North Dakota Mineral Leases Granting Clause

North Dakota Mineral Leases Granting Clause

North Dakota Mineral Leases
Granting Clause

The granting clause is usually one of the first paragraphs of a mineral lease, and:

  • describes the land which is subject to the lease,
  • identifies the minerals which are being leased,
    and
  • declares the right of the lessee to use the leased lands for the specified purposes.

Under North Dakota law, only the minerals specifically named in a mineral lease are subject to the lease.

While a mineral owner:

  • has the right to enter onto the surface of the land to explore for, and produce, minerals,
  • such owner must transfer that right to a lessee pursuant to a mineral lease in order for the lessee to have such a right.

North Dakota Mineral Leases Granting Clause – Modern Lease

An oil and gas lease proposed to be used in North Dakota in recent years by one oil company contained the following initial “Granting Clause“:

WITNESSETH, That the Lessor, for and in consideration of

  • Ten and no/100 ($10.00) DOLLARS cash in hand paid, the receipt of which is hereby acknowledged,
    and
  • the covenants and agreements hereinafter contained,

has granted, demised, leased and let, and by these presents does grant, demise, lease and let exclusively unto the said Lessee, the land hereinafter described, with the exclusive right for the purpose of mining, exploring by geophysical and other methods, and operating for and producing therefrom oil and all gas of whatsoever nature or kind, with rights of way and easements for laying pipe lines, power lines and other utilities, and erection of structures thereon to produce, save and take care of said products, all that certain tract of land situated in the County of ____________, State of North Dakota, described as follows, to wit:

North Dakota Mineral Leases Granting Clause – 1981 Lease

For comparison purposes, an oil and gas lease actually used in Ward County, North Dakota in 1981 by an oil company in the business of oil exploration contained the following “Granting Clause“:

WITNESSETH, That the said lessor, for and in consideration

  • of Ten and More DOLLARS cash in hand paid, receipt of which is hereby acknowledged
    and
  • of the covenants and agreements hereinafter contained on the part of lessee to be paid, kept and performed,

has granted, demised, leased, and let and by these presents does grant, demise, lease and let unto the said lessee, its successors and assigns for the sole and only purposes of surveying by geological, geophysical and all other methods, mining and operating for oil and gas, and laying pipe lines, and building tanks, power stations and structures thereon to produce, save and take care of said products, all that certain tract of land, together with any revisionary (sic) rights therein, situate in the County of Ward, State of North Dakota, described as follows, to wit:

North Dakota Mineral Leases Granting Clause – 1977 Lease

For further comparison purposes, an oil and gas lease actually used in Ward County, North Dakota in 1977 by an oil company in the business of oil exploration contained the following “Granting Clause“:

Lessor, in consideration

  • of Ten Dollars and other valuable consideration, in hand paid, receipt of which is hereby acknowledged,
    and
  • of the royalties herein provided and of the agreements of the lessee herein contained,

hereby grants, leases and lets exclusively unto lessee for the purpose of investigating, exploring (by geological, geophysical or any other methods), prospecting, drilling, mining and operating for and producing oil, liquid hydrocarbons, all gases, and their respective constituent products, injecting gas, waters, other fluids, and air into subsurface strata, laying pipe lines, storing oil, building tanks, power stations, telephone lines, and other structures and things thereon to produce, save, take care of, treat, manufacture, process, store, and transport said oil, liquid hydrocarbons, gases, and their respective constituent products and other products manufactured therefrom, the following described land situated in Ward County, North Dakota, to wit:

North Dakota Mineral Leases Granting Clause – Comparison of Lease Terms

There are no significant differences between the terms of the three Granting Clauses identified above.

Topics of Interest – North Dakota Ancillary Probate

Topics of Interest – North Dakota Mineral Rights.

Topics of Interest – North Dakota Transfer on Death Deeds

Topics of Interest – North Dakota Affidavits of Heirship

Topics of Interest – North Dakota Intestate Succession.

Topics of Interest – North Dakota Informal Probate

Topics of Interest – North Dakota Intestate Succession.

Copyright 2019 – All Rights Reserved

North Dakota Mineral Leases Granting Clause

 Gary C. Dahle –  Attorney at Law
2704 Mounds View Blvd., Mounds View, MN 55112

 Phone:  763-780-8390   Fax:     763-780-1735      gary@dahlelaw.com

Gary C. Dahle has represented clients from the countries of Canada, Norway, and Sweden, and the states of Alabama, Arizona, California, Colorado, Connecticut, Florida, Idaho, Illinois, Indiana, Iowa, Louisiana, Maine, Massachusetts, Michigan, Minnesota, Missouri, Montana, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Tennessee, Texas, Virginia, Washington, and Wisconsin in the United States, with respect to North Dakota mineral rights and probate issues in various North Dakota Counties.

http://www.legis.nd.gov/general-information/north-dakota-century-code

Legal Disclaimer

Information provided herein is only for general informational and educational purposes.

North Dakota mineral rights law involves many complex legal issues. If you have a specific legal problem about which you are seeking advice,  please consult with a North Dakota attorney of your choice.

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