Replies to This Discussion

Permalink Reply by Len Bywaters on December 27, 2011 at 4:00pm

Everything I hear the current offer is $3000/acre and 17% of gross production

Permalink Reply by Shields Mayhew on January 9, 2012 at 8:04am

I just heard an interesting story.  Someone local negotiating through an attorney had a $3,000/acre, 17% Royalty deal done with CHK.  The lease never was executed and the guy from Kenyon who was negotiating is no longer there.  On top of that, CHK will not return this guy's attorney's phone calls.  Not sure what this means but found it interesting.     

Permalink Reply by Joseph Hall on December 28, 2011 at 10:29am

Hi Todd, Seems like everyone is afraid to list their offers or haven't got any. My offer is stuck at $3000 and 17.5 net, which is too low and should be gross at wellhead. There is reportedly drilling going on in Hancock County and I wonder what they got?

Permalink Reply by Todd on January 1, 2012 at 2:57pm

If you have a decent chunk of property ie. greater than 50 acres, CHK would settle for close to $4000 per acre with 18% Gross.  They're at $5800 per acre across the river in Columbiana County.  Once the drilling begins on the first Utica well in Hancock and they find the results, the offer should increase.

Permalink Reply by George Bailey on January 3, 2012 at 12:54pm

Mark, you actually want royalties paid at "gross" at the well head. If you take "Net" all production, refining, transportation, and marketing costs are reduced from the property owner's royalties. 

Permalink Reply by Todd on January 5, 2012 at 2:02pm

Joseph,

 

Call Jeff Rokisky in Weirton in order to join his land group so that you will have more negotiating power.

Permalink Reply by George Bailey on January 6, 2012 at 3:31am

Have you talked to Rokisky? I just wonder how much more $and % he will be able to get.  

Permalink Reply by Todd on January 10, 2012 at 4:07pm

We'll see... If I had it to do over again... I would have been an oil and gas attorney! :(  Thank God I have a significant amount of property in Hancock County that is all of a sudden worth something.

Permalink Reply by Edsel Emery on January 18, 2012 at 3:58am

Has anyone gotten any news on the Rokisky group?  Everything seems very quiet.

Permalink Reply by David Wilharm on January 19, 2012 at 4:38pm

There is a group meeting on Tuesday, January 24th at 6:30 at Mountaineer Casino in Salon C.

Permalink Reply by Edsel Emery on January 19, 2012 at 4:49pm

Thanks David.   I haven't heard a thing.