Forced Pooling in Oil and Gas: Navigating State Laws, Addressing Conflicting Rights of Landowners, and Use in Negotiations

Forced pooling, also known as compulsory or mandatory pooling, of oil and gas interests has drawn renewed interest due in part to the increase in horizontal drilling. Ideally, pooling would be done voluntarily with owners of tracts or portions of tracts agreeing to join together to allow drilling beneath their lands.

However, not all landowners are on board and may be forced to accept such drilling without their consent. Forced pooling is important in oil and gas development. But this has been controversial.

Pooling can also play a role in contract negotiations. Operators can offer a deal under which they lease the oil and gas rights beneath a property. However, in the same offer, they may point out that should the property owner decide against leasing, the operator would access the mineral rights under the state’s forced pooling statute.

Landowners and operators must navigate state laws. Though many states have pooling laws, states approach the pooling issue differently. Some states are revisiting their approach to forced pooling.

Listen as our authoritative panel of energy attorneys examines current trends in state laws, leveraging pooling in contract negotiations, and dealing with conflicting rights of landowners. The panel will provide the perspective of both the operator and the landowner. The panel will also provide a point-counterpoint between states with forced pooling and those that do not.

1. State law trends
2. Use in contract negotiations
3. Conflicting rights of landowners

The panel will review these and other key issues:

• How different states approach the issue of forced pooling and states that are reexamining these laws
• How operators are leveraging forced pooling laws and how landowners can respond
• Addressing conflicts among landowners over mineral rights