Stoltz of Coudersport

xxx

xxx

Do You Know: You can buy this marquee ad on Solomon's words for the wise for your business or event for only $10. per day! It's just one of the low cost advertising options available. Your ad is viewed 40,000 to 70,000 times every day. Email us for information on other ad locations.

Solomon's Auction & Yard Sale Page

Really Rural

E & G

Street Machines

Howard's Inc, Coudersport, PA

UPMC Cole

Wednesday, May 4, 2011

THE LEASING MERRY-GO-ROUND

THE LEASING MERRY-GO-ROUND

Article by Janice L. Hancharick

Many individuals and numerous groups around our state are on this ride. Many who are UN-leased believe it's a fun, and ultimately a profitable activity. The latter has been forefront in everyone's mind, especially the gas companies ... especially the rights holders. OK, so that's everyone.

What makes this ride so difficult to get on and so difficult to get off? While we seldom choose to look beyond our locale, in fact what is being haggled over is a world-wide commodity. Political upheavels far beyond our shores, nature's catastrophes around the globe, each country's energy development regulations and the economies of all nations determine the kind of carnival ride gas/oil will provide rights owners.

If rights owners only want dollars, they will never realize the full potential of the resources beneath their feet. They will have a short ride on the merry-go-round, and likely be moaning about it forever.

Rights owners seeking understanding of the resources, the development process, and ways to make the leasing opportunity renewable are truly doing their homework. They want to grab the Brass Ring on their ride! Luckily (and confusing at the same time), more than one brass ring exists.

Those who strain and reach for THE SHINIEST ONE may never see it. Of course I am referring now to a solid lease, for that IS the brass ring in this region. An over-whelming amount of information is currently available, where five and six years ago there was little. Nowadays the sources must be researched before the information they provide is considered. Whoa! Did we just change merry-go-rounds? Forget the "day job". All this studying can feel like a day job and a night job ... but it doesn't pay! And it never will until a DECISION is made. The Brass Ring is what one individual(joined by many others) makes of it. That's a Group.

Some groups go round and round with one or two companies, when all that's really happening is time is passing. Does that remind anyone of the "carrot on a stick" scenario? Round and round, and does the scenery/circumstance ever really change?

For rights owners who signed leases 5 - 6 years ago, they've had their taxes paid by lease money, and hopefully a few other expenses covered. It has been a good ride with what is now an out-of-date leasing agreement. Unless one is receiving royalty payments (or signed a bad lease) opportunity is knocking on the door again. It has new addendums for one's safety and that of the environment. The dollar amounts have risen considerably somewhat due to inflation, but much more because rights holders have learned the VALUE of what they have. Energy sources = $$$$

Regardless which leasing merry-go-round readers find themselves on: 1.The one winding down ... lease about to expire. 2.The one filled w/riders having decision constipation. 3.The one w/group members w-a-i-t-i-n-g for one or two companies to finally come through. ... OR ...
4.The one that's re-tooled refusing to "go-round" any more...jumping instead into the technology and stategies employed by 21st Century leasing entities.

IT IS TIME TO DO SOMETHING.

Look for Solomon's Word AD: 4-County Leasing Group Meeting May 5th Fire Hall, 121 Puritan Ave. Shinglehouse, PA 6:30 For those who haven't attended earlier this year. 7:30 For members wanting to learn the next step, and see parcels on screen.