How much does it cost to lease land in Pennsylvania?

Land leases in the Appalachian basin, which had been going for $25 per acre with a 12.5 percent royalty, skyrocketed, in some cases reaching as high as $6,000 per acre and a 25 percent royalty. Pennsylvania began exporting Marcellus Shale gas overseas. Energy companies flocked to the state, opening new divisions.

What happens when you lease a natural gas field?

If you own these natural gas rights you may lease the right to explore for gas to a company that has the equipment and expertise to recover or receive the gas for a period of time, and to accept payment for the lease and royalties for the value of the gas.

Are there any natural gas companies in Pennsylvania?

In January, 2016, it was reported that natural gas producer Southwestern Energy was laying off 40 percent of its workforce, including 200 jobs in Pennsylvania.

Where can I find oil and gas lease prices?

The oil and gas lease data reported in the U.S. Lease Price Report is compiled from three basic sources, including private transactions, federal oil and gas lease sales, and state oil and gas lease sales. County by county information includes low, high, and most common price, royalty range, rental range, and lease term.

Can a gas company offer you a preprinted lease?

To save time, gas companies may offer a preprinted gas lease. You can accept this lease, reject it, or use it as a starting point for negotiating. You can make changes to the lease by creating one or more addenda that are approved by both parties. Don’t feel pressured to lease your land for natural gas exploration and drilling.

How does natural gas exploration work in Pennsylvania?

When natural gas is extracted from a leased property, the property owner is paid a royalty. As gas companies and geologists determine where gas drilling might be worthwhile in Pennsylvania, they send contractors, called landmen, out to landowners to secure the natural gas exploration rights for a period of time as gas development begins.