Replies to This Discussion

Permalink Reply by Chris on October 24, 2012 at 9:01am

They contacted everybody is our area.  For me and most other people, $10/acre is not worth the months of disturbance on our property.  They had a meeting set up for a few landowners by us that accounted for around 3000 acres.  We were not impressed  at all.  Their head operations guy was extremely arrogant.  They bought some guy from Hess with them to show how Hess relied on seismic data, he mine as well been an empty chair.  For a useless contract, and peanuts for money,  I dont see any advantage.  Especially if you dont own a lot of land, just let them do it on your neighbors

Permalink Reply by Philip Brutz on October 24, 2012 at 9:38am

If this information is so valuable to Hess why are they only offering $10 an acre?  I would pay $20 an acre to keep them off my property.

Permalink Reply by Jason Grecco on October 26, 2012 at 3:56am

I completly agree with Chris....not to mention they were surveying our neighboors last weekend while he was trying to hunt.....

Permalink Reply by Robert Bond on October 24, 2012 at 3:00pm

YOu don't have to let them on your property unless you want to or at least that is my opinion!  Some are only offering  $5.oo per acre here in North East Ohio.

Permalink Reply by Billy Bob Meeker on November 1, 2012 at 2:39am

Our family gave this a lot of thought and finally decided to agree to the testing at the $10/ac rate, but so far, they have not tested (Harrison Co., Archer Twp).

Global's base document is, indeed, pretty weak as far as landowner protections, so before we agreed to the testing, we required Global to accept and sign an additional set of terms that provide some additional level of protection to us. These terms are not necessarily complete and your attorney may be able to add more protections for you or for your specific situation. Make sure the base Global document makes reference to the Additional Terms as an attachment and as part of the overall agreement.

Attachments:

• Addenda for Seismic Testing - Blank.pdf, 213 KB

Permalink Reply by wendy on November 1, 2012 at 5:14pm

 hi. i have 66 acres and i gave them permission to test on my land but they havent done it yet. i signed the paper they sent to the house then i called the gentleman.  he said they would contact me to make sure i would be there to show them anyplace i did not want them to test. i dont want them close to my springs.  i understand its a pretty simple process.  anyway i can use the $600 for the holidays so i think i will call them back tomorrow.

 

Permalink Reply by williet57 on January 7, 2013 at 3:37pm

My stepsons inherited 1-1/2 acres in Greene Twp from their father who was killed in a mining accident. He owned the mineral rigts and had not leased the rights. We found 2 letters on his desk from  couple companies wanting to lease it . Today my step son called me and told me that he received a letter from this company wanting to sign a 2 year lease to survey. What are your opions on this.

 

Has any one of the above leased their mineral Rights?. 

 

Permalink Reply by Billy Bob Meeker on January 7, 2013 at 4:49pm

William, from the way you have posed your question, I'm inferring that you are very unfamiliar with the whole gas leasing issue in Harrison County.  Although 1-1/2 ac is not very much land, it does have the potential to provide some income to your stepsons on both a short basis as a bonus payment for leasing, and a long term income if your land becomes part of a drilling unit.  It is extremely important that you do some homework and learn enough about the current status of the issue to assure that your stepsons make the right decisions.

I'm pretty sure the majority of landowners in Harrison Co. have signed a gas lease with a gas company.  Over the past 3 years, bonus payments have ranged from $250/ac to as much as $5,000/ac or more.  Royalty terms range from 12-1/2% to 20%, and could be on either net or gross production.  Terms of the lease defining your rights and the driller's rights are also very important to understand.  

There are other companies out there blanketing the county with offers to BUY your mineral rights.  They are offering a fat cash payment now, BUT they will OWN all of your minerals and THEY will get all of the production royalties, and the value of these royalties may far exceed what they actually pay you now.  Bottom line ... you get screwed.  So, don't get confused between companies offering to LEASE your mineral rights vs. companies offering to BUY your mineral rights.

The subject of this particular thread is "seismic testing" which is a totally different subject than gas leasing.  I've never heard of any seismic testing company that has asked for 2 years to survey ... this sounds bogus to me.  

You and your stepsons need to move slowly here!  Some of these gas representatives are real snakes!  Don't be blinded by the short-term dollars offered.  Make sure you fully understand what is being offered and what the long-term consequences are and  DON'T SIGN ANYTHING UNTIL YOU FULLY UNDERSTAND !!

Permalink Reply by williet57 on January 8, 2013 at 9:29am

Thanks for your info,they are still in probate for the estate and will have him let the lawyer look at it.

 

We live in Columbus and live in Cadiz till 1990 and had to move still have some contacts back there ,and I have been trying to follow things since they inherited the land,Thanks again

Permalink Reply by keepthefaith on January 8, 2013 at 11:32am

Wm, Is Susie your sister, Helen your mother?

Permalink Reply by williet57 on January 8, 2013 at 12:36pm

Yep that is me.My step sons father was killed(Ralph McAfee)in a mining accident 3-17-12 and they are the sole heirs.  Tom was in my high school class and Patty Lee is my cousin. Were is Tom? Thanks

Permalink Reply by Billy Bob Meeker on January 8, 2013 at 1:07pm

I remember hearing about this accident earlier last year, but I didn't know Ralph McAfee.  Did your sister, Sue, graduate from Cadiz High School in 1968?  If so, she was in my HS graduation class.

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