According to Marcellus Drilling News, people in Jefferson County, OH are getting offers as high as $6000/acre and 20% for leases with Ascent and Gulfport. These numbers are impressive and reminiscent of offers in the sweet spot during the boom. Hopefully this is a good indicator of what's to come in the near future. Thoughts? Anyone who can confirm these numbers?
G.H.: I heard exact same as of yesterday. Family member met w/attorney in Jeff. County on other land issues and was told same news, specifically about Ascent. Tend to believe as attorney has a finger in the pot and on the pulse. I hope this is true.
Thanks for the feedback. Good to hear.
Ascent now has about a dozen Jefferson county wells with the most recent ones spectacularly productive.
The Ohio oil and gas site is informative in these matters and pretty easy to get info from.
Do you have any information on where in the county these offers are?
Mary beth, would this be consistent throughout jefferson county?
I would guess it is only in specific townships. I could be wrong, but I think that there are few, if any, counties in Ohio where the offers are the same county-wide. Interested to hear from someone who knows, though.
I have recently heard offers nearly that high in Belmont county, so the area of interest seems to be expanding.
Mary Beth, Would you mind sharing which township in Jefferson?
I am part owner of 80 acres in Jefferson County,(cross creek). Got a call from my brother telling me he had a visit from someone offering 5000 an acre. Not sure about the percentage. We were leased in 2007 for 50 dollars an acre just finished that lease. CHK didn't pay the last year of this lease. My question is that if this is real what are the pro's and con's of getting a lawyer.
The landmen seem to be coming back to Jefferson County. That definitely sounds like a real offer. Don't forget that royalty % is important, too.
12 1/2% is the minimum allowed by law - most in this area have gotten several points higher. Make sure it's with no deductibles off of your part of the royalties.
IMHO it's very important to have a lawyer on your side. The oil/gas companies have perfected the lease they offer you to be soley one-sided in their favor. The only con I can think of is if you get a lawyer who doesn't know what their doing or don't care or worse yet are working in behalf of the oil/gas co.
Here are some of the things to be concerned about in your lease:
What constitutes production - some have had a bull dozer come move a little dirt around and became locked into their lease with no real production happening
Getting paid what was promised
Getting a vertical and horizontal Pugh clause
Not being liable for damage or cleanup they cause from extracting the gas/oil from your property.
There are so many more protections for the valuable oil/gas you own. This is life-changing money and commitment both in the bonuses and the royalties and the drilling. Once you sign a lease you may be locked into the terms forever. IMHO that means getting a lawyer is very important.
I spoke to a Lawyer ,now to make sure he is ligit..