Go Marcellus Shale

All things pertaining to the Marcellus & Utica Shale

lease extension

People around us  all leased to CHK are recieving letters to entend the lease for 2 years @ 500 an acre, everything in the original lease stays the same, however there is still a year and a half left on the lease. I could see 2 or 3 months before it expires but not this early. any ideas?

Views: 437

Replies to This Discussion

Permalink Reply by G S Gass on December 14, 2011 at 7:21pm

I'll bet CHK has uncommitted funds in their 2011 budget.  Could be a signal that the 2012 and 2013 lease acquisition budgets have been trimmed.

Regards,

G S Gass

Certified Professional Landman

Negotiating better agreements for Landowners/Lessors

Permalink Reply by JRW on December 16, 2011 at 5:52pm

Thanks VG.. our lease cannot be extened after 5 years unless they

 hold by production. We are not in a unit and the closest well is a at least 2 miles away.

My guess is they are trying to buy time untill the Marc 1 pipeline is completed so they they dont have to renegotiate a new lease.

RSS

ShaleBiz Royalty Calc for iPhone

ShaleBiz Royalty Calc for Blackberry

Join a Group & Get Connected Locally

© 2012   Created by Keith Mauck (Site Publisher).

Badges  |  Report an Issue  |  Terms of Service