responsible resource development in North Dakota.
North Dakota Surface Use Agreement (Where Lands are Currently in Use)
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On Trust Lands as well (unless otherwise marked; see the FAQ section for additional information). Only lessee(s) and NDDTL personnel, or individuals that have obtained proper written permission are authorized to drive on School Trust Lands for management purposes (lessees may not drive on the land while hunting).
How does mineral rights inheritance work in North Dakota? To inherit your mineral interests in North Dakota, North Dakota law has a rule that the grantor must have transferred them to an appointee or transferred directly to you to take effect at a certain time.
Mineral interests last indefinitely as long as they are not abandoned. Minerals are considered abandoned when they have not been used or claimed for twenty or more years. Minerals are ?used? when some type of activity such as production, leasing, or conveying occurs under North Dakota law.
Yes, mineral rights can expire. There's no one answer to when they'll expire or how long they last. All agreements have different term lengths.
Conventional Wisdom Says Never Sell After all, simply owning mineral rights costs you nothing. There are no liability risks, and in most cases, taxes are assessed only on properties that are actively producing oil or gas.
A mineral rights owner does not necessarily have to own the land property itself but must have a legal agreement with the property owner. In North Dakota, mineral rights can be transferred in three ways: deed, probate or court action.
First International Bank & Trust's MineralTracker recently produced and presented a 40-page summary to the North Dakota Land Board estimating the total value of North Dakota-owned oil and gas mineral rights at $2.8 billion, an 18% increase from prior year.
The mineral rights value in North Dakota is typically be between a few hundred per acre and a couple thousands per acre for non-producing/non-leased mineral rights. A lot will depend on which county you are in. If you have mineral rights in McKenzie County North Dakota you are going to see more demand than other areas.