Replies to This Discussion

Permalink Reply by Jeff Oberdorf on April 5, 2011 at 4:27pm

Seneca and Anadarko are hot and heavy in your area.  Seneca (National Fuel Gas) is brining a pipeline from the DCNR tract in Lewis Twp down to the Transco and hope to have it operational by fall.  The area is proving to be really good, I would think no less than $4,500/acre and 18% minimum.

 

Permalink Reply by Keith Barrows on May 18, 2011 at 1:39pm

Have there been any signed leases lately that have been over $4500 an acre?  In late 2009 and into 2010, some lease rates seemed to hit 5500, 5750, etc.  I have heard in some areas rates have dropped, but I don't think they have much in Lycoming County.  If you had to guess Jeff, what would you guess for a 100 acre property in Mifflin Township, near the PVR pipeline?

Permalink Reply by Jeff Oberdorf on May 18, 2011 at 3:14pm

I would think Mifflin Twp is a good area judging by the number of wells already drilled there.  Range, Chief, Anadarko and Seneca seem to be working that area.  I haven't heard much lately as far as the going rates but the more important thing is a well written lease.  Once you get a well a good royalty percentage and a well written royalty clause will bring you much more money than the initial signing bonus.  That is where the real money is at.  An experienced GAS attorney is worth every penny when it comes to signing a lease!  I will check with Seneca to see if they have interest in your area.

Permalink Reply by erik feist on June 13, 2011 at 7:44pm

Currently have an offer from Seneca on a 100+ acre property : 5 year lease 4K/acre and 19% royalties in Gamble.

Has anyone done better lately or negotiated up from their offer?

Permalink Reply by Steve on June 14, 2011 at 10:49am

Eric

 

I am working with clients who own almost 400 mineral acres in Lewis and Gamble Tps who are negotiating with Range.  I'd be interested to speak with you concerning your discussions w Seneca.

Permalink Reply by erik feist on June 14, 2011 at 1:42pm

Who do you think is going to be drilling?  RRC or Seneca?  One of these parcels is on Trout Run Mtn and the other is in Rose Valley.  Ameriprise is running a pipeline across Trout Run Mtn.   Where are your properties? 

Permalink Reply by Chris Downey on June 29, 2011 at 9:33am

In the next 6 to 12 months, there will be a ton of leases due to be renewed.

I am wondering what   bonus rates/royalties are being negotiated currently

in Lycoming County. Any input would be appreciated.

Any and all townships.

Any tricky changes in leases to watch out for?

thanks

chris