Ohio County Receives $8M (So Far) from Marcellus Gas Leases
Ohio County, WV is reaping the rewards of leasing county-owned land for Marcellus gas drilling. The county’s land leases with Chesapeake Energy have already resulted in nearly $8 million in one-time lease payments for the county coffers, and soon will mean royalty payments too. Chesapeake has already completed a well on private land adjacent to (and drilling under) county land in The Highlands area. But gas from that well has not yet started to flow due to a delay in getting a pipeline built to the well. Once the pipeline is in place, the county will start receiving royalty checks from that well.
And within the next 12 months, Chesapeake will drill a new well, this time directly on county-owned land at the airport:
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News of Chesapeake Energy’s major oil discovery in eastern Ohio’s Utica Shale prompted officials in Columbiana County to renegotiate their about-to-be-signed lease with Chesapeake. It was a smart move for the county—netting them an additional $255K:
Ohio continues to be red hot with respect to leasing mineral rights for shale gas (and now oil) drilling. Some counties, like Belmont, can’t keep up with the lawyers and researchers who pour over property records at the County Recorder’s office: