Replies to This Discussion

Permalink Reply by john p halloran on January 20, 2012 at 3:09pm

Herbert, what is your approximate locatio?

Permalink Reply by Depolarized Farmer on January 20, 2012 at 5:49pm

For what it's worth, I suspect NELA has not made a lot of headway in signing up acreage...  I don't think many people are willing to tie themselves up for 5 years with no guarantee of any payment.  At any rate, they only had 4,000 acres in Ashtabula when I spoke to their man Chris late last year.  It would be helpful if someone could post an updated total for them.

I'm hearing through the grapevine that Bob Rea / Buckeye Mineral already has commitments (written plus verbal) for 40,000+ acres in Ashtabula, and that number is expected to grow significantly as they are finally getting going here with the help of the Eastern Ashtabula Landowners Assoc.  They are considering making it a county-wide pool, which I believe has the potential to top 100,000 acres.  The group is intending to have a second meeting...  probably in Jefferson so they can have a bigger venue.  The Pierpont fire hall meeting last week was standing room only.

Attached is the Buckeye lease that I downloaded earlier off their website.  It is arguably the best I've ever read, and I take comfort in knowing that they've actually gotten drillers (Chesapeake and Rex Energy) to sign that lease.  Obviously, there is safety in numbers, which is why I'm committing to Bob Rea.  He just finished successfully bidding 98,000 acres in Trumbull.  I don't think NELA has ever bid any leases before.  Somebody please correct me if I'm wrong.  Thanks!

Attachments:

• bmd-lease.pdf, 230 KB

Permalink Reply by Dukester on January 20, 2012 at 4:03pm

Plymouth Township 

Permalink Reply by john p halloran on January 20, 2012 at 4:08pm

Thanks,I'm in williamsfield.

Permalink Reply by Dukester on January 23, 2012 at 2:50pm

Nela water Reps are coming for water test this week has anyone had this experience with other companies yet?

Permalink Reply by john p halloran on January 23, 2012 at 4:16pm

I got a brochure in the mail,but am probably going to be with buckeye mineral development he only asks for 2 3/4%.Lease is more landowner friendly.

Permalink Reply by martin smith on January 25, 2012 at 11:20pm

i also live in plymouth.i have about 20 acres next to the road dept.do you know who has signed up in this area?

Permalink Reply by Dukester on January 26, 2012 at 3:13am

I live about 2 miles s.w. signed with nela 2 months ago others to the west of you are tending to sign with Wishguard. In my opinion not a good Idea average 1600 an acre and wishguard will pocket the difference. From what info I've been hearing leases could be worth 3,000.00 on up. Remember with who ever you sign with drilling and production will more than likely be 3 to 5 yrs. More up frnt money now would be more beneficial plus royalties later.

Permalink Reply by Bill Simpson on January 26, 2012 at 5:41am

Did you ever look at Buckeye Minerals/ALOV? Were they in your area?

What Township are you in? I was approached and sent a lease by Wishgard but by reading the posts on the Ashtabula section I do not think very highly of them. If Wishgard signs with any O&G company and they receive 20% of the gross profit for the leases, then they keep 5% and give you 15%. They get 5% of your monies for the life of your lease. Does NELA give you the full percentage? I have not attended any of their meetings yet so I have very little info except for the posts on this site.

 

Permalink Reply by T. Finley on January 26, 2012 at 5:46am

NELA's program states that they take only a percentage of the original signing bonus, and this covers the cost of a ground water sampling program that they initiate.  They don't get any of the royalties.

Permalink Reply by Dukester on January 26, 2012 at 5:58am

IF you track Wishguard transactions with oil companies they are more or less a contractor for Chesapeake oil at this time they are taking 5.75% of signing only and also give you lifetime protection of your water resource.

  They are currently operating out of Miller Realty office in Jefferson. They have a good presenation

Signed lease before Buckeye came around haven't seen their lease proposals. Here they would be a good group also

Permalink Reply by T. Finley on January 26, 2012 at 6:01am

Are you talking about Wishgard or NELA offering the lifetime water protection?

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