Pipeline Right of Way and Easement Agreement
(Natural Gas Pipeline) (Landowner)

Summary

This pipeline right of way and easement agreement template provides for the installation of a pipeline to transport natural gas. Its conveyance of a right of way and easement for pipeline installation and operation generally favors the landowner, and the parties will sign it separately from an oil and gas lease. This template contains practical guidance and drafting notes. When a natural gas well is drilled and begins production, the gas that is produced has to be transported to gas processing plants via a pipeline before it can reach the marketplace. While these pipelines may span hundreds of miles, the initial pipeline that collects natural gas from the wellhead is located on the landowner's property where the well is physically located. To install and maintain this pipeline, the future grantee under the easement agreement (who is often the natural gas producer) must enter into a pipeline right of way and easement agreement with the landowner. A form of easement is often included in the natural gas lease itself, but these forms of easement are generally unfavorable to the landowner. Therefore, a landowner will want to negotiate a separate form of easement, like this, and avoid entering into the form of easement attached to the natural gas lease. This particular easement agreement includes many provisions that are more favorable to the landowner than to the producer-grantee when compared to the form of easement attached to the oil and gas lease, so be aware of this when using this template. This easement is personal to the producer-grantee (known as an easement in gross), which cannot transfer it to another party without the landowner's consent.This easement defines both a temporary construction area and a permanent pipeline easement area. The easement should specifically identify both of these areas using surveys and drawings attached as exhibits. In lieu of attaching the surveys as exhibits, you may incorporate the surveys by express reference to the survey documents; but, in that case, take care to clearly identify the exact version of the survey that is being relied upon. Outside of peppercorn consideration, this template does not address compensation payable to the landowner, which can vary depending upon the context in which the pipeline easement is obtained and the location of the property. For additional energy easement templates, see Appurtenant Surface Easement (Oil & Gas), Pipeline Easement Form (Upstream Oil & Gas), and Easement Modification Agreement (Upstream Oil & Gas). For additional information regarding oil and gas leases and surface use agreements, see Oil & Gas Lease Agreement Drafting and Negotiation for the Landowner and Surface Use Agreements. For templates related to mineral deeds and the conveyance of oil and gas interests, see Assignment, Bill of Sale, and Conveyance (Oil & Gas), Mineral Deed (Upstream Oil & Gas), Mineral Deed Form, and Mineral Deed Form with Conditions (Term Interest) (Upstream Oil & Gas).