Information about drilling activity, pipelines, etc. in Millwood Township.

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Scott,

The best I could do.  This is a Word document of the screenshot.

Attachments:

Excellent. The first property in the SE lateral after it crosses Putney is ours, and the "L" shaped piece to the right of it is ours too.

I am wondering how we determine if our entire acreage is in the McClain unit, does anyone know how to do that ?

Would they want a 1280 acre unit, or would they do a larger unit to the NW and a smaller unit to the SE and place it all under the HD McClain ?

Trying not to sound greedy, but we have been dealing with a ton of nuisance for two years now in anticipation of being in a unit to be drilled.

You need to call Antero and have them give you the info. They should have it for you

David, you can use the "Draw and Measure tool" in the ODNR oil and gas viewer to estimate how much of your land is in the unit.  Assuming a 550 foot set back.

Thanks Jan & Phil.....

This is the exchange via email between myself and someone at Antero Resources:

We know from the ODNR division of oil and gas well locator map that the HD McClain pad has a leg permitted which goes right through our property. Ours is the first property South of Putney Ridge rd. with the SE leg running right through it, we also own the "L" shaped parcel on the right of it as well.

My question now is how much of our acreage is in the unit, assuming that Antero still owns our lease ?

Our parcel numbers are 23-0000018.001 and 23-0000019.000. We are at 22922 Putney Ridge road in Quaker City Oh, 43773.

There has to be a status change with our lease if we are permitted for drilling, I would assume.

Thank you,

xxxxxxxxxx

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I attached the link to the new ODNR locator showing the leg going under our property.

This is the response:

Hi xxxxxx, I looked at the map that you sent me and I see what you are talking about. This looks like a Chesapeake proposed well, from the information on the ODNR website. I show that your lease is still with Antero, Chesapeake hasn’t notified us of anything. This information on the ODNR might be outdated because I’m still not showing you in a unit yet. I would possibly get in contact with Chesapeake and ask them if they have any information.

 

Let me know if you have any other questions. Also if we get notified of anything I’ll be sure to let you know.

Thanks

xxxxxxx

So what is going on here ? I would assume that the person emailing is in Colorado or wherever and the information they are looking at is not current with the operation here in Ohio.

Still, it makes me a little nervous.

Chesapeake is notorious for bad practices, could they be up to something ? Would they have gone to the trouble of permitting a leg without gaining some agreement with the other lease holders ?

None of the acreage on the SE leg is Chesapeake, that I know of anyhow.

I doubt there up to something. Talk to eclipse also because they have acreage begins you. See what they say. Then go from there. Maybe try contacting chk after you talk to eclipse.

From my understanding, CHK. has to pay royalties to everyone in the unit, regardless of who the parcels are leased to. They would like all parcels to be their leases, but not always so. They have to pay according to your lease agreement with Antero, if that's who you leased with. They cant pay according to their lease wordings, But what your lease says. They usually don't notify the royalty owners until they send out the Division orders.In your case, they will probably notify Antero at that time. maybe not you, since Antero holds the mineral rights. They still may try to buy out your lease from them ,or work out some kind of deal. if not, They will send royalty checks for your minerals to Antero, then they will forward them on to you. Still, you would think that Antero would know by now.They paid you the signing bonus $$$. Now they have to deal with them in some form.    Anyone else in a unit of another company than they signed with got any input?

I purchased my farm from Levi Zook with mineral rights, he had the property leased with with Shell. We are currently in the leg of the McClain well that was drilled and then fracked last spring. My original lease with Shell was then sold by Shell to American Energy Partners. I received a letter from Shell when this took place. Then last fall, Chesapeake drilled the first leg of the McClain well and went right under my farm. This was surprising to me and I have received nothing as far as a notice from Chesapeake to this day. Now it appears that one of the newly permitted legs will pick up most of my land that the first leg missed. I have talked to the Chesapeake rep and he said all is in order. I guess I will see once flow back ever starts.

Oh, Man.  Chesapeake is just gonna totally HATE abiding by your lease terms. If you signed with Shell, you probably signed for 20% GROSS on royalties and absolutely NO deductions!.And  from what I've been reading, AEP doesn't like those terms either and have contacted some folks to try to re-negotiate those leases.  It will be interesting once you start receiving royalty checks. To see if you do get 20% and no deductions, and to see from whom the checks come from. Hope it all works out well .

Bo
You are correct. My lease states specifically 20% on the Gross. No deductions. We will see what happens.

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