News and Events Involving Environmental Law, Published by Chicago Environmental Attorney Dave Scriven-Young
of Peckar & Abramson, P.C. -- (312) 881-6309

New Law #4: Changes to Payments Under Oil and Gas Rights Act

Continuing our countdown of new Illinois environmental laws taking effect on January 1, 2016 is Public Act 99-0129, which adjusts how proceeds from the sale of oil or gas production from an oil or gas well may be made.

1-1-16 Campaign (3)This new law amends the Oil and Gas Rights Act, 765 ILCS 520/10, which governs the rights of individuals to drill for and remove oil and gas from lands located in the State of Illinois.  Those rights include a person’s right to payment from the proceeds derived from the sale of oil or gas from an oil or gas well.  The new law provides that payments may be remitted to payees annually for the aggregate of up to 12 months’ accumulation of proceeds, if the total amount owed is $100 or less.  The threshold had previously been $25.


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