Information about drilling activity, pipelines, etc. in Millwood Township.
Hey Scott, my property borders Mill south out of salesville, up to and past Sycamore. Harvester lane is the road leading into the property. In 2009, I didn't do my due diligence and signed a 10 year oxford lease @10/acre, thinking it would help pay taxes. 2013, eclipse of course, got me on a 5 year lease of 18% 1250/acre. If not the threat was of course a top well to hbp. I didn't gamble, and took it. Now, with the acreage demand for increase from pooling 640 to 1280 coinciding with expiration of lease in March 2019, they only offered 500.00 yearly lease with no pugh. My attorney went back and they agreed to 950 but no pugh. What u think? Not sure how much acreage would be in the proposed Jupiter leg, so I'm gonna just hold for a while I think. There is quite a bit of acreage around us not pooled, and I'm hoping to get a hold of some neighbors around me since I believe they all signed around the same time. Btw, my lease was not a 5 year all up front lease, but yearly, which makes it even more frustrating. I could have lived on the interest that lump sum would have brought me. Live and learn, but I'm hoping this time it will be a more informed decision. Thanks for your input. Mike
Mike, my most recent lease with Eclipse is an 8 year lease with bonus payments paid yearly over 4 years , each yearly payment at $1,250 per acre. I did have a Pugh clause and a 18% royalty, "no deduction" clause. Lease constructed by KWG&D. A 5 year term they would not agree to w/o a big reduction in the lease bonus and royalty. Also would not do one lump sum on the bonus. Your lack of a Pugh clause is certainly not ideal especially with large acreage. Eclipse doesn't want to agree to it for obvious reasons.
Have you seen any details on the proposed SSE leg of Jupiter. Any map and landowner list etc?
Interesting that Eclipse told me flat out that I was not going to be in Jupiter but 1/2 of my land will likely be in the proposed Ursa Major well and gave the same time frame as you are talking about with the SSE leg of Jupiter, the end of 2019 beginning of 2020.
Mike, sent you a friend request so that we can trade some info. Or please reply to me thread message to you on 12/4/ Thanks
That sounds better then the 18% offer but I bet they would stick the expenses to take every dime they could.
You make it sound like they wouldn't otherwise...
I know, "one in the hand" ... It just comes down to if you really need the upfront money right now.
When they want your mineral rights, they will get it. I have not heard of anyone being excluded from a unit because they did give up 80%. Some producers have walked away from leases they own, but not many that I know of.
I have a friend just over the county line into Noble/Wayne Twp on St Johns Rd that has very small acreage & looking to sell his mineral rites. Anyone have a referral source and or any idea of going price. Its small 3.61 acres. Thx PM me or reply here.
Ascent must be very pleased with results from the Morovich wells on Frankfort road. They just pulled 6 permits for the originally Carrizo well pad right beside the Morovich on the Watson property. No platmaps yet,but looks like all 6 wells will stretch clean up to rt.265. from Detweilers to Frankfort curve. DrillbabyDrill.