Company opts for mineral purchases instead of oil and gas lease agreements

It appears a slight shift is taking place on the oil and natural gas front in the Upper Ohio Valley, with at least one firm purchasing entire mineral tracts from property owners instead of entering into lease agreements with them, reports the Intelligencer/News-Register in Wheeling, West Virginia. The newspaper says public records show that Oklahoma City-based Westhawk Minerals LLC paid about $8,750 per acre for a 51.66-acre tract near Shadyside, Ohio, a little more than $6,000 per acre for another tract near Fairpoint, Ohio, and $6,667 per acre for land in Bethlehem, West Virginia. The practice can be beneficial for property owners, according to the Intelligencer/News-Register, in that the up-front payment likely will be higher than what is offered through a lease agreement. However, royalties are not included in such deals. 

Ohio, West Virginia