Posted on 07/15/2013 6:56:32 PM PDT by thackney
Two energy companies are pulling out of northeastern Pennsylvania, where a three-year moratorium on gas drilling has infuriated landowners who say it’s now cost them a windfall of more than $187 million.
Hess Corp. and Newfield Exploration Co. sent a letter to landowners that notified them their leases are no longer in effect, according to the Northern Wayne Property Owners Alliance, which negotiated a master lease on behalf of more than 1,300 families and businesses.
“The lease is gone. It is no longer in force. They are releasing the properties,” the group’s spokesman, Peter Wynne, said Monday.
The $3,000-per-acre lease was structured so that some of the money was to be paid up front and the rest once drilling began. The landowners’ group said its members received about $150 million several years ago. Another $187.5 million would have been due had the companies been able to develop gas wells, Wynne said.
(Excerpt) Read more at fuelfix.com ...
So sue Big Sis.
Pennsylvania shoots itself in the foot once again. And it also extended a burdensome tax on businesses that no other state has. You wouldn’t believe that both chambers of the state legislature and the governor are Republicans, but they are. Its no wonder the state consistently ranks near the bottom of states when it comes to business climate.
The gas isn't going anywhere, it's still valuable and they still own it. In all likelihood it will eventually be exploited.
the rich elite just don't want the little people to benefit....
follow the money....the big bankers and investors will have THEIR investments protected...they'll have the competition thwarted...
They didn’t make enough bribes or political contributions.
And they should sue that one idiot that left the comment complaining about a few greedy landowners at the expense of the livelihood of others. Just absolutely ridiculous. Has he taken a look at what exploration has done for us in Texas. Hope he freezes his dupa off this winter!
Pennsylvania needs to tell the Delaware River Basin Commission to go pound sand.
The price of natural gas peaked mid ‘08.
You want to bet the farm you can live long enough to collect anything?
Illinois now allows fracking!
As more wells come online speculative wells become worth less and less.
Having already been paid $150mm I’d say the land owners are making out in this situation.They or their heirs will benefit eventually.
Gas under your land is like money in the bank. Might not be able to access it right now, but it’s not going anywhere.
SURE THEY CAN! It’s called horizontal drilling.
Presumably divided by 1,300 would be about $115K each, paid several years ago. Of course, a few got more, and most probably much less.
Thank you for the dumbest reply of the day.
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