Supreme Court to hear PennEast Pipeline’s bid to seize New Jersey land
Friday, February 5, 2021
Earlier this week, the U.S. Supreme Court agreed to hear PennEast Pipeline Company LLC’s bid to seize land owned by the state of New Jersey to build a $1 billion natural gas pipeline, according to Reuters.
The Supreme Court agreed to take up an appeal by PennEast Pipeline Company LLC — a joint venture backed by a consortium of energy companies — of a lower court ruling in favor of New Jersey’s government, which opposed the bid to seize land.
The case hinges on the court’s interpretation of a 1938 U.S. law called the Natural Gas Act that allows private energy companies to seize “necessary” parcels of land for a project if they have obtained a certificate from the Federal Energy Regulatory Commission.
Learn more: Reuters > U.S. Supreme Court to hear pipeline company’s bid to seize New Jersey land
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How often do royalty payments come?
Depending on the company, royalty payments can arrive monthly or quarterly.
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Yes. If you plan on selling your property, notify the gas company that is leasing your land and your realtor. They will make arrangements to allow the royalty payments to transfer to a different land owner.
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Royalties are payments from the gas company to the landowner as part of a lease agreement. Royalties payments cannot begin until production begins. The payments are dependent upon the market price of the resource.