So a lady called Wendy called me from tenn, works for energy resources? I am in a lease on 247 acres on menerial rights on pike fork somewhere ( I cant find my lease agreement). anyhow she is offering 2500 and acre, the thing is my share is around 87 acres after you break it down , is it worth it.. Im not patient and like lump sums of cash, but should I wait
Dale, I would Strongly suggest you wait it out. $2,500.00 / net mineral acre is Extremely under valued. 5,000.00 would be a minimum with a possibility for more. What district is your parcel in? Is it currently held by a lease? Have you signed a Pooling Agreement?
I just reviewed the Doddridge County records and found two parcels held by Dale A Oliverio, one for 75.125 net acres, the other for 58.528, in McClellan District. If either of those two parcels are what you are speaking in reference to, you should definitely NOT sell, unless you have no other option. Both are worth at least 5,000.00 / NMA.
I wish you luck.
The one for 75.125 has to be it because it is leased to antero, the other is leased to muchellas (SP) , But my confusion is she said 247 acres not 75 I wonder what the extra is,,, I wish I new if it had any action on it uggg. it was owned by my Great grandfather John Smith and his wife Hattie.. they had 7 kids that lived. Charley 1992-1976, Delphia 1895-1963, Macey 1897-1985, Vada 1905-1987, Bud 1090-2006, and my grandfather Pete 19-12-1998, I thnk the only ones that had children are PETE (3) BUD (1), and Macey (2) but not sure if any of them are alive.....I only know of 9 living ancestors...what is great about all of this is you do find out some cool things about your family tree...
sorry for the long post and yes it is in McCellan district. but if I new some work was done on the property I would never sell lol I do know the surface owner is a chiropractor somewhere if that helps
Its in McCellan, no pooling agreement that I know of
The original lease with Mutschelknaus included the right to pool, so you will not have an additional Lease Modification, of pooling.
Without knowing the exact unit or reviewing the Declaration of Pooling, 75 acres would most likely represent 10 - 20 percent of a Marcellus unit, with a potential to pay more than the equivalent of the 2,500.00 / net acre, in a very short period of time. I suspect Energy Resources knows the property has either already been drilled or is about to be drilled and are hoping to take advantage of the situation by flashing you wads of cash now.
If it is the 75.125 acres they are seeking, the payment would be $177,500.00 and you will have a tax liability of 53,000.00 - 62,000.00, drastically reducing your revenue. (Based on speculation, not knowing your exact tax situation.) Taking capital gain taxes into consideration, you have essentially reduced the sale price to 1,500.00 - 1,7500.00 per net acre.
I can only speak for myself, but I would hold onto your unit and enjoy the cash flow. Traditionally, Antero takes 12 - 14 months from initial production until payment of first royalty check, so using my 'guess-timated' calculations, your first royalty check could be as 1/3 of the post tax revenue.
Frankly, I am in the middle of three other purchases, otherwise I would offer to buy the parcels myself. You are welcome to email me directly on the site if I can be of any other assistance.
I do know the 75 is a lease through antero and Mutschelknaus is the 58, how do I find out the info if it has been drilled or not, the big problem is I have cousins and a uncle seeing the green to and they and me getting kind of excited . any ideas on how to research this more. thanks. and what does pooling mean anyhow im so green to this its scary.
The easiest way to define pooling is by example. Say you and I have 100 acre tracts that are next to each other, to drill a horizontal well, they combine our 100 acres to make 200 acres and pay us based on the percentage we each own. In this example, 50% each, they have POOLED our parcels to make one UNIT. (Very rarely is a unit just two owners, but I have seen it happen)
Your first resource for information would be to call Antero directly and although it would take time before they have the specifics, my experience has been, they are fairly helpful. Once you have information from Antero, you can go to the WV DEP site to find even greater information.
If you call Antero and provide me with the information they give you, I will gladly assist in any fashion that I can. I am far from the most knowledgeable person, but have learned to muddle through different resources to garner some insight.
Antero's Bridgeport office telephone number is 304 842-4100 and chance are they will direct you to call Denver, but can provide you with a name of who to speak with in that office.
Feel free to contact me directly, I will provide you with my telephone number and we can discuss any questions you have. I too was once 'scary green' and know how intimidating things can be.
Keep the faith!
thank you, im trying to contact antero Bridgeport to get a copy of my lease so I can call the DEP and give them info.. I guess this might be a long bunny trail... its just been 2 1/2 years since we signed and we are getting impatient.... lol.. is there work going on on pike fork right now?
You can retrieve a copy of the lease from the records room in the courthouse. Your lease is 5 pages, recorded in Lease Book 349, Page 515.
When you speak with Antero, I suggest you ask "What Unit(s) will the parcel be associated with"
how can I find it ? is it online? man thank you for all your info I really appreciate it.....
If you go to the courthouse, the security guards will direct you to the Records Room. Ask one of the staff members to show you Lease Book 349, Page 515 and you can copy it directly.
The staff typically is fairly friendly and helpful, but they have moments too.
thanks, I just got to find time to get there now...
Happy to help, we have all been in your shoes at one time. This site has been a huge benefit in my education.
I got ahold of antero and they are sending me a copy of my lease, she said it on the banks of some creek on pike fork... Ill give exact detail when I get it....
ok so I just got my lease from anteo,, it says the property is situated on the waters of the middle fork of McElroy Creek, in the district of McClellan , track or parcel 5-19-4 book 4 page 274, so any info on where this is or if it is going to produce or what you would ask to sell it.. it is 75.125 acres gross. it also says north by lands of john smithn on the east by lands of vincent glover on the south by lads of l.duncan on the west by land of luther Kyle... and also what is the antero phone number to find out if drilling is happing
thanks for the help
I would suggest contacting Antero's Denver office and ask for the Division Order section. Give them the Map / Parcel numbers and they will be able to give you what Unit the parcel will be in. That insight will provide significant information, if a well has been permitted, if there is drilling, etc.
hot line for well info for Antero 303 357 6475
If you go to this website you can put in your name and see if there is a declaration of pooling document filed for your name. A well has to be drilled and completed before being put in a unit, I think.
Ok after I called and got a phone call back from antero, it seem that there is 2 well associated with the property but neither has been drilled she said something about 2017 depending on prices.. unfortunately I cant think of the names now because I was driving and cant remember crap lol.... so its best I wait .. also my rights are only 75 acres, it seems that years ago my great grandfather sold off some of the property....so thanks for all the help guys
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