Marshall Marcellus Shale Lease Questions

Not sure why you wouldn’t allow for pooling. If you want your interest horizontally developed (which is the only way to realize the value here), you want to allow for pooling. I don’t think anyone would agree to this anyway. You may have heard someone mention a limitation on the amount of total acres allowed in the unit you are pooled in. This is because in some cases, if the unit you are in is too large in relation to the length of the wells, your interest can be diluted. In my opinion, I don’t think this is something worth negotiating over though. At some point you have to trust the process because ultimately the operator is going to develop the acreage the best possible way they can. It has to do with the area, the geology, dry gas vs liquids, etc. Dry gas areas typically require the need for wider spacing “bigger unit/well length”. Hope that helps.