NELA leases in NE Trumbull County

Does anyone know what's going on with the NELA leases in Trumbull County?  I've had mine for about 15 months.  The Lennington well is about 3 miles from my land, there are two permitted wells in Mecca, one in Vernon, so things are going on all around, but I have heard nothing.  Back in April BP mistakenly sent out letters about surveying to landowners whose leases they didn't have (yet at least), and when I called them, they apologized and said they would be drilling all over there by mid 2014.  When I contacted NELA at that time they said they were in "serious negotiations with BP".  That was the last I've heard.  Just wondered if anyone knew anything.

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Permalink Reply by Jason Grecco on July 16, 2013 at 3:05pm

I like you pumpjack but you are dead wrong with this assessment.  There just isnt enough significant interest in Northern Trumb and Ash counties yet to cut a deal.

Permalink Reply by Howard Wolfe on July 14, 2013 at 2:48pm

Fan,

As both the other gentleman and I said, NELA does not pay up front.  They are a landowner's association.  They have 110000 acres under lease.  I suppose you are trying to say that everyone in a landowner's association is screwed?  What are they (BP or whoever) going to do, just ignore those 110000 acres??  Perhaps you don't really understand the concept of a landowner's association lease.

Permalink Reply by Howard Wolfe on July 14, 2013 at 2:53pm

Hmm, well that's interesting, I haven't heard that one.  They don't have me for a lifetime, just another 3 1/2 years.  And if they are really anti fracking and don't intend to sign with any gas company there are going to be a ton of really mad landowners demanding a class action suit or something...

Permalink Reply by p umpjack on July 14, 2013 at 3:05pm

Review your agreement....

It will take you longer than 42 months to disolve the agreement by any chance did your attorney review this document before it became a legal instrument attached to your personal property/deed ?

Permalink Reply by Howard Wolfe on July 14, 2013 at 3:40pm

To be honest, no, I didn't have a lawyer read it.  I've been dealing in legal documents for years with my job, and I looked through it very thoroughly, if there were anything that wasn't crystal clear to me I would have cleared it up.  I just looked through it again.  It expires after 5 years unless it is producing, which is standard in gas leases, always has been, or they have an option to renew for 5 years if they pay me 1.5 times the minimum signing bonus per acre indicated in the lease, up front. Well THAT ain't gonna happen.  I just can't see anything else in there, front to back having just read it again, that ties me up past 5 years.  But, I can't see things taking that long.  I would think a gas company would have to have all 640 acres in a drilling unit leased up before they can drill, and that 110000 acres scattered all over the place I would think would cause issues with that.  Plus that other comment about them not needing it, well that's like 4 1/2 entire townships.  A ton of shale and revenue.  I can't believe they will just ignore it.

Permalink Reply by Kyle Toman on July 14, 2013 at 3:25pm

People, please don't listen to Fang F Fang. The guy has no idea what he is talking about.... Landowner associations don't get paid until the landowner themselves get paid... Fang, why would start a business where they sign people up for leases with no intention of getting paid???? That makes no sense. How would they pay their workers or themselves for that matter?? What money would they be living on???.... and by the way, NELA has gotten paid by major oil companies in the past...... You saying "They are in business for themselves" makes no sense..... Again, it is their job to sign up your acreage to oil companies.... If they don't do that, then they themselves will receive zero income. And last time I checked people don't work so they can have zero dollars written on their paycheck.... 

Permalink Reply by Howard Wolfe on July 14, 2013 at 3:49pm

well said, thanks.

Permalink Reply by Kyle Toman on July 16, 2013 at 2:44pm

A corporate troll? I'm a landowner.... And I just know what I'm talking about.

0i7okn54zwbdoPermalink Reply by 0i7okn54zwbdo on July 14, 2013 at 4:16pm

BP cherry picked what they wanted despite the fact that some claimed that their ALOV deal protected them from that sort of maneuvering.  I don't think the deal was a disaster, but I wouldn't call it the sort of windfall that everyone expected it to be.  And for a company as well capitalized as BP it's stunning how slowly they're moving.  

Permalink Reply by Joseph-Ohio on July 16, 2013 at 3:41am
Could be that BP disaster in the G. O. M. is
slowing them down.
Could be marketing.
It's a hard read unless you're a Board member.
Permalink Reply by p umpjack on July 16, 2013 at 3:40pm

Howard

It is common knowledge BP did not accept all ALOV acreage your a little behind the curve

this all went down last year in this time frame. It is all on this website somewhere 84000 acres is what the dream was reality was more like 60%

You have stated that NELA has negotiated sales of acreage with a major oil and gas co could you please verify who ? cause quite frankly I am calling B.S. ON THAT

don't shoot the messenger ........

fang is not always 100% but he is pretty close most of the time

Permalink Reply by Howard Wolfe on July 16, 2013 at 5:33pm

I most certainly did NOT say NELA negotiated anything with anyone.  I was told by a NELA rep in April that "they were in negotiations with BP but nothing final"  I surely did not take that as gospel.  I was told by a BP employee at the very same time that they would be drilling the entire area by mid 2014, again I did not take that as factual.  But that is what I was told.  The whole point of the this blog from the beginning was about that very issue, that I DO NOT KNOW.  Please don't misquote me.  Also, as I said, I agree, BP, did not in the end finally accept all the ALOV acreage.  Perhaps even in the beginning they did not accept it all before the deal was final, I don't know, and not the point, but after they had accepted the 84000 acres, and paid the signing bonuses, they then backed out of about 4000 acres due to the issues I mentioned.  ALL THAT IS PROVABLE AND DOCUMENTED, NO HEARSAY.  BP admits, ALOV admits it.  I was all over this from the minute I found out about Utica Shale, researching, checking daily, etc. 

Based on things since I have been here, people seem to want to say I am smart on this, take my word as fact.  I can't PROVE those two phone calls, but I would swear in court to it.  I can prove that the articles telling the public about the 84000/4000 exist.

 

To be entirely honest, yourself and Fang F Fang seem to have the occupation of being the naysayers to about everything on here.  I have gotten some very good input from others, positive and negative, and I am thankful for that.  That is exactly why I came here, for some good serious interaction.  I am a legitimate landowner in Trumbull County with (of course) a legitimate and personal interest in all this.  Since the two of you do not have real names on here, and you are in the midst of discussions in what appears to be every forum regardless of the locale, with all negative comments, I am inclined to dismiss both of your opinions and commentaries, with all due respect.  I rather doubt either of you have any interest in this issue at all which is pro fracking, regardless of what you say.

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