Oil and Gas
Renewed interest in Michigan natural gas exploration and development rose dramatically during spring 2010 with the news of a productive new well in the Collingwood Shale formation in Missaukee County. May 2010 lease auctions for mineral rights on state land in northwest Northern Michigan fetched record amounts. Although the 2010 excitement has settled down, there is still a lot of discussion about Michigan’s oil and natural gas potential. This page is designed to help landowners and local officials learn more about oil and gas leasing, the issues related to natural gas exploration and sources of information.
Upcoming landowner meetings
MSU Extension sponsors public meetings for landowners to educate them on the following topics:
- Regulation of the Michigan oil and gas industry
- Advances in drilling technology
- Understanding the standard oil and gas lease
- Negotiating changes to the oil and gas lease
- Legal considerations in oil and gas Leasing
Check MSU Extension’s energy-related events to see any upcoming oil and gas development events.
Use the Ask an Expert feature below if you have a specific question about oil and gas development.
Oil and gas leasing video
A new video is now available to help landowners learn about oil and gas leasing. The one-hour presentation was developed and narrated by Curtis Talley, MSU Extension Farm Management Educator, and oil and gas leasing expert. Watch the Adobe Connect session video. This same presentation is also available as a DVD and can be ordered by contacting the Oceana County Michigan State University Extension office at 231-873-2129 or sending an email to .(JavaScript must be enabled to view this email address). There is a $10 charge for shipping and handling.
Resources
MSU report highlights potential economic impact of oil and gas development
Expanding natural gas production could create thousands of jobs and generate millions of dollars in additional economic development and revenue, according to a report Michigan State University economist Bill Knudson. Download the report.
Fact sheets and publications
From MSU Extension
- NEW: Compulsory Pooling and the Landowner that has not signed an Oil and Gas Lease
- MSU Extension Oil and Gas Newsletter (March 2013, December 2012, September 2012, June 2012, March 2012, December 2011, September 2011, June 2011, April 2011)
- Land Ownership Affects Oil and Gas Leasing Rights
- Oil, Gas and Mineral Rights brochure from MSU Extension and Michigan Farm Bureau
- Landowner Information for Oil & Gas Leasing
- Oil and Gas Expert Resource for Private Landowners
- Right of Way Information for Landowners
- Landowner Guidelines for Evaluating Oil and Gas Production Contracts
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Oil & Gas Lease Addendum August 2010 (A lease addendum (exhibit) can be used to modify the terms of a lease. Each addendum (exhibit) will be different depending on the language in the underlying lease, the situation and the owner’s goals)
- Oil & Gas Income Tax Considerations for Farm & Forest Land
From Michigan Department of Environmental Quality
- NEW: A Brief Explanation of Mineral Rights
- Pooling of Properties
- Questions and answers about hydraulic fracturing in Michigan
- Collingwood and Utica Permits and Applications as of July 25, 2012
- State of Michigan Oil and Gas Lease
- Stratigraphic Nomenclature for Michigan
U.S. Department of Energy
From other sources
- Michigan Utica Collingwood map - privately maintained interactive map showing showing applications, permits, drilling, wells and production.
- Balancing the Economic Benefits with the Environmental Impacts of Shale Energy Development - Ohio State University. An excellent webinar providing an overview of shale gas economics, issues and trends.
- Understanding and Negotiating the Oil and Gas Lease - Cantafio Law. An excellent publication written in layman’s language primarily regarding leasing. One of the topics and discussions is sight drafts, which is the big problem with payments to a lot of landowners in Northern Michigan.
- Check List for Oil & Gas Mineral Leases by Michigan Farm Bureau
Presentations from the oil and gas leasing workshops
Cheboygan and Emmet Counties, June 2, 2010
- Introduction to oil and gas leases - Curtis Talley, MSU Extension
- Oil and gas leasing issues - Susan Topp, Attorney
- The Utica Gas Play - Andrea Sullivan and Andy Stempky, DNRE
Grand Traverse and Leelanau Counties, June 24, 2010
- Oil and Gas Contracts - Issues for Landowners - Dr. David Schweikhardt, MSU
- A Lawyer’s Perspective - What A Landowner should know - Philip R. Rosi, Attorney
Links
- Penn State Cooperative Extension Natural Gas website
- Cornell Natural Gas Development Resource Center
- Michigan Department of Environmental Quality Office of Oil, Gas and Minerals
- Michigan Oil and Gas Association (O&G Industry News)
- FracFocus - A website provide factual information concerning hydraulic fracturing and groundwater protection. Managed by the Ground Water Protection Council and Interstate Oil and Gas Compact Commission.
- Hydraulic fracturing information page – Michigan Department of Environmental Quality
- Hydraulic Fracturing Page - US Environmental Protection Agency
