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Baker, Dublikar, Beck,
Wiley & Mathews
330-470-7780

Navigating the installation of an oil or gas well in Ohio

Landowners in Ohio are often happy to benefit from the mineral riches that exist below the soil on their property. Oil and gas production is one of the most common industries in Ohio. In fact, Ohio is one of the top five states in the country for small-scale oil wells and production. Only Texas, Oklahoma, and Pennsylvania have more wells across their states than Ohio does.

Thousands of property owners in the state assert their legal rights to access oil deposits under their land. Some families only have one well, which may produce only a trickle of income. Others may have multiple wells around their property which produce significant levels of income for the family. Regardless of how large-scale your plans are, you will need to take certain steps to install a well.

Typically, this process involves signing a lease with a commercial company that then operates a well on your land. However, issues can and do arise. For example, if the deposits on the land exist very close to a boundary, your neighbor could want to lay claim to them as well. Alternately, your neighbor could oppose the installation of a well on your property because of its proximity to their land. Navigating these issues can prove to be somewhat tricky.

Potential issues for property owners

Profiting from the natural reserves on your property can be more complex than you might imagine. There are critical permitting processes, as well as leases to negotiate. You have an obligation to comply with all state and federal rules regarding the installation and maintenance of a well. To protect yourself, you will probably need to start a business or corporation to handle the process.

It is possible that your local community or even your neighbors could oppose your plans to access the oil or gas deposits under your property. Compliance with all of these regulations, creating a business, negotiating that lease and dealing with contentious neighbors are all stressful issues you don't want to handle on your own. Partnering with an Ohio attorney who has experience with oil and gas cases can help make the entire process easier for you.

It isn't a passive stream of income if it stresses you out every day

If you have to invest hours of your time and lots of personal energy into the process of installing or maintaining your oil or gas well, it will not really be a passive form of income, which is the true appeal of these systems.

By partnering with an attorney who understands Ohio state laws and the complex negotiations involved in the installation of such a well, you can go back to focusing on your life and career instead of worrying about the minutiae for a potential revenue stream for your household.

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