Negotiating a New Oil/Gas Lease

My sister and I each own 1/6 of the oil and gas rights to ~102.6 acres in the Lincoln District of Marion County. Our lease from Stone Energy twnr o EQT when Stone was absorbed by Talos Energy, We do not know what company(ies) own or lease the remaining 2/3 of rights on the acreage. The original lease with Stone paid at total of over $1,500 per acre for that period. So the total to me for the 5 year period would be 102.6 acres x $1500/6 or $24,650. The lease allowed just one extension for a term of three year. Using the $1,500 figure above for 5 years the extension cost works out to be $300 above per acre per year. My extention payment for 3 yrs then would have amounted to 102.6 acre at $900 ($300 per year x 3 years) $15,390.

Correspondence from EQT at the end of November, 2019 shows that drilling has not been undertaken on the property mentioned. What kind of offers seem possible for our oil and gas rights for a new lease effective 3/1/2020? EQT has not contacted me or my sister about generating a new lease. We expect to hire an attorney to locate potential buyers and negotiate prices. We do understand that Marion County possesses a good deal of “dry” gas which typically brings lower prices than “wet” gases found elsewhere in WV.


Not a whole lot of leasing activity right now in WV and less so outside of Marshall, Tyler, and Wetzel counties. Most of Marion county is essentially in the EQT acreage sphere, so likely they are the ball game unless a company leases you to trade to them. What you can get as far as lease bonus is hugely dependant on royalty percentage. Mannington District in 2018 was bringing in 2500 an acre at 18 percent gross for us, now we have no interest at that level due to low gas prices and stressed financials at the drilling companies.

Hello I may be able to assist you as far as what expectations would like on an offer for your lease. I’d need to learn a bit more on the location of the parcel, if you’re interested let me know and I’ll send over my contact information


Have you sold this or figure out anything getting ready to do least in Marion county near Fairview if your in that area contact me