Owner Relations

Allow our team to guide you in the leasing process. Learn more information on how our team can assist you with updating ownership and contact information as well as contacting accounting and land departments.

What you need to know about leasing?

An oil and gas lease is a legal contract between a mineral owner and Shenandoah which grants Shenandoah the rights to drill and produce the mineral owner’s oil and natural gas. In exchange for granting Shenandoah the right to explore for oil and natural gas, the mineral owner may be provided an upfront payment (bonus payment) and a royalty percentage of future production.

The Leasing Process

Generally, once an oil and gas lease has been signed, Shenandoah works to confirm the legal title of the owner’s minerals. This title confirmation process usually takes about 120 days. After ownership is confirmed, Shenandoah may make an upfront bonus payment to the owner if found applicable. Once the bonus payment is made, Shenandoah’s team begins to evaluate the potential of drilling a well. Entering into a lease does not necessarily mean a well will be drilled on a property. Using horizontal drilling technology, Shenanodah can minimize surface impacts by drilling from another surface location which could be over a two miles away.

As mentioned above, the lease provides the owner with a royalty, which is a percentage of the revenue received if production is established. If natural gas and/or oil is produced from the property, the lease term will be extended for the life of the well, which could be 20 years or more. A royalty-interest owner is not responsible for any costs associated with drilling the well(s).

What to Consider

There are many factors to consider before and during the leasing process. Establishing economic terms of your lease like royality, lease bonus and other considerations should be weighed against the overall demand and activity level historically seen in the area.

How to get started

A member from Shenandoah is available to answer all of your questions and provide you with the information you need to begin the leasing process. Building relationships with our land and mineral owners is a priority for Shenandoah, and we welcome any inquiry you may have – please email us at: leasing@sepwv.com.