I’ve been hearing, in various circles, of landowners in southern New York State and Pennsylvania suddenly finding themselves wealthy. There’s gas in them thar hills! Natural gas! It’s called the Marcellus Shale region, and estimates of 516 trillion cubic feet of gas lies beneath the black shale. Several weeks ago, I was offered the opportunity to purchase 100 acres of forest land in Pennsylvania for $200,000. The property owner had just been offered $150,000 by a natural gas mining company, but the owner was elderly and didn’t want the hassle. He thought a younger couple could do well. It was a juicy offer, but I just don’t have $200,000 laying around, not even for a $150,000 return investment. Yet my interest was piqued. This could mean ground-breaking changes for the economies of the Northeast, which has been on deep decline for 30 years. And what this discovery means for NYRI, that group that wants to plow their 100-foot high, 200-mile long power line through our towns, remains yet to be seen. I did a blog post about how this power line would affect our towns and villages, see it here.
Gas mining executives are, obviously, looking for cheap deals and uninformed landowners. If you own land in the Marcellus Shale region, from New York to Virginia, it would do you well to study the geology of the area, and connect with your neighbors. Gas corporation lawyers are going door to door, striking individual deals with landowners. Some folks have sold rights to their land already, for a measly $25,000. Others are leasing their land for $50 per acre per year, and others $500 per acre.
The gas corporations are counting on uninformed residents and their lack of communication and organization to take advantage. Check out the following links for more information:
USA Today: Appalachia tantalizes natural gas drillers
Buffalo Business First: Researchers: Shale holds vast supply of natural gas
Geology.com: Marcellus Shale Gas: New Research Results Surprise Geologists
New York Times: There’s Gas in Those Hills
Catskill Mountainkeeper: The Impact of Natural Gas Drilling
13. July 2008 at 11:21 am
Wow, I had not heard anything about this – that’s really interesting. I didn’t know about the power lines either, that was a great post you linked with the pictures of the towns that would be destroyed if the power line project happens. I live in NY but not in either of these areas but I’m glad to be aware about what is going on in our lovely state. I gave you a Digg.
13. July 2008 at 11:53 am
about 20 years back, my aunt and uncle bought a house on 28 acres in Derby, NY (approx 20 miles south of Buffalo) for $81,000. They use the gas from their land for their home. I guess in hindsight it turned out to be a better deal than they probably figured it was initially considering what has happened to the cost of energy these last few years.
13. July 2008 at 3:11 pm
Wow! After looking at some of the articles mentioned,I worry for the natural beauty of these areas. The communities involved will have to get up to speed quickly to prevent themselves from being bulldozed by this. This is the first thing I’ve read about this. Thanks.
13. July 2008 at 8:13 pm
Same thing has happened here in the Dallas-Ft Worth area called the Barnett Shale http://en.wikipedia.org/wiki/Barnett_Shale
Many people are selling their land rights and getting hefty checks. One of my co-workers lives right on some of the land. She has told me a lot about it.
14. July 2008 at 2:55 pm
Yes, wow indeed! I have clients in these areas and I’ll have to see what’s cookin’. Yet another great post – love this blog. It’s just good stuff. Best of luck with your electrical issues!!! Be careful. Maybe you could trade advertising with an electrician for the labor? Hmmm. Anyway, good job and thanks for the info. Great follow-up article links too. I’m becoming an expert! Bonnie
14. July 2008 at 9:18 pm
Yikes! Sounds like Paul Thomas Anderson’s “There will be Blood.”
Good idea getting the word out. Hope it doesn’t negatively effect the area.
15. July 2008 at 1:58 pm
Mrs. M you need to go to my blog and watch the video of Rocky Mountain Shale! They have a new way of getting it out of the ground without harming nature! Think of how much the Northeast could save!
17. July 2008 at 12:37 pm
This is very interesting. My parents live in the Devonian area. I wonder if it is valuable also. Dad owns 200 acres there. I’ll look into this more, that’s for sure.
Thank you for posting this.
Shelly M.
The Mom With Brownies