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House of Representatives
Session of 2013 - 2014 Regular Session


Posted: January 11, 2013 10:03 AM
From: Representative Tina Pickett
To: All House members
Subject: Recording of Release from Oil and Natural Gas Lease Act (Former HB 2320)
In the near future, I plan to reintroduce the Recording of Release from Oil and Natural Gas Lease Act. This legislation will provide a formal method for landowners holding oil and natural gas leases to obtain a release from the lease upon its termination or cancellation. Specifically, this legislation will:
  • Describe a release and its contents
  • Provide that a lessee (an oil or gas development company), shall deliver to a landowner a release not less than 30 days prior to the termination or cancellation of the lease
  • Provide for a process to record the release document
  • Establish a process to address instances where a release is not provided to a landowner

The intent of this legislation is to provide a process for addressing situations where a lease has expired, contains no renewal clause, and the landowner would like to sign a lease with a new natural gas development company. In a number of these instances landowners are being asked for a release before entering into any new lease with a different natural gas development company. The lack of a formal process for addressing this need has led to unnecessary delays which prove to be a significant barrier to a landowner simply attempting to continue to try and develop the natural resources under their property. Similar requirements exist in New York, Kansas, Oklahoma, and Louisiana.

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Introduced as HB402