Halcon Purchases 31,000 Acres of Leases in Trumbull County

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From Vindy.com:
A Houston-based energy company is spending $194 million to gain Utica Shale drilling rights to 31,000 acres in Trumbull and Mahoning counties for oil and gas development.
Halcon Resources Corp. becomes the third company to make a significant economic investment into leases in Trumbull County in 2012. The company agreed to pay more than $6,000 an acre for the oil and gas rights. They were purchased from another Texas company, NCL Appalachian Partners, L.P., of The Woodlands, Texas.
There are no proven reserves of oil or natural gas on the property involved in the sale, according to the United States Securities and Exchange Commission filing regarding the purchase.
Halcon’s purchase in Trumbull County was preceded by BP’s leasing more than 80,000 acres and Chesapeake Energy with more than 25,000 acres.
The Halcon agreement also includes the purchase of oil and gas rights for about 3,000 acres of land in Mahoning County, according to records in the Mahoning County Recorder’s Office. The majority of the Mahoning County leases were in Jackson and Milton townships.
The amount paid by Halcon for the local acreage was much higher than most of the other reassignments of leases that have occurred locally, said Alan Wenger, an attorney at Harrington, Hoppe & Mitchell in Youngstown, who has negotiated oil and gas leases for the Associated Landowners of the Ohio Valley in Trumbull County. “Typically they’ve been in the range of $1,000 to $2,000 an acre, but the companies also typically get a point or two of royalties [which did not occur in this transaction],” he said.
Read the rest of the article here.

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