Replies to This Discussion

Permalink Reply by Terry L. Antee on August 24, 2010 at 3:24

I would not sell I would lease for a certain amount each year and make sure you retain the minerals. I would make it for a term 10 years and then adjust the rental to fit the economy.

• ▶ Reply

Permalink Reply by Skip Peel - Mineral Consultant on August 24, 2010 at 3:33

Dennis, post your query in the Eagleford Group. Here's a link.

http://www.gohaynesvilleshale.com/group/eaglefordshale

• ▶ Reply

Permalink Reply by Spring Branch,mineral owner on August 24, 2010 at 4:06

I personally know a lady in northern DeSoto Parish who sold 20 acres of her land to Chesapeake for a gathering facility. It was adjacent to Highway 789 and the Centerpoint interstate pipeline. That also puts it very near the Tiger line. She received $20,000 per acre for the 20 acres.

• ▶ Reply

Permalink Reply by Eric Camp on August 24, 2010 at 4:07

Terry's idea of leasing rather than selling may work, if the company goes for it. They may not, however, because they will be installing tens of millions of dollars of equipment on the site and may want to own the land rather than face tough negotiations down at renewal. If they are willing to entertain the leasing idea, it would likely have to be for a very long term.

I would be very careful in these dealings since you own land around what they are seeking. Realize that this will be a large industrial facility with a lot of noise and odors. If you're going to allow them to put it adjacent to your ranch, protect yourself as much as you can with noise and odor restrictions in the transfer document and make sure they pay you well over the fair market value of the land.

• ▶ Reply

Permalink Reply by mh on August 24, 2010 at 13:18

I received an inquiry in late June from a pipeline company that wanted to do various surveys (civil, environmental, archaeological and geotechnical) to see if they might want to buy 40 acres from me in Karnes County. I asked which 40 acres they might have an interest in and then told them it wasn't for sale. We didn't get to price; truth is that I was sort of afraid they might offer an amount that would be difficult to turn down. I know that the infrastructure is necessary but... It could be a tough decision for you. Good luck.

• ▶ Reply