Educated guesses or fact based speculation on Rex plans for Butler county pa.

I thought it might keep Butler county forum more alive and let us look back on hindsight later to see who would be the closest at "guessing" Rex's plans for your individual townships. Especially with the lower prices on gas/oil and industry wide consolidation. Since it is my idea, I'll start it off.                              Using the current Butler county online courthouse records , discussions with land agent and neighbors plus what appears to be actually happening both visually and from permit application info. My best educated thoughts for Center and Clay townships are Rex will move towards the Fleeger site next and then the Gray site.(South west movement).                                                                                                  In the meantime they will proceed with plans for a compressor station north of Renick pad across from Byers road. For those of us with the old Shell leases in the "Moraine east area", I'm stuck between three scenarios :     1) They are waiting for those  leases to expire and then coming back to us with "crappy royalty/bonus" take it or leave it leases. OR                                                                                                                                                                                     2) They will add a small amount of our individual acreage and pay a small stipend for our remaining acres under any pugh clauses we may have OR                                                                                                    3) They will have a subsidiary mineral rights company try and buy our rights for pennies on the dollar, while the gas/oil market is way down.                                                                                                       Also, they will be attempting to lease pipeline right of ways for gas and water in order to continue fracturing process in Center and Clay townships and onward.                                                                   OK Landowners, lets hear what you believe could/will happen around your area. Remember, the more we share the more we will all know.

 Any brave landowners want to go next? It's all in fun and education. No personal attacks allowed.

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Sorry, I thought I placed this in the Butler County Forum- I screwed up and apologize to everyone.

#4 they will do nothing. 


A farmer friend from one of the Northern Butler Townships said that he heard that Rex would let the local farmers Shell leases expire. 

Also, I got a "minerals" offer in the mail the other day and there was an asterisk on the offer number and at the bottom of the page it said something to the effect that this offer would be reduced if the landowner had a Rex/Shell lease due to the likelihood that Rex would let the Shell lease expire.

I'm in Southern Butler County (Forward Township) so I don't hear any local chatter about the old Shell leases.


What about worth township? 

Hi Philip T., I just received a mail offer with same asterisk notation. I figure Rex will probably let old Shell leases expire so they don't have to honor any "no deduction" lease and pay 18% royalties. My plan personally would be to either carry on business as usual or sell my minerals to an unrelated entity of Rex. If I would ever consider selling my minerals, it would have to be when the market recovers. This way Rex would actually have to pay "bigger " monies to some third party than they would have had to pay me. I would do my "due diligence" to make sure it wasn't any possible joint venture partner, etc.. However, in all probability I would just forget about leasing or selling at all. I would just go on minding my own business. I enjoy my land as is and am comfortable w/o any oil/gas money. Just my personal thoughts. Bob A.


Between what Shell did and what Rex, EM Energy and XTO are doing, there is a fair amount of horizontal drilling going on in Center, Oakland and Concord townships.  Shell flared many wells but none went into production so the performance of these wells are only known to some Shell and now Rex people.  The general public will not get to see any real production numbers for several more months.  So land values are hard to assess.

At today's prices I doubt that many Butler County horizontal wells are even economic.



Why would rex buy leases to let them expire?


Robert Allingham said: "I figure Rex will probably let old Shell leases expire so they don't have to honor any "no deduction" lease and pay 18% royalties."

Plus, with oil and gas prices in the toilet, Rex is not going to rush out and develop 200,000+ acres and the market for such average must surely be depressed.


They had to buy the whole package but that doesn't mean they wanted every lease Shell had.

where is the gray pad located at? Thanks

I attached the Gray Unit Well Permit Application, which includes the well location plats.


I also attached the Fleeger Unit Well Permit Application for anyone interested.



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