Replies to This Discussion

Permalink Reply by owner on August 6, 2011 at 8:41am

I live in Marlboro Twp.  not far from you.  I am also looking for a local landowner association.   I have been approached with $1500 offer also.  I would be comfortable signing for $2,250.00 and the 17% royalty much like the ALOV group did.  I am unsure what kind of bargaining power i would have without a large amount of acreage.

Permalink Reply by James Harber on August 6, 2011 at 10:26am

If you are in Northern Stark County and can wait until November or into next year early Spring, you will see lease bonus price bump up by a thousand dollars a acre.The key here is to be patient and wait, things are just getting started, within 120-180 days the $2,000.  a acre will be long gone. As long as you can secure a lease for no less than $2,750. a acre and 17.5% - 18% royalty, you've made a good deal. But, be sure you get the right addendum's because that than make all the difference in the world. If you get in a hurry, you may regret it later on. I understand if you have 5 acres or less, you may have to take a lesser amount,  if you are concerned about missing out. But, again the key is to find a solid landowners group, especially if you do not have a large amount of acreage, because there is strength in numbers. Don't fall for someone telling you that leasing is over and they are leaving the county. That's OK, because there will be more companies coming in behind them.  Time is on your side, it really is.

Permalink Reply by paul geiger on August 27, 2011 at 12:44am

 Here in ( Guernsey County)  things are getting hotter ,and listen to what James says ,you 'll see $3000-4500 around the corner

Permalink Reply by Stark County Land Owner on September 13, 2011 at 11:52pm

Jim, Could you contact me. You seem to know your way around this thing and I'm looking for some guidance. kjc  431  yahoo  thanks

 

 

Permalink Reply by Jim Harber on September 14, 2011 at 12:21am

740-251-9021  or lbglandservicesllc@gmail.com,

with 25 years in the oil and gas experience from exploration to production, I might have a little insight that might help landowners make better informed, valid decisions that will affect their and their families lives for many years to come.

I want to help landowners have a better understanding of what a true o & g lease and addendum's are, so they can then make a better decision as to what their next move will be, just trying to level the playing field so the leasing is not so one-sided. Thanks.

Permalink Reply by amos alexander on December 20, 2011 at 7:10am

im in a combined lease on a vertical oil well that is not on my property, i have  only 7 acres.recently i was contacted by  chesapeake  that they have required the rights to the oil and gas well,they went on in the letter sent to me  that the current lease prohibits them to include us in a proposed unit and we would have to execute a modic

fication

hi, i recently received

hi, i recently received a letter from chesapeake that have acquired the rights to the lease on a combined oil and gas well ,which my property has 7 acres on itthey said the terms of the lease prohibit them from including our lease in a proposed unit,to be included our land in one of the proposed units and to take full advantage of horizonal development it would be nessary for us to execute a modification of our lease.they did then come to the house and tried to get me to sign,i just kept a copy of the original lease and the new lease.in talking to them they said that the royalties checks we get from the existing well will still come from the same oil company and they just bought the deep mining rights.they told me where the well is being drilled almost a mile from me and that with only 7 acres there was no chance of disrupting my land. they offered me no bonus money and 12%royalty, they said everyone is signing on but they would not try to force me to sign but would aquire  other land to make up the umit,they also said they plan to drill in 6 months.i guess my question to you is this a normal practise not offering bonus money per acre on lands they have existing vertical wells and if it is do you think i shoul d sign anyway since they will be close to my property.thank you very much .

Permalink Reply by owner on August 8, 2011 at 1:05pm

Kevin,

Have you signed yet?   Are you still interested in working together?   Please let me know.   I am an no rush to sign but I would still like to become involved in some kind of landowner group.

 

Permalink Reply by Stark County Land Owner on August 8, 2011 at 1:13pm

Owner, no I've not signed yet, only bumped them up to $1500 on a 5 yr and $2000 on a 10 yr. I contacted the law firm KWGD Krugliak Wilkins Griffiths & Dougherty CO., L.P.A. they represented land owners in southern and central Ohio. They're from Canton but told me today they're not interested in working with Stark County land owners. I've also e-mailed ALOV but as of yet have not heard anything back from them. I believe as small landowners we need to band together to help each other out. If you're interested let me know.

Permalink Reply by owner on August 8, 2011 at 1:27pm

Completely agree.   Did they give a reason for not wanting to work with stark county landowners?   The ALOV group had a website.  I printed up a lease from that website however the woman i spoke with stated that it was not the final lease and that they were not allowed to disclose the final lease.  Let's keep in touch on here and try to find landowners in similar situations. 

Permalink Reply by Stark County Land Owner on August 8, 2011 at 1:32pm

Agreed, add me as a friend and then I can send you my e-mail. I too printed the lease with notes off of the alov site and am reading it.

Permalink Reply by Stark County Land Owner on August 8, 2011 at 11:40pm

KWGD said they had their hands full with the landowners they had already and weren't staffed to take on any new clients. I asked if the attorney that was handling the representation could review any lease I may get. They said it would depend on his time, which doesn't sound like he has much of, and the rate would be $250 an hour.  Didn't sound like a good deal to me.

Permalink Reply by William G. Williams on August 27, 2011 at 5:36am

I am an attorney with KWGD and Mr. Conner's statement is in error.  We have represented over 300 Stark County landowners.  I want the record to be straight.  We also had a Stark County landowners group, advertised significantly and had many open meetings.  We also worked real hard to get group members' acreage accepted that was rejected due to title issues.  We do not currently have a group in place for Stark County landowners and unless one has hundreds of acres, CHK will not accept our lease for a single individual and we can do no better than the lengthy addendum of CHK, so a landowner should save his money unless he wants terms of the lease explained to him, hiring us will not allow the use of our lease.  We are now focused on our latest group, composed mainly of counties south of Stark County, so for the time being, we are unable to help single individuals due to our commitment to the new group.  Thank you

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