"PA $2Billion,OH $1.9 Billion and the money keeps on coming"

Tell me it isn't a rumour, PA gets Cracker and OH gets the hugh gathering midstream deal?

 

Like I said many times here, be patient, you ain't seen nothing yet.

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Permalink Reply by Jason on March 18, 2012 at 12:22am
Shale Gale - I don't know why you are so irate and so full of hate/bitterness/jealously but seriously, I feel that you are losing site of the big picture.
I have a small piece of heaven in SW Beaver County that was my wife's grandparents farm. The neighbors around us were signing leases up until January 2011 of $1500/15% net from CHK. I was offered one myself from a landman named Joel. The lease was boiler plate and did not give enough protections. I(we) held off. The neighbor up the road suggested the Co-Ex group. I checked it out. I understood there were fees involved but I signed up because of greater protection, a better bonus and gross royalty, support along the way, attorneys I could call and ask questions, and the reassurance of knowing that if they didn't come up with their end of the bargain that they would not get paid.
This is still the USA. I made an informed decision. It's like playing poker, you have to know how to play the hand dealt to you.
Did I get better than $1500/15%? Absolutely. Did the management at Co Ex make a commission, absolutely. It's a win win. And if landowners feel that they can negotiate without a group, then no one is forcing their hand. But to attack someone because of how they get paid is childish and small. Attacking others because of their ideas is bringing this country to its knees. There is so much else to offer.
I don't know either of you, so please don't feel like I'm a planted comment.
Permalink Reply by Jason on March 18, 2012 at 1:10am
You can point out all you want about specific numbers and who is doing a better job. This site is a wonderful tool for those BLESSED to be in the play. I apologize of you thought I was name calling. I was not and am not into that. I'll leave that up to you and Jim.
Beaver County was the LAST area in western PA to have sufficient leasing activity until the large Mt Jackson Group was signed. I watched as all of my neighbors either signed with CHK for 1500 or with the landowner group with the promise of $3000/17%. At the time I agreed that even at the once 5% fee imposed by CoEx - $2992.50 is and was considerably higher than what CHK was offering. And to be completely honest - January Range called me and was offering me only 2500 / acre. (I had a family emergency during the signing period in October and co-ex still sought permission with CHK to allow my land to be included in the October lease that was offered.
I used to sell insurance out of college. A percentage of something is better than 100% of nothing. The big money I look forward to is the royalties. I appreciate what ANY landowner group can negotiate for their clients of the terms are black and white and nothing in the fine print.
I am still waiting for my bonus from CHK. Did I leave money on the table and had I held out for more, could I have received it? Maybe in another year or two. I just didn't want to take that gamble.
God bless you and your efforts.
Permalink Reply by Jason on March 18, 2012 at 1:27am
And my comment from February 2011 was just what you say this site was for - education. Getting the word out to others in the area about the group that I had heard about only a week or so before.
Paint me as you wish. I know no- one from CoEx. At the time - it was the best chance I had at a better deal.
If you had something better at the time - I gladly would have been all ears.
Look up any other comments you can find about me - the truth is the truth. My only wish is that my 74 acres is wholly or partially included in a unit.
Permalink Reply by Jim Litwinowicz on March 18, 2012 at 11:18am

Furthermore, we have not assessed any fees on the royalties for four or five months.  That was a short term issue because of people that came late to a deal that was far and above any other offer out there. And it was after a year and a half of hard work to get it done.

We are now working several groups in various counties and are not assessing any royalty fee to any one and have not for many months. And to my knowledge, there are no plans to do so in the future.

Your fixation on that one issue is because thats all you got.  Our company has a good track record of getting the best deals for landowners. Landmen hate us because we are taking their business. Other groups don't like us because they have difficulty competing. Gas companies would love to break up groups and deal with individual landowners that are unaware of many leasing issues. I suspect you are in one of those groups and are doing your best to drive people away from us for your own financial interests.

I only ask for anyone interested in leasing is to come to a meeting and listen to what we offer. Go to other meetings, talk to your neighbors, talk to attorneys, and then decide which avenue is best for them. I am very confident that we will do well in an open, competitive environment.

Permalink Reply by Jim Litwinowicz on March 18, 2012 at 10:02pm

not making off my neighbors...making lots of money for them. When I run into them, the smile and shake my hand. Often buy me a beer.  One offered to pick up my lunch. just like your buddy pumpjack will do if gets the guts to take the bet...or is that you?  I'm not sure.

And since your such the super hero of ethics, why don't you rail on about oil companies sending out leases full of loopholes, trap doors, and deceptions?

Or about how land men go about with bank drafts of a couple hundred thousand dollars the very first time they meet a landowner hoping they will be blown away by the big numbers so much that they just sign the standard crappy lease?

Why do you never rail against the flippers that take advantage of the elderly or the Amish and sign them at $500 or $1000/acre and 12.5% royalty?

Or against the people that were charging 10% or higher? Or the other outfits that charge every single landowner they represent a fee against future royalties?

Permalink Reply by Jim Litwinowicz on March 19, 2012 at 3:11pm

I made money with my neighbors.  After two years of trying to get a good lease, and being told that $1500/acre and 15% royalty with deductions was the best we could get we made $1350/acre more, after were fees deducted,  by going with Co-X along with a 17% royalty with no  deductions. They were very happy to have paid Co-X their fees.

Permalink Reply by Private KeepOut on March 16, 2012 at 5:08pm

Are those colorful bills the old Saddam Notes!!!! LOL

Permalink Reply by p umpjack on March 19, 2012 at 7:59pm

so diamond jim moving the goalposts?

you made money on your neighbors in mt jackson...you know it and I know it

what about the lambs you are leading to slaughter in venango co with lawyers mopo? % of upfront and royalty tsk tsk

got them good and corraled at the altar of greed...............

Permalink Reply by Jim Litwinowicz on March 16, 2012 at 5:05pm

One thing they keep stating is that this will create 10,000 construction jobs. Don't count on all of this as being local jobs.

My guess is that a substantial amount of the equipment will be built elsewhere and brought in by barge. That is one big reason to build on a river.  Very large equipment can be built in Louisiana, Texas, or even in foreign countries and do the final assembly on the site. I'm sure that would save them hundreds of millions doing that.

Its a great thing to have here but need to keep a level head about it.

Permalink Reply by Chartist on March 16, 2012 at 6:30pm

Shell hasn't even decided if it's going to green light the cracker project yet.....They may take another two years to do so...And I don't believe many direct cracker jobs will be filled by those in PA unemployment lines....I work in a refinery and it's very specialized

Permalink Reply by Ken Schwer Sr. on March 16, 2012 at 6:42pm

 I'm a an excavator and dozer guy. Pads are short term for my experience.

Permalink Reply by Nelson E. Yost on March 17, 2012 at 9:19am

Work is work! What excavator job is not short term?

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