New tactic by gas companies?

A coworker has 270 acres 25 miles west of Wheeling WV.  He's in the wet gas region of the Marcellus shale.  Anyway, his lease is going to runout in 10 months without activity.  He got a call from his lease holder, name unknown to me, offering him $14K per acre to buy his whole royalty out.  He said maybe for $30K an acre he'd think about it.  Apparently the drilling companies are taking advantage of the fact that the Marcellus region is populated with a lot of old folks who need money now rather that wait.  I don't know if this is a new tactic or not.  My coworker is only 35 years old so he is not inclined to take the deal but I bet there's plenty of folks who will.

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Permalink Reply by Jeffrey L kerr on February 2, 2012 at 12:05pm

any one know if the marcellus  in the botton left corner of  the state of PA is wet gas. we border weitzel co. and marshal co. wva ??

Permalink Reply by craig on February 3, 2012 at 4:39am

As stated elsewhere here, roughly speaking the wet gas area is N of interstate 70 and West of interstate 79.

Permalink Reply by Dan on February 9, 2012 at 4:38pm

Someone posted in one of the discusions that they found oil in Marshall county.  I don't know if that is true or not though.  I saw 3 seismic trucks going from Elmgrove WV toward PA the other day.  Hopefully they are finding oil and wet gas under the folks there as well.  Good luck.

Permalink Reply by Kelly Fink on February 8, 2012 at 11:48am

Well, I'm not in THAT location but I can tell you that I have 405.44 acres in Armstrong county (of wet marcellus) and if I were offered 14K an acre for the 405 acres.....I would take it, run and never look back.  If anyone knows anyone looking to lease or buy at prices like THAT...."please' send them MY WAY. lol

Permalink Reply by Jeffrey L kerr on February 9, 2012 at 11:39am

saw maps wet gas south western pa along pan handle of wva in to wva,  not just n- of 70 and w- of 79

Permalink Reply by craig on February 9, 2012 at 5:35pm

Wet gas extends into areas that we don't know about as well, I'm sure.

Since CHK let the cat out of the proverbial bag in Ohio (possibly on purpose to lure a partner) i don't believe we will hear anything more about the wet areas until they can't keep it a secret anymore.

If you want to figure out what a well site is producing some things to consider:

The equipment onsite can be abit of a giveaway, if you know what you are looking at.

Of course catching the type of trucks leaving can clue you in as well. 

The Placards of tanks onsite can give you an idea of what is inside, if you can see and decipher the colors/numbers. Here's an example, what do you figure is inside??? 

Attachments:
0l1a6laz7smpfPermalink Reply by 0l1a6laz7smpf on February 9, 2012 at 5:38pm

'confined space' is all I can figure...pls do tell!

Permalink Reply by FXEF on February 10, 2012 at 7:01am
Minor health risk, highly flamable, not explosive.
Permalink Reply by craig on February 10, 2012 at 1:57pm

This tank must be holding oil as I don't believe it is a pressurized tank to hold liquid ethane.

Think I'm right FXEF?

Permalink Reply by Chartist on February 10, 2012 at 2:29pm

That's the kind of NFPA diamond you see on LPG tanks....would apply to ethane.

Permalink Reply by FXEF on February 10, 2012 at 2:48pm
craig,

That would be my guess, most likely oil.
Permalink Reply by Kelly Fink on February 10, 2012 at 8:59pm

Yes! We have "wet" Marcellus in this area! Yay us!!!!!! 

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