Canon-McMillan School Signs Gas Lease with Range Resources

A school district in Washington County, PA (in western PA) just signed a five-year lease for school district property with Range Resources:

Canon-McMillan school directors last week unanimously approved a five-year lease with Southpointe-based Range Resources for non-surface Marcellus Shale drilling on district property.

The lease of more than 16.8 acres of property represents 25 parcels—which includes all district buildings and all of its fields.

The lease agreement calls for a $2,900-per-acre up-front payment, as well as a 16.75 percent royalty on any gas extracted.*

*Canon-McMillanPatch (Sep 30, 2011) – In Brief: Canon-McMillan Signs Lease With Range Resources