Ohio wildlife area to be fracked along with four ODOT properties

COLUMBUS, Ohio (WTRF) — The Ohio Oil and Gas Land Management Commission (OGLMC) has announced the selection of winning bids to lease mineral rights under select Ohio Department of Natural Resources (ODNR) and Ohio Department of Transportation (ODOT) properties on Monday.

Under Ohio law, the commission was required to select the “highest and best bid.”

The OGLMC posted the nominated leasing parcels for bid on July 10, with August 9 being the deadline.

These submissions have not been without controversy from environmental groups that oppose fracking under Ohio’s state parks and public lands.

According to OGLMC, every lease agreement includes a 12.5% royalty paid to the state for production, with an additional financial incentive paid by the winning bidders to the state. A Revised Ohio Code requires royalties and incentives paid to the state to return to the agency leasing the area’s mineral rights.

The lease bonus for this round of nominations looks to bring $47,767 for ODOT properties and $211,650 for ODNR properties. OGLMC says this is in addition to the extra financial incentives and royalties on production.

The “highest and best bids” selected by the OGLMC are:

Potential right-of-way along SR331 (Flushing Township, Belmont County)

• Gulfport Appalachia, LLC (Nomination #24-DOT-0002)
• Lease Bonus: $18,666.00 ($6,000/acre)
• Royalty: 12.5%
• Additional financial incentive: 5.5% of production

Possible right-of-way along SR78 (Summit Township, Monroe County)

• Gulfport Appalachia, LLC (Nomination #24-DOT-0003)
• Lease Bonus: $5,480.00 ($4,000/acre)
• Royalty: 12.5%
• Additional financial incentive: 5.5% of production

Possible right-of-way along SR265 (Somerset Township, Belmont)

• Tiburon Oil and Gas Ohio, LLC (Nomination #24-DOT-0005)
• Lease Bonus: $6,545.00 ($5,500/acre)
• Royalty: 12.5%
• Additional financial incentive: 5.5% of production

Keen Wildlife Area (Washington Township, Harrison County)

• EOG Resources, Inc. (Nomination #24-DNR-0002)
• Lease Bonus: $211,650.00 ($2,500/acre)
• Royalty: 12.5%
• Additional financial incentive: 5.5% of production

OGLMC officials say state law requires the selected bidders to undergo the regulatory and permitting process through the ODNR Division of Oil and Gas Resources Management next.

Additional nominations were considered and approved by the OGLMC, including the Right-of-way along SR265 in Somerset Township, Belmont County (Nomination #24-DOT-0011) and Egypt Valley Wildlife Area in Flushing Township, Belmont County (Nomination #24-DNR-0003).

These nominations will go out to bid in October.

A nomination that was considered and denied by the commission was Right-of-way along SR513 – Londonderry Township, Guernsey (Nomination #24-DOT-0010). Sources say economic benefits were deemed too low for this site.

In what an environmental group calls a “small victory,” the nomination to frack 257 parcels under Salt Fork State Park and Salt Fork Wildlife Area in Guernsey County was withdrawn, but could be resubmitted by the OGLMC.

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