my questions

Hi everyone, I am relatively new to the forum and don't understand a lot of this. I have some questions. I have ~7 acres of land that is not yet leased. Rice Energy has a permitted (well?) on the same road that my acreage is found. Then there is another one from Rice that says "drilled" status kind of near by. Some other properties around mine are with Rice while others are not. Does it benefit me to sign with Rice since their site is close to mine? Will this increase my chances of getting royalties if it works out? When I talked to Rice it seemed they wanted to fill in existing areas near where they already had others who signed with them. I don't know what to expect with all of this in the future. I am in my early 30s and hope that this will some day benefit my children. I missed the S-G signing and am looking to the boards here for info and advice. Thanks.

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Replies to This Discussion

Permalink Reply by Elsie Fox on June 18, 2014 at 3:36pm

My humble opinion.  If you have patience and don't need the money right now, I think you'll be rewarded.  Here's what happened in my area:  In 2011, four of my adjacent neighbors and I signed with XTO.  Among the five of us, we owned a total of eighty-some acres.  Within a year or so, XTO bought out the old leases under just about everyone else (most of them owning 60-150 acres each).  There were just three landowners left in the area, and all were unleased.  XTO contacted all of them in the last few months and leased their rights for a lot more money (AND higher royalty percent).  If a company is going to be drilling near you and you are located where you might be included in a unit, the company will contact you --- and you'll be in the driver's seat.  In the meantime, if you get a really good offer and you decide it's worth it to lease, then it doesn't really matter which company leases your rights.  If the company that wants to drill decides it needs your rights, it will just buy the lease from the company with which you signed.  You will still have your lease and all its terms, just with a new company.        

Permalink Reply by adam sorell on July 19, 2014 at 5:42am

Elsie im in Pultney also, a mile out of the river on Cr 44. Never got contacted by any company. I may have to just wait like you recommend. 

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