Posted by philcaseinWPA on February 08, 2008 at 08:13:21 from (146.186.54.125):
In Reply to: O.T. - Drilling for gas posted by CB in central NY on February 08, 2008 at 07:28:37:
I just recently signed a lease with a gas drilling company. There are a lot of things to consider. A typical lease will run 5 years and pay so much per acre per year + some sort of bonus per acre for the first year. How much they are willing to pay depends on how interested they really are. They then have 5 years to drill and find gas. If they don't do anything in the 5 years then you can have the lease written to expire and they have no claim to your gas. If they drill and find gas then you are entitled to a certain amount of the money the gas is worth. How this is figured and what costs can be deducted can vary and should be specified in the lease. A typical payment would be 1/8 th (12.5%). State laws vary but in PA that is the min but usually all you get. Get a lawyer who is familiar with gas leases. Search the internet, talk to neighbors who are also being approached probably. Don't be pressured to sign up today or miss out. A 'landman'came around to me 3 or so years ago and then never returned my calls. I figured it was a dead issue then last year another one showed up from the same company and made a lot better offer. He made several trips back then I did not hear from him for a while but finally we got together and signed in Jan. They may offer to pay the entire 5 year lease up front. They will also probably offer either free gas if they find any or payment for the equivalent. Figure 2-3,000,000 cu ft / year. Check out these web sites: http://naturalgaslease.freeforums.org/ http://naturalgaslease.pbwiki.com/ http://www.glossary.oilfield.slb.com/search.cfm Do a google search. I had a lot more info than these sites but do not have them book marked. Proceed with caution and good luck. Phil
We sell tractor parts! We have the parts you need to repair your tractor - the right parts. Our low prices and years of research make us your best choice when you need parts. Shop Online Today. [ About Us ]
Today's Featured Article - Farmall 460: That's My Girl - by LeAnn R. Ralph. How many sounds can you think of that are as familiar to you as your own breathing? What about the hum of your refrigerator? Or the thump of your clothes dryer? Maybe the engine of your car? You hear those sounds every day, and you don't think much about them, do you. I can think of a few common, ordinary sounds in my daily life, too.
... [Read Article]
Latest Ad:
1964 I-H 140 tractor with cultivators and sidedresser. Starts and runs good. Asking 2650. CALL RON AT 502-319-1952
[More Ads]
All Rights Reserved. Reproduction of any part of this website, including design and content, without written permission is strictly prohibited. Trade Marks and Trade Names contained and used in this Website are those of others, and are used in this Website in a descriptive sense to refer to the products of others. Use of this Web site constitutes acceptance of our User Agreement and Privacy Policy
TRADEMARK DISCLAIMER: Tradenames and Trademarks referred to within Yesterday's Tractor Co. products and within the Yesterday's Tractor Co. websites are the property of their respective trademark holders. None of these trademark holders are affiliated with Yesterday's Tractor Co., our products, or our website nor are we sponsored by them. John Deere and its logos are the registered trademarks of the John Deere Corporation. Agco, Agco Allis, White, Massey Ferguson and their logos are the registered trademarks of AGCO Corporation. Case, Case-IH, Farmall, International Harvester, New Holland and their logos are registered trademarks of CNH Global N.V.
