The Oil and Gas Lease in Canada

A comprehensive guide to and analysis of the complex legal document known as the Oil and Gas Lease, including all the relevant cases that have been handed down since publication of the second edition.

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Long recognized as the standard work on the topic, The Oil and Gas Lease in Canada discusses the legal document that determines the process by which a freehold mineral owner may grant oil companies the right to search for and produce minerals. Subjected to ongoing litigation and governmental regulation, the Lease continues to evolve as the body of common law surrounding it grows and develops. The substances covered by the Lease are unique in that their occurrence is uncertain until discovery, and they are capable of moving from place to place within a reservoir. These qualities have led to the development of new legal concepts, basically creating a separate and distinct branch of the law.


This fourth edition of The Oil and Gas Lease in Canada guides the reader through the complexities of the Lease and the legal issues attached to it. John Bishop Ballem brings the text up to date on recent developments, including changes and additions to the terms of the Lease, the effect of recent court decisions, and the growth of coal bed methane as an energy source. Of particular interest is his examination of what takes place following a Lease?s involuntary termination. Ballem deals with specific examples of this situation, detailing its consequences for both individual mineral owners and companies, as well as for future judicial pronouncements. The fourth edition of The Oil and Gas Lease in Canada is indispensable for mineral owners, oil companies, land agents, lawyers, and legal institutions.


A comprehensive and widely used text, The Oil and Gas Lease in Canada has been extensively cited, quoted, and relied upon by the courts. The first edition, published in 1973, served as the definitive legal guide for all those engaged in securing and developing mineral rights in Canada. The revised and updated second edition, published in 1985, dealt with the nature and function of oil and gas leases, the procedures of entering into leases, the most common clauses and their effectiveness, and possible hazards and loop-holes. An important appendix to the second edition was the first model lease drafted specifically for the Canadian industry. That model was a fundamental source in the creation of a Canadian oil and gas lease by the Canadian Association of Petroleum Landmen (CAPL). Because today virtually all leases follow the CAPL form, the third edition examines these leases in detail. In addition, John Ballem takes into account new developments and in the way of decided cases since 1985. Like its predecessors, this edition is designed as a user-friendly road map through the maze of complexities that surround the Canadian oil and gas lease, and the very substantial body of law that has arisen around it. The oil and gas lease is an ever evolving document and as such, those who work with it must continuously adapt to the endless variety of combinations and permutations that arise with each new situation. But it is this variety that makes the oil and gas lease such a challenging and fascinating instrument to work with and The Oil and Gas Lease in Canada such an essential book.