February 21, 2008

Lawmakers hear dispute between gas drillers, property owners

By LAWRENCE MESSINA
Associated Press Writer

CHARLESTON, W.Va. (AP) -- Property owners who allow natural gas operators on their land hope for legislation this session that would give them greater notice, and potential compensation, from future drilling and road-building.

A joint meeting of House and Senate committees reviewed the proposed "Oil and Gas Surface Owner's Bill of Rights'' during a Wednesday meeting in the House Chamber.

But lawmakers also fielded concerns from industry representatives who questioned the need for the measure. Addressing its notice provisions, Charles Burd of the state Independent Oil and Gas Association responded to bill proponents' allegations of abusive practices.

"These operators and producers make every effort to contact surface owners,'' Burd said. "It's my understanding that these are isolated incidents.''

Among its elements, the bill would require at least two weeks' notice before operators enter property to inspect, measure or survey proposed access road or drilling sites. They must also offer to meet with property owners to explain their plans and consider suggestions for alternate sites.

Operators would provide further notice before disturbing the surface property, with the waiting period based on whether they've reached a use and compensation agreement with the owners.

The bill details such agreements, and in their absence requires a bond for each proposed new well. The law now allows a single "blanket'' bond for multiple wells. Other provisions would change the way owners are compensated for damage to their land, and how they gain household use of gas drawn from their property.