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Permalink Reply by Jim Litwinowicz on January 7, 2014 at 1:49pm

There are people buying if the price is right. The question is what is the right price. You will not get anywhere near $10,000/acre unless and until the reserves have been proven there. That may be a few years away.

What is the current price in Crawford?  There were a couple of auctions a year ago and prices went for about $3-4 grand/acre if I remember right, including surface rights.  It was posted on GMS so you can probably find if you take the time. Perhaps check recent sales in deed records to see what land sells for.

Keep in mind there are a lot variables like access to pipelines, depth and thickness of the Utica where you are, how it rates in quality.....porosity, organic content, and more.

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Permalink Reply by james on January 7, 2014 at 2:40pm

Jim, I know $10,000 is not realistic right now, I was wondering what someone would pay per acre for the rights, no current lease or wells on the property? That area is not far from the Ohio line, further north, but still close to the state line. I was going to sell this property in the spring and thought I might get more money by selling the rights and then selling the property separate.

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Permalink Reply by james on January 7, 2014 at 2:47pm

I would like to get $350,000 for property total. It has a 3 bedroom 2 bath house, 3 car detached garage and almost 60 acres of woods, I had a timber appraisal done last fall and it was valued at $58,000. So this would amount to around $6,000 per acre for everything. If you figured $3000 per acre for rights, 2000 an acre or the house and land and around $1000 per acre in timber value, you get around $360,000. Sounds like a lot of money, but your getting 3 different values from the property.

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Permalink Reply by Emily on January 9, 2014 at 4:55am

My family and I figured on doing the same thing. We live in Warren County, Pa and have 94 acres of unleased land. We were hoping to sell mineral rights and then land. However I have made calls and emails to many companies and no one is interested as of right now. They said wait till more activity is in the area and then they might be interested.

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Permalink Reply by IL on January 9, 2014 at 7:13am

Where are you coming up with $3000 for o/g rights in Crawford?  I think you would be lucky to get half of that.  Didn't Halcon just pull out of there?

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Permalink Reply by james on January 9, 2014 at 8:15am

IL, Range was leasing for $3750 per acre signing bonus a little over a year ago in Crawford county. I know nobody is doing much in Crawford right now, but it doesn't make the gas/oil rights worthless, in parts of Ohio they are paying over $10,000 per acre. It would only take 1 good well in Crawford county to get investors excited up there also. Where does anyone come up with what gas/oil rights are worth per acre? Are you the one that tells everyone what their rights are worth? They may be worth $500 per acre, or $10,000 per acre, who knows? Its all speculation at this time.

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Permalink Reply by IL on January 9, 2014 at 8:30am

You aren't in those parts of Ohio and I am not saying they are worthless, but right now I don't think they are worth much is all I am saying.  Halcon's wells were not good and I don't think Ranges are good.  The speculation aspect looks to be diminishing.  Hopefully someone will drill a good one in some part of Crawford sooner than later and I hope you acreage is by it, but right now I think $3000 would be tough to get or justify. 

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Permalink Reply by james on January 9, 2014 at 8:39am

All the counties and states are made up of lines that have no meaning at all as to where the gas and oil windows are, Mercer, Lawrence, Venango, Crawford, Trumbull and a few other counties touch in a lot of areas and the only thing that separates them from bing one big county is lines that someone put on a map and gave them names. Does it mean the gas/oil stops at those lines? No, the gas and oil runs under all of them and in do time the so called experts will figure that out.

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