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Discussion Starter #1
Got an offer to "sell" the ROW across my Tioga Co. land for a new pipeline. Several new wells being punched nearby, figure they're getting ready to connect them.

They're sending the paperwork and maps, think the guy said they're offering less than 10 cents per foot. Anyone get any similar offers?
 

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10 CENTS/FOOT, that seems way to low too me.I believe I have heard figures of $7.00/ft.And are there trees involved?
 

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Discussion Starter #4
Some trees involved, but nothing very valuable if they go where I think they'll want to go. Guy that called had such a drawl, that it was hard for me to really understand what the offer was.
 

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denny,
be carefull with that ROW.

my lawyer told me about a month ago that the latest gimmock by the gas companys was getting people to sign gas line ROW.
the problem he saw with the ones he looked at was that some of the wording in them takes away the protection you have in your original lease. it does not effect the royalties, but does effect the addendums.
i don't see why they need the ROW, as they already have the rite to put a gas line on you to remove the gas under your land, or any unit that your land is a part of.
be sre to have your lawyer look over any contract and point out what i said.
as far as prices, it has varied up here from $7.00 per ft to $20 per ft.

the money you get from a gas line ROW is not worth loosing all the addendums of a good lease.
 

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should also point out that the price per foot is figured differently by diff companys.
they may call it $.10 per lineal (sp?) foot. they will typically take a 75ft ROW, the $7 to$20 per ft is actual pipeline footage in a straight line, does not account for the width.
 

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Discussion Starter #9
There's the rub, buzz. I don't own the gas rights to my land. It was sold back in the 1930s.

The guy was all het up to get together, until I told him I live 3 hours south of that land in Tioga County. He was sending me paperwork, maps, etc, but nothing has shown up yet.
 

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Discussion Starter #11
Finally received the offer in the mail. It's $8 per lineal foot for a ROW across my Tioga Co. property.

$10 up front, the rest if and when they actually begin the pipeline. Don't much like the map that came with it, as it's pretty general in location and doesn't really show exactly where it might go. ROW is 100' for construction, then a 50' ROkW thereafter, which I think is fairly standard?

Need to contact neighboring farmers to see what they signed for. One adjoining farmer has reportedly signed for over 20 grand, but the same line will cross about three times as much of his land, as on my place.
 

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They don't need a 50' permanent right-of-way for an underground gas line. I would go back at 25' permanent and 50' construction width. Every 100' of length equals just over a tenth of an acre. At their numbers, they are paying you $800 per tenth of an acre or $8,000 an acre. If your land is worth more than $8,000 an acre their offer is no good. Couple things to keep in mind: restoration and reseeding obligations (following installation and following any repair, replacement or removal of lines), gates to stop traffic, stacking of timber for your use, easement is non-exclusive (i.e. you can run other utilities through the same easement area, indemnification and insurance requirements ($1M CGL minimum), watercourse protection (if any) and termination of easement if operation of the line is discontinued.
 

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Discussion Starter #15
Restoration of disturbed vegetation and replacement costs for mature trees, are included in the contract.

100' construction ROW, 50' permanent.

Probably will not happen, because if they cross my land, they'll have to cross either one of two farms over the hill from me and one old gal refuses (she wouldn't even do the gas lease two years ago) and the other family wants about 5 times their offer.

We shall see. Apparently they figured on starting in early April, as one well down the road is already done and ready.
 
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