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Permalink Reply by Natch N3 on August 7, 2008 at 1:12

http://www.natchitochestimes.com/articles/2008/08/07/news/02board.txt


ARTICLE
School board considering gas leases

Marjorie McKeithen spoke to the school board Tuesday about putting its property up for gas leases. McKeithen is secretary of the Louisiana Mineral Board.
Published: Wednesday, August 6, 2008 9:34 PM CDT
If the Natchitoches Parish School Board wants to get bids on gas leases for its property, it must meet an Aug. 25 deadline.

During a committee meeting Thursday, Sec. of the La. Mineral Board Marjorie McKeithen outlined steps the school board should take if the members want her office to handle the bids for lease at the mineral board's November meeting.

The school board must pass a resolution by Aug. 25 and provide the mineral board office with a list of properties and descriptions. The mineral board charges no fees to broker the leases for municipalities and governmental bodies but charges a $400 nomination fee to get the property on the bid list. McKeithen said the companies that lease the land will pay that cost back to the school board.

Should the school board lease its lands, it can keep the rights to the timber.

McKeithen said that other municipalities in north Louisiana are getting "unbelievable prices" for gas leases. Caddo Parish received $17 million for leasing 585 acres at $30,212 per acre plus 30 percent royalties.

Desoto Parish received over $28 million for leasing its land at $27,500 pre acre and 27.5 percent royalties.

McKeithen said her office still expects to get good prices as the leasing moves into Natchitoches Parish. Although the extent of the Haynesville Shale is not know, McKeithen speculated that it "goes right through the middle of Natchitoches."
The school board can specify a minimum bid for leases and royalties. If the minimum is bid, the school board must accept it. If no minimum is stipulated, then mineral board geologists evaluate all bids and can reject them if they feel the bids are not comparable to adjacent property bids.

McKeithen met with Mayor Wayne McCullen and NSU President Randy Webb Thursday to offer her office's services.

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