Replies to This Discussion

Permalink Reply by Rob on January 9, 2013 at 7:25pm

I know for fact some folks in Washington County were paid $15/foot for 12 and 20-inch pipe last year.  That said, I believe they were paid extra for multiple line rights.  They told me even though the per foot offer was low they had good timber, which provided an opportunity for supplemental compensation - pretty good!  That seems to be the "fudge factor" that allowed everybody to walk away happy.  I'm happy for anyone who can get even more for leasing ROW and I hope I have the opportunity for the same. It does stand to reason though that if my price per foot is unreasonable and my neighbor's isn't, all things being equal, the company will deal with my neighbor. 

Permalink Reply by Jack Straw on January 10, 2013 at 10:52am

bill, RE: "It scares me that they need 100' ROW for one 12" pipe"

There is what they need and there is what they want.

I would not think that they would need such a width for a 12" pipe.

I know of one 100' wide ROW that has one 24" and two 36" pipelines installed.

They do need space adjacent for the equipment; and they do need space on the other side for soil storage (prior to refilling the trench). But, for what amounts to a small diameter pipeline, 100' is excessive; beyond what they truly need.

If they are negotiating for a ROW, it is in THEIR advantage to get as wide an easement as they can. In this manner (if the agreement allows) they have the space and the ability to add pipelines (or in the future, replace the small diameter pipeline with one of larger size and capacity).

They come in, asking for the Moon, and often get it. It is up to the Landowner to negotiate in a manner that gives them no more than what they currently need. If at some future date there is a wish on their part to expand the nature of the ROW; that matter should be handled in future negotiations - not slipped in on the basis of a loosely written original ROW. In demanding an overly wide ROW they are thinking of the future; the Landowner need do likewise.

 

All IMHO,

                  JS

 

Permalink Reply by Aaron R on January 9, 2013 at 8:50pm

I did some more checking today and here is what I found out.  A lot of people are agreeing to $15-16/ft, but the gas companies are regularly agreeing to $40-45 if they want your property.  You should also restrict them to gas lines, or they will be able to put above ground frack water lines across you or even resell rights of way for cable TV, etc if you sign an agreement with no restrictions.  The Penn State Cooperative Extension is doing a seminar on pipeline right of ways in Franklin later this month.  Good luck!

Permalink Reply by bill on January 10, 2013 at 8:40am

Aaron,

I looked for information on the Penn State Cooperative Extension seminar on pipeline right of ways in Franklin later this month but couldn't find the details.  Could you forward the information to me?

Thanks,

Bill

Permalink Reply by Aaron R on January 10, 2013 at 8:22pm

Bill, it was kind of hard to find and the title doesn't fit exactly.  Here are the details, but I was told they were also going to talk about seismic testing and pipeline right of ways.  It would probably be a good idea to call and confirm.  There is another program listed for the same day, same topic and location at a later time.  It's confusing! 

Do Landowners Under Conventional Lease Have Options?

Date and Location

When (Date/Time)

February 6, 2013, 3:00 PM - 5:00 PM

Where

Venango County Extension Office, 867 Mercer Rd., Franklin, PA 16323

Add to calendar

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Seating is limited, so pre-registration is required by calling 814-437-7607

$10/person payable at the door

Agenda:

Overview and Trends of Shale Gas

Do Landowners Under Lease have Options?

Panel Discussion with Attorneys

Question and Answer period

Contact Information

Contact

Venango Extension Office

Phone

814-437-7607

Permalink Reply by Rob on January 11, 2013 at 9:01am

All,

Following up on a previous post about a 30-inch pipeline going in, I did some research and it looks like the only two companies in Mercer with pipe that big are Tennessee Gas and National Fuel Gas.  Since they are transmission companies, I infer that they are upgrading in advance of something big to come.  This is encouraging for all of us leasing with the drilling companies!  They way I figure it, the closer my well is to that line, the sooner my gas gets to market!  If your curious, you can visit this website (https://www.npms.phmsa.dot.gov/).

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