I am in Liberty township and a few months ago got an offer to buy my royalties for 1500 to 1800 per acre, but they would do a more in-depth look if I was serious which "mite change the numbers" slightly....even tho I am not drilled or receiving any royalties ..talked to a landsman rite b4 I contacted them and he advised caution as there will be "significant" activity in my area in the "near future"....how about it, anybody else get an offer or hear anything or see any activity here in Tioga Co. ?
If they are doing this proactively, then we'll likely see them start leasing in adjacent areas based on their new information. But if the goal is to avoid write-offs on what they already have, I suspect they'll stay focused on the existing acreage. Sabinsville is right on the Potter County line, and they've done very little across that line to date. Any sign of new leasing there adjacent to the 3D seismic? That's probably the key to understanding Shell's motivations.
Jim the latest was the Watkins unit 820 on 7-23-2013 Chatham township
where do I find this info on this unit? Thank you
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Jim I would call DEP or your recorder of deeds for your county.
The BIG rig is coming to the Neal pad this week,they were checking the wire height on RT 249 for clearance.
Hi, I'm new to this forum. I own land in Little Marsh - Chatham Twp. My lease runs out soon (Oct), will the Watkins unit and Neal Pad have an impact on the price/chance of a decent renewal of my lease? I'm hearing Shell is only offering $300/acre right now....lots of people sitting tight? Thanks guys, I appreciate your insight.
No. I have not heard anything since we signed 5 years ago...just some seismic testing done on our road - blair creek rd.
ERM (SWEPI) was looking at cutting the renewal bonus to $300 three years ago. A landman offered an alleged Pugh Clause that used that number. It wasn't actually a Pugh as they could renew any portion of the leased land they wanted. And since the initial bonus was cut from $2000 to $1500, that was a really bad deal Of course even if a lease includes a 1500/2000 renewal number, it doesn't seem to be a requirement. Couldn't they just as well offer a lower number at renewal time? That is, the clause is there to protect them on the high side.
I don't agree that "The days of 2k are gone.", at least for unleased land.