Anyone getting offered a multi formation lease in Trumbull? I know PAC development has already successfully negotiated a multi formation lease. They are producers of the clinton formation. They keep your clinton formation and broker the utica to the big playeres and giving or matching top dollar for your lease per acre!!! You could possibly have income coming in from two different formations plus up front money. That will fat'n up the bank account!

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What are they offering do you know?
What part of trumbull are you in?

Braceville township by Newton Falls

 

Careful boys.  What's that mean:  "PAC brokers the Utica"  and "PAC [gives or matches] top dollar for your lease per acre?"  What type of reassignment clause does PAC offer?  

 

JAB,  I would be VERY careful with that.  I don't know about this particular company but there are alot of shallow well producers that are trying to convince people this is a great thing because they do not have the money or technology to go after the deep stuff.  Virtually all the reputable companies that are after the deep rights are willing to work with these companies because they put a shallow well on the property and hold it by production and then the big companies can drill when the time is right for them, not you.

Many shallow well producers are experiencing the"Walmart" effect as I call it.  The price of natural gas is half what it was a few years ago because of the market being flooded with the dry natural gas produced in Pa and WV over the last few years in the marcellous.  Since the very small amounts(compared to horizontal deep wells) of gas that the shallow wells produce is de-valued so much, they have to come up with ways of securing their own futures.  The big companies are squeezing them out in a huge way (similar to the small stores that Walmart squeezes out when they enter a new area). 

 

Be careful that you do not allow your pennies to control your dollars!  It only makes sense.  The shallow well producers are trying to find a way to survive and many will try virtually anything as they are desperate and see the future is not in their favor.

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