google bot detected Oil And Gas Lease | Real Estate Glossary | Realestateagent.com

Oil And Gas Lease


Definition of "Oil and gas lease"

A lease granted for the right to explore for and recover oil and gas on a specific parcel of property. The terms of an oil and gas lease specify the length of time of the contract, the landowner's royalties that will be paid to the property owner, and any bonus payments including warranties to repair surface damages. For example, an oil company agrees to pay a 10% landowner's royalty on the value of all recovered oil and gas on the property.



Related Real Estate Glossary terms

Related Real Estate FAQ