Wayne County, WV oil & gas discussion group. Share your experience regarding lease bonus, royalty rates, drilling activity, and oil & gas news.
Any news concerning selling or leasing in Wayne Co. to O&G companies?
I haven't heard anything. It doesn't look like the DEP has any records of recent well work permits being issued, either.
I got some info through the grapevine that drilling is moving toward Wayne County. Trenton Formation, to be particular. I heard that a well came in in the Trenton, and was producing like gangbusters. If you're being offered low bonuses/royalties, you should consider waiting a year or two to see what happens. Of course, if they're offering a lease with great terms, it might be worth it to sign now. Just keep the primary term short -- one, two, or three years at most.
We should think about a landowners/mineral owners group for negotiating leases. People interested?
Any1 have or know any forms to break a lease for none production?
hello Kyle I have a problem I have been contacted by precision oil in Harrison county wv, they already had me sign a lease, I had no choice in the negotiations, I was like the last one they got to, when it went down, and they paid each of us, I think, 1500 dollars period, for 3 tracts of at least 580 acres, I read it was going for 1500 per acre, but I was one of I think 20 on the mineral rights, only, we don't own the land, now they want to offer me..only me 8,000 to buy my mineral right out, I read one test well was putting out 1000 barrels a day in my area, but I am disabled and do need money as I am in debit, 8,000 is not much..i think they are once again back to the rip off game. what should I do just bring up the facts I found out and try for more cash, they tried to say my share was only, 2 acres, and that isn't close it would have been more like 12.5 acres of the 500, if it were divided between 40 airs I do not think their are 40 more like 20, I don't know these people so I don't know the exact number but what is on the lease papers. also I was offered 100 per acre on my 30 acres in Wayne, I turned that down, but like I said I am in a bad way, and in need of a new car, and disabled. I was hoping to get them to come back and offer me 200 on my land in Wayne, oh well...
I was reading my first set of paper they sent me to sign, I had mine changed to get a higher, percent on the profit end of the operation, verses the at the well price, and I can not find how long the lease is for, no where does it state how many years ????..thanks < Larry
Whew. Late to the party here. Well, here goes anyways.
The Harrison County property was definitely a low offer. You can negotiate (even today) up to $2000/acre, and sometimes $2500/acre there, with 18% gross proceeds royalties.
The Wayne County property is now worthless, as nobody seems to be doing anything there. Cabot may still be working there, but if they are they are the only game in town.
Two days ago I was offered $4,000.00 an acre to buy my mineral rights and not by Cabot.
Buy or lease? Mind if I ask which company?
Kyle, I am surprised that any Lawyer would speak like that. "Worthless" ??
I too have been approach by a few companies, and individual investor's wanting to buy my mineral and property rights in WAYNE county over the last year.
I should have qualified my statement, you are correct. Worthless is too strong. I just hadn't heard of anybody working over in Wayne County since the beginning of the year. I'm glad to hear there's action. I have clients over in that area. I'd love to get them some value for their property. Could you share who is working there?
Kyle, Cabot oil and gas company wants to lease my mineral rights for 300.00 per acre. Black Gold Group, LTC wants to purchase mineral rights for 4,000.00 per acre. I am talking to Ridgetop Campital Royalties, Strategic Land Partners, and Buffalo Royalties. We need someon to represent us. I know several have already signed and the leases are questionalable. Is it possible for those to get out of their contracts?
It's really hard to get out of a lease once it's been signed. You have to be able to show unconscionability or fraud, both of which are pretty hard to prove in most oil and gas lease situations.
If you have a large interest in a large tract that the company really wants you might be able to use your negotiating leverage to get the company to modify the leases that other people have signed.
I generally recommend that people hold on to their mineral rights. If the minerals are developed they should be worth far more than you can sell them for. Keep in mind that the Rogersville shale and other formations out in the western part of the state haven't really been explored and developed yet, that the few test wells have come back with good results, and that a boom in the oil and gas industry could jack the value of your mineral rights up quite a lot. I know it's speculative to wait for a boom, but the industry is cyclic, and will usually boom/bust every eight years on average.
I'll be glad to talk with you about helping you with your lease. That's the majority of what I do. I'll PM you with contact info.
Thanks for the info about the mineral buyers. I assume Ridgetop, Strategic Land, and Buffalo are all buyers?