Royalties >>> How much per acre in a monthly royalty check

How much per acre in a monthly royalty check ? Certainly it would depend on a few or maybe many factors ..... but give examples if you have them please.
If someone has the figure for drilling in a section ( say about a square mile or 640 acres ) and how many wells were drilled ( horizontal or verticle ) we could then do the math for the size of our acerage included in the section. Or for others who may own many sections etc.

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Permalink Reply by Irene Hufnagle on February 25, 2010 at 5:07pm
Not sure what you mean. is that 14000 an acre and 12.5% of that.
Permalink Reply by Jean Michel LeTennier on February 25, 2010 at 5:36pm
yes per acre, Plus and equal share production.. remember this is company to company.. not land owner to company...so what it a mounts to is that there appears to be a very differant valuation between companies going on other than what we as land owners are being told...
and I have been informed of deals as high as 30k an acre in Eastern, PA
I know a group of Turkish companies that want to come here as well, so I don't think we have seen even the beginnig of a bidding war start yet..
Could be interesting with soo many foreign interests sniffing around as well..
Permalink Reply by Jean Michel LeTennier on February 26, 2010 at 1:02am
Apparently , Indian Energy Companies are getting involved too...
Permalink Reply by Jean Michel LeTennier on February 26, 2010 at 1:12am
yes, and who (what companies and players) is becoming involved is directly related to what kind of royalties you can expect moving forward..
what the present companies are offering landowners is not what they appear to be trading (value ) between each other..
Permalink Reply by N Bohl on April 8, 2010 at 4:41am
In this line I have wondered something about unit size. Once a unit is created can it be changed? If laws were passed / or for any other reason / could a unit be made larger or smaller?
Permalink Reply by Richard Auden on February 21, 2010 at 8:46pm
Interesting article quoting some shallow-well vs Marcellus-well royalty examples, but on a per-well basis, not a unit basis.
http://www.mdsenergy.net/what.php
Permalink Reply by Irene Hufnagle on February 22, 2010 at 6:11am
Thanks for your help. I will check it out
.
Permalink Reply by Jean Michel LeTennier on March 4, 2010 at 3:23pm
hi guys, for those who live in NYS, most of the best of the UTICA shale is in the lower souterh tier of NYS
production north is avoer 6 MMfd
http://stocks.investopedia.com/stock-analysis/2010/Utica-Shale-Move...
Permalink Reply by Steven Hunt on April 21, 2010 at 11:46am
Jean,
I live in south western ny about 3 miles from the PA border(potter county) we have over 200 acres. I was wondering if the utica shale is located under me as well as the marcellus. I had an offer a couple years ago from a land man for $750.00 per acre. I didn't sign. There is also a transmission pipe line that borders my property. Will that make my property more desireable to a drilling company? Just curious. I don't here much about the shale plays in my neck of the woods. Any info would be appreciated.
Permalink Reply by Wm. Robert Blackwell on March 10, 2010 at 3:56am
Had a landman say they are only hoping to get .75MMfd in my production unit.
Permalink Reply by Jean Michel LeTennier on March 10, 2010 at 4:16am
yes , maybe in Mexico, but in your land unit, which comprises usually 6 wells, per square mile (640 acres)
no horizontal well has been getting less that 2-3MMFD, the vertical well, yes.. not in PA anyway..
so more likely you are looking at a boldfaced liar.. work with a land coalition or group of land owners with lawyers..
multiply 6 wells by 2 mmfd an you get your estimated production... the UTICA is stil very much unexplored, and based on new core samples and a few test rigs, could be far larger in final production than the Marcellus shale..
BTW, most companies would not get out of bed for .75MMFD..., not when they can get 2-3 MMFD somewhere else for sure..
do your own research and do nothing witout a gas lawyer..
Permalink Reply by ryan flick on August 17, 2010 at 4:24am
where do u get the figure of 6 wells per unit? i see 6 or more PADS in a unit and all pads have permits for multiple wells.. atleast a 4 hole/pad average.. that would be more like 24 wells/unit..

BTW: this would be in Lycoming, Centre, Clinton and Bradford counties in Pa..

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