Which covenant does West Virginia recognize as a requirement to market oil and gas produced pursuant to leases?

West Virginia recognizes the implied covenant as essential for the marketing of oil and gas produced pursuant to leases. Implied covenants are not explicitly stated in the lease agreement but are understood to exist based on the nature of the lease and the relationship between the parties involved.

The implied covenant to market oil and gas obligates the lessee to act in a way that maximizes the value of the resources produced, including timely and efficient marketing of the oil and gas once extracted. This means that even if the lease does not specifically spell out this obligation, it is a critical component of the relationship to ensure that resources are appropriately sold and profits are realized by the lessor.

In contrast, express covenants would be directly stated within the lease agreement, which may or may not include marketing obligations. Written covenants refer to those that are documented in a legally binding format, while oral covenants might not hold the same legal weight or recognition in a business context, particularly for real property transactions. Thus, the implied covenant accurately reflects the legal expectations and requirements within West Virginia's legal framework regarding oil and gas leases.