Another Landowner Forced Into Drilling Unit Against Will; Won't Receive Any Bonus Payment

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From Lexology:
The chief of the Division of Oil and Gas Resources Management (DOGRM) recently issued a new unitization order pursuant to R.C. §1509.28. This is only the second such order since the beginning of Ohio’s shale drilling boom. The unitization statute has become an increasingly important legal tool for oil and gas operators. We are seeing a new body of law take shape in Ohio, and last week’s order doubled its volume.
The process of unitization is conceptually related to mandatory pooling (R.C. § 1509.27), and is part of our ongoing blog series on Ohio’s compelled participation laws. (Read part 1 and part 2.) A unitization order allows oil and gas operators to join, or unitize, recalcitrant mineral owners to create the large tracts of land — often comprising hundreds of acres — that are necessary to profitably and efficiently produce hydrocarbons from shale formations while protecting each owner’s correlative rights.
Read the rest of this story here.

Whether you call it mandatory pooling or unitization, this sort of thing definitely strikes a wrong chord with a lot of people - especially when you add in the later part of the story that reveals there will be no order for Chesapeake to pay the landowners forced into this unit a bonus, which is different than the first unitization order in Ohio.

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