Pennsylvania landowners listen up: The PA legislature has just passed a new bill (SB259) that will provide for better reporting on royalty statements. Better reporting would normally be something supported by the National Association of Royalty Owners (NARO). However, NARO is advising PA Gov. Tom Corbett to NOT sign this new bill into law as passed because at the last minute a provision was inserted that can weaken the bargaining position of landowners who have older drilling leases (pre-shale drilling) who want to renegotiate those leases to allow shale drilling. We concur. This bill, as it is, would not be favorable to some landowners.
A copy of Senate Bill 259 is included below. Here’s our analysis of it…
