Rep. Ortitay introduces minimum gas royalty landowner protection bill

Rep. Ortitay introduces minimum gas royalty landowner protection bill

Since the natural gas extraction boom hit Pennsylvania, some landowners who lease their properties to gas companies for drilling purposes have become the target of bare minimum payments by those very gas companies legally bound to pay them their fair share of a royalty check.

State lawmakers have heard numerous examples of drilling companies drawing gas from leased properties then paying the mineral owners next to nothing after deducting their share of the costs of piping and processing the gas for market.

In an effort to increase fairness and transparency for landowners who receive natural gas royalties, state Rep. Jason Ortitay (R-Washington) has recently proposed legislation that would define what post-production costs are and what is considered to be an acceptable deduction. 

Thursday, September 7, 2017/Author: Alanna Koll
Categories: News and Views
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