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Permalink Reply by DS on November 5, 2013 at 10:22am

KIKO'S GAS/OIL MINERAL RIGHTS AUCTIONS GROWING IN NUMBER
By LAURIE HUFFMAN lhuffman@the-review.com Published: November 5, 2013 3:00AM

Mineral rights on 14 parcels of land spanning seven counties were auctioned by Kiko Auctioneers on Monday evening. The seller of the gas and oil rights on the total 2,000 acres was Marcellus Mineral Group LLC, out of Pennsylvania. "The secret to this type of auction is that you have to have the cash. You can't go to the bank and get $3 million," Rusty Kiko said, by way of example, following the auction.

There were 50 people registered that were in the running during the auction. "Some were gas and oil companies, some were individuals, some were farmers, local land owners also supported the sale, and there were some investors here who want to put this into their portfolio," Rusty Kiko reported.

Kiko Auctioneers called the event an "exciting Ohio Utica Shale opportunity," and Dick Kiko Jr., CEO, said there was a lot of interest generated due to the chance it gave the public to get a piece of the Utica action. Gas and oil companies from as far away as Texas and Oklahoma expressed interest, along with some of the Amish population from Ohio and Aubrey McClendon, former CEO and chairman of the board at Chesapeake Energy, who now owns American Energy Partners.

Dick Kiko reported the parcels that were involved were mainly farms, but some had commercial or residential structures on them. It was noted during the auction that many of the parcels also had producing wells already in place, and others had new Chesapeake Energy wells next to them. "Some of the land has already been leased for decades and some is virgin land," said Dick Kiko. "These are mineral rights, and we're in northeast Ohio, where oil has been drilled for years."

The auction was an absolute auction, meaning each parcel was sold to the highest bidder. "We don't do reserve actions, unless there are courts involved, and then we call them Subject to Court sales," said Dick Kiko, who is considered one of the foremost gas and oil authorities at the company.

"We have spent many months preparing for this type of work, which we began in 2008, when we saw the market opening up. I feel we are very well positioned to handle the real estate surface and/or real estate minerals, sold either together or separately for our clients," Dick Kiko closed.

Bids went on for about an hour and a half, and the parcels sold at a wide range of prices per acre, anywhere from between $400 and $500 per acre to over $8,000 per acre.
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For final sale prices, visit www.kikoauctions.com, call 330-455-9357, or view The Review video posted on our website at www.the-review.com.

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Permalink Reply by Fred Flintlock on November 15, 2013 at 4:40am

They are the same people as COLETTA HOLDINGS,  The same people holding an auction for mineral rights in Lawrence County Sat. 16.

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