What is the going rate for pipeline easement in Monroe County?

We have been approached by Blue Racer Midstream, LLC (Joint Venture between Caiman and Dominion) with an offer for pipeline easement 100' wide (w/ 50' wide temporary), (3) Pipelines up to 24" diameter

The base offer is $15 / foot. Is this a reasonable value? What are others offering? Would love to hear what others are getting / seeing to know if it is reasonable or if we are getting low balled.

Thanks in advance for whatever you are willing to share!

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That offer is very low and you can search on GMS to see all the discussions.

Plus the size of pipeline is huge.

You are in a very good position..

That;s as low as I've heard, and that was for ONE 16" pipeline!  3pipes ,large ones, looks like you should be getting $50 per foot.  BUT, the blue racer is going in with or without you. Just like all the other pipelines. If someone doesn't want to sign, they simply go around them. If you could get into a small plane and fly over Harrison/Guernsey/noble counties. You would see these pipelines look like snakes, not straight lines. Going up & over steep hills, under roads,creeks,big curves. A lot of this is done because of people not signing for the R.O.W. But their neighbors did!.  talk to your neighbors, if they sign, you may be screwed. If they all will hold out with you, to get what it's really worth, then it may be too difficult;and too costly; for the pipeline co. to go miles out of the way.  good luck!

boboski is right, you will have everybody on here preaching about getting $50 ft+ when in reality unless you own 1000 acres, they will gladly put in on your neighbors for $15-20.  There real is no "market" price for pipeline, it all depends on what company it is, what kind of pipeline, region, time table.  Just because you here of high number someone is getting from whatever company, doesn't mean you will get the same.  The last thing these companies want to do is pay someone $50 when they have been paying $20, and since no one understands confidentiality agreements, now everybody wants $50.  So they will most certainly go around you.

I never said to sign for $15. Just the fact that if you own 20 acres and want the highest price in the county, you won't get it. Having a transmission line go through your property is very attractive to drillers.

anyone know why the need 100 feet to put a pipeline only at most 6 feet deep?  waterlines buried 4 feet deep only need at most 20 feet to be done in. 

The property in question is on Moore Ridge Road - Center Township.

Section 20 & 26, Yes, their proposal is running parallel (south side of the Texas Eastern Pipeline) at least on my property, I did not see the full route.

No - They are not claiming anything outside of making a very strange offer. It does not have a single word on indemnity. I guess they just throw out the lamest boiler plate deal and hope to see what they can scoop up on the cheap. I honestly think he thought it possible that he'd lay it out on the table & I'd just sign it. No pressure, He was very pleasant to talk with. When I pointed out the lack of indemnity, he admitted that was weak and they needed to ad something, "please mark it up with anything you want added and e-mail it to me." Was his closing. So... Working on a counter with a family friend who is an attorney.

I do not want to chase anyone off, fully realizing it is an opportunity to receive a return that was never expected. I just do not want to give it away on the cheap or end up with a regrettable ROW.

Honestly, its recreational property, hunting, camping, four wheeling, etc. Heavily wooded. Concerned about the loss of woodlands, loss of timber value. Wondering if we should try and market before they get to working. Concerned about the quality of the finished grade.

Any further thoughts on what to watch for certainly are greatly appreciated.

Thanks for all of the information / opinions. Its going to take me a little while to digest all of this.

Cooperation is the best route, don't how many feet of pipeline they are proposing but its like stated earlier if you don't sign they will go around and your neighbors will get the money and if you get all your neighbors to refuse signing as well then you will wait longer to get those royalties that you had hope to receive from that lease that was signed, and if all the neighbors fail to sign the pipeline then the area is going to be the last area developed and you will watch everyone along the pipeline reaping the benefits from the pipeline. it is your land and you can do what you want but if you are looking at the big picture you want to get to the development stage of the game and the pipeline is the beginning of that.  Good Luck


Bob, I am with you on this it is not the landowner's job is increase the mid stream's bottom line.

The majority of these processing lines are formed into MLPs--Master Limited Partnership--sold on the stock exchange and make good returns for those who buy them as well as the company.  Recently read that these MLPs have an exemption from paying corporate taxes but I am uncertain about the details of this.

So your property forever becomes part of their business and you are still paying the real estate taxes.  Why give a ROW to assist the MLP without being well compensated?

And have we discussed MLPs on this forum?

You should get nothing less then a dollar per inch of diameter of the pipe they are going to lay if a pipe is 24 inch then 24 dollars per foot if they plan on three pipelines with a total of say 60 inches diameter u should get 60 dollars a foot ......remember they will control that land for atleast 50 years while u pay the real estate taxes on it and those pipelines will make them millions of dollars .....your best bet is to hire a good attorney who has row expeirnce ..........way back in 1970 the rule was a dollar a inch 


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