EQT offer to lease oil & gas interest in Smith Township Belmont Cty

Hi Everyone, I have a lease offer from EQT Production Company for Oil & Gas interests on 6 contiguous parcels total of 31 gross acres located in Smith Township, Belmont County, OH. The offer is not specific as to what my Net Mineral Acre ownership is, so I can’t really calculate the value of what I own, or whether this is a fair value offer. There is a $1,000 per NMA signing bonus and promise of 15% royalties on “amount realized” which I’m just guessing is after all costs up to and including the kitchen sink are deducted from any gas/oil sale proceeds. I would appreciate any guidance before spending any money on professional help. How do I find out what I really own in terms of net mineral acres would be a great place to start. Thank you all! Don

Ask the landman in an email so you have a written response. He should have the that information for each tract and be able to tell you if you own the same fractional interest in each tract. If your NMA is extremely small, you may want to negotiate a flat bonus for the lease.

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Thanks, that’s sound advice to get everything in writing. We’re supposed to talk today by phone, but I’ll be sure to put any questions in an email to him afterwards, confirming our conversation.

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