Can anyone tell me recent amounts of $igning Bonus/Consideration per acre in Tioga County, PA?

I've been offered $500/acre + 15% royalty for a five (5) year lease on two parcels I own in Tioga County, PA. It seems low to me but I don't know the going rate of late and would love to. Can anyone share with me any recent amounts of $igning Bonus/Consideration rates per acre in Tioga County, PA? Thanks in advance.

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Permalink Reply by Monte Zane on October 17, 2014 at 11:12am

Thank you!!!!!

Permalink Reply by Janice L. Hancharick on October 17, 2014 at 4:22pm

What company wanted your OGMs for those numbers?  Sounding better daily!

Permalink Reply by Monte Zane on October 17, 2014 at 11:12am

Thank you, I will hold on!

Permalink Reply by Landowner on October 17, 2014 at 10:14pm

We were recently approached by Travis Peak who offered us $1200 per acre/13% with no deductions for 5 years.  If they opt to re-lease after the first 5, we get paid another $1500 per acre.  This is in the northwest sector of Tioga County, Pa.  I would suggest getting in touch with Jackie Root at R&R Consulting out of Lawrenceville.  http://www.gaswellguru.com/ She is currently forming a new group in our area and will work to get you better numbers than what you've been offered. 

Permalink Reply by Kevin Howe on October 18, 2014 at 1:49am
Travis Peak has signed a group in North Central Tioga County for the $2000/15%/5 years with no deductions.
Permalink Reply by elliemae82 on October 18, 2014 at 3:37am

I don't understand why landowners are settling for such a low bonus and 15% royalty. And the fact that they are actually paying this guy to negotiate for them. Doesn't sound to appealing to me. 

Permalink Reply by Janice L. Hancharick on October 18, 2014 at 5:11am

I think you're misunderstanding something.  It all depends upon the negotiator's contract regarding who pays him.  It may be the O&G .  Many possibilities exist.  What's being discussed here are #'s that appear on page 1 of a lease.  Leases are much longer than that, which means MORE to consider.

And as for new groups forming ... How many are out there already?  It's possible/logical that existing groups w/paperwork in place, production-unit sized AC already mapped out, and courthouse work done have a better chance to hone in on good leases.  Timing means a great deal.

Permalink Reply by elliemae82 on October 18, 2014 at 6:04am

No I get it. I was just pointing out that someone is getting paid to do negotiations for landowners that I think would be better off on their own. I don't think any landowner should settle for less than 20% royalty with no deductions. I would rather pay a O/G attorney directly then going with a big group. Most landowners don't take the time to educate themselves. They get in a group probably paid by the O/G company and get taken advantage of . 

Permalink Reply by Trapper on October 18, 2014 at 7:43am
It would be interesting to know how many of Hilcorp's well pads in Lawrence County PA are on land leased through the land groups organized by Co-Exprise. Co-Exprise gets a cut of their royalties for the first 5 years of production. Might be telling if they are....
Permalink Reply by Landowner on October 18, 2014 at 10:21pm

I heard rumors about the group that got $2000 but I also heard that they hadn't actually signed yet. 

Permalink Reply by Chris Crawley on October 18, 2014 at 9:23am
Trapper it's probably not as many as you would think.the original group didn't have to pay any percentage of royalties
Permalink Reply by Nancy LeNau on October 18, 2014 at 2:30pm

Yes Chris, That is correct. I was with the first group and they took a % of our bonus  $ .  The 2nd group, my neighbor had to pay double of what I paid  of the bonus $... but no sharing of the Royalties.  

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