All things pertaining to the Marcellus & Utica Shale

Pipeline right of way payments

How is reimbursement for right of way for pipeline construction figured? Is it by the foot and does the size pipe installed enter into the equasion. Melvin.

Replies to This Discussion

Permalink Reply by Bonnie Gray on May 26, 2010 at 1:24pm

well, how much are they paying?

Permalink Reply by Daniel K. Mathers on August 15, 2010 at 10:28pm

I've been seeing a top end of $15-$16 per lineal foot to date. May vary on width of ROW, pressure of gas, size of pipe and number of pipes. You can negotiate location, type of re-vegitation (including liming and fertilizing), surface damage compensation, indemnification, etc along with price.

Permalink Reply by Daniel K. Mathers on August 17, 2010 at 6:09pm

The ones I've seen this week are $15 per linear ft for the first pipe and $10 per linear foot for each pipe thereafter (ie $35 per linear foot for 3).

Permalink Reply by USA Landowner on September 3, 2010 at 10:56pm

Hi , a question I have is that once receiving the money does that mean they never have to renegotiate or pay any monies in the future? Is this not like the lease we established for the gas/oil lease where it expires in five years or can be renewed?
I have property in a neighboring county and am being contacted by the pipeline people. I was told that they also could use 'immient domain' if someone did not want to allow the pipeline...is this true? thanks for any help in this matter.

Permalink Reply by kathy on September 21, 2010 at 12:21pm

Anyone signing for ROW offers in Gamble Twp? We were contacted today. What is the going rate there? Thanks!

Permalink Reply by Timothy L Case on December 25, 2010 at 10:21am

The size and number of pipes does indeed enter the equation. Mr. Bennett, I believe you and I are currently dealing with Anadarko for a ROW for a trunk line consisting of three lines. They will not specify the size of the lines, but a trunk line will be of considerable size. I would guess in the neighborhood of 24 inches on these lines. I can't justify a permanent line across my property for a few relative peanuts such as the figures being discussed here. Think about it this way; they will be transporting perhaps tens or hundreds of billions of dollars worth of product through those lines and all they wish to pay you/me is $15 - $30 per foot on a one time permanent basis?! Not happening. Stand your ground. THEY have a problem, not you or I. We have what they want. We are not desperate for their relative peanuts. If they wish to find an easier(cheaper) route to the north, have at it! Either way, I'm not the party with the "problem".

Permalink Reply by kathy on December 25, 2010 at 10:17pm

I agree completely. They want us to think little and fall into their hands with the hurry hurry and sign tactics. A ROW is not a rental. It is a pemanent ROW which will be in place for generations. The money would be really nice but not for what they are currently offering. We shouldn't be greedy but they will only offer what people currently are signing for. If people stood up for themselves and rejected the pennies they are offering, the offers would improve. I am thankful for our attorney who not only gave us wisdom, but backbone...Not always easy to say no to money though......:(

Permalink Reply by Graveyboy on January 3, 2011 at 12:00pm

i agree 100% they are going to flow billions of $$ worth of gas so i think they should pay alot more than $35.00/ft. What part of Gamble township do you live in?

Permalink Reply by FXEF on January 3, 2011 at 10:06pm

Most pipeline companies pay by the rod (16.5 ft.) and price range from $200 to $800 per rod, depending on the width of the ROW. Large 42" pipelines usually require 50' to 60' ROW, smaller line will require 30' ROW. It's the width of the ROW that will eat up your acres.

Permalink Reply by Graveyboy on January 4, 2011 at 3:10pm

I have been offered 35/ft for 3 lines in a 50 ft row but they won't say how big the lines will be.

Permalink Reply by FXEF on January 4, 2011 at 3:59pm

Graveyboy,

It really should not matter what size the pipelines are. You will not see them, they'll be under the surface. I think your concern should be: will all three lines be laid at one time? If they are laid at different times this will add to more use and disruption of your land.

A 50' ROW at $577.50 per rod for first offer is probably normal. It many times depends on the location and how bad they need your land.

Permalink Reply by Graveyboy on February 16, 2011 at 11:16am

Part of my concern is the risk bigger pipe more risk in the event of a disaster.