Utica offer in Greene County

Received a 1500 per acre offer to lease the Utica today. Although I've been out-of-the-loop for a while now on lease offers, that's seems very low. I understand the turbulent market, and the sharp decline in offers and offer amounts (we were offered 4500 last year before the crash). Has anyone else received Utica offers and if so, we're they higher? No need to post the actual numbers if you do not wish to. Thanks!

John

Views: 3610

▶ Reply to This

Replies to This Discussion

0ym9x5ag7ury2Permalink Reply by 0ym9x5ag7ury2 on April 28, 2016 at 8:44am

Guy,

     One rule to live by is to never sign a Lease or Right Of Way Contract as presented by the company landman.

Find a good O&G Attorney to read the document you are given by the landman and explain why you shouldn't sign it. Then have the Attorney re-write the document, or use one of his leases written to favor the landowner and not the company who wrote it.

Companies write documents that most people don't understand the significance of, and most paragraphs protect the interest of that company. Landowners need to have leases written that favor the landowner from the first page to the last, so when the producer gets greedy there is something for the lawyer to use to correct their behavior. 

My lease is 16 pages long and it's apparent that the producer is in violation of most paragraphs. They are interested in the Arbitration Clause that they were able to get added to the contract, that's about the only portion of the lease they would like to  see enforced. I have other legal plans.

A thief should never ask his victim to sit down and talk about the theft, and the law should never allow the same. That's why most states have an Attorney General. Ohio lost their ag some time back. I know because his Rep told me "The Laws Of Ohio Don't Apply To Oil and Gas Companies" which is false. I wrote down what I was told by the Rep. BUSTED!

Permalink Reply by sldouglass on April 29, 2016 at 12:18pm

Wait for a fair offer.  While prices of O&G are down, a temporary situation, you can expect the guys with the money to take advantage of the situation with low offers.  This may be your last bargaining moment before they move in on you.  At some time your property is likely to be NEEDED.  But you have to think long term.  Look up what Texans pay Texans for their stuff - and it is not as good as the stuff in Appalachia, particularly if you lease all the different productive layers that will produce.

Permalink Reply by paleface on May 2, 2016 at 1:17am

1500 at this time seems to be the average price in Tioga co. Pa

Permalink Reply by Lynn mudder on May 2, 2016 at 1:21am
Perhaps that is average in Tioga, I don't know about that area. But I would never consider that offer in Greene, someone tell me if I am wrong.
Permalink Reply by Paul Butler on May 2, 2016 at 1:32am

You ain't wrong!

You could get locked up forever with a loser operator for $1,500/acre.

If I believe any one county is going to get white hot again--it's Greene. 

I thought Waynesburg was the coolest place and loved that whole area. 

Good luck up there. 

Watch out for sketchy operators with sketchy plans and even sketchier employees!

Instead of rats, they want to use people pretending to be Landmen in laboratory experiments because then they won't have to worry about the staff getting attached to the subjects and because there are some things rats won't do.

RSS

© 2024   Created by Keith Mauck (Site Publisher).   Powered by

Badges  |  Report an Issue  |  Terms of Service