First of all I would like to say hello, my name is Nick Snell
I am the son of a landowner in Sullivan County. My father signed a five year lease of his 110 acres in Hillsgrove Twsp to Chesapeake. The lease is up in june of 2013 i believe...Does anyone know the chances of them wanted to renew his lease? I am assuming they would be interested because of their large investment in the area.
I have looked at several of the map that have been posted on the board... I am curious of any new development or activity in the hillsgrove area? we live 3.5 hrs west of the land so we dont have many opportunities to see the area.
I have been reading some articles on the internet about protests of fracking and the environmental issues that are tied with it. Does anyone know if these issues are focused in certain areas or is it a general consensus?
Thanks and I look forward to your responses as well as learning from other posts!
I can't really answer your questions, but here is another article for you to read...it is one person's
take on what is going on in this general area...take it with a grain of salt, and file it away or delete...
there have been many articles, both pro and con, with regards to the activities and issues...and,
there will be many more in the coming months and years. Drilling is here to stay in this area from
what we all are seeing...It's good to get educated a little if you have the time and patience to do it.
Form your own opinion and go from there - that's the best advice anyone can give at this point...
Time will tell how it all works out.
Another article for you, Nick...like I said, there is a lot to learn and a lot of
different positions on the drilling issues and activities...
Thanks for the info Richard, I really appreciate it! It sounds like this whole process is fairly hazardous, however living close to 250 miles away I am not a exposed to the affects. Hopefully as drilling continues (and it looks like it will for a long time) companies are to drill in a more safe manner. From the wealth of oil in this area, do you think i would be safe to assume that my father's lease will be renewed?
A correction on the location of my father's land...his property is in Forksville
While there is a possibility that your father's lease could expire I would make a good bet that CHK will
be able to extend the lease by various means. Part of the key to this would be found in the lease and how it addresses the term and any extension that might be executed. My guess would be that your father's property will be included in a unit and will then be held by production (HBP).
But you really need to review the lease before you can make a good determination on what may happen.
Nick, with 110 acres it would be worth a lawyer looking over the terms of the lease regarding renewal if you aren't 100% clear on it. The gasco's are drilling aggressively so there's a good chance it will be automatic. However, there may be some clauses that they may not like anymore, and will try to renegotiate with you. For instance, is there a limit on the unti size in your lease (640 acres?). The companies are trying to create 1200+ acre units and are renegotiating all over the county. If they approach you it is an opportunity to negotiate better monetary terms. Take full advantage of it! know the cards in your hand.