Harrison leases land to gas firm
CADIZ – Harrison County commissioners on Wednesday signed an agreement leasing 357 acres to CBM Ohio, a Cadiz-based shale gas market company.
With an option on an additional 148 acres, which are being sought under abandonment rights, the lease will cover the Industrial Park properties.
“This is good news for Harrison County,” said Commissioner Dale Norris, as the agreement will pay $5,000 per acre and 19 percent royalties. “We have been in the process of leasing this ground for the last nine months and there are many people here in the courthouse who played a role in getting this accomplished.”
“Due to the fact that there were some complications in the prior lease, several office holders, including the treasurer, auditor, recorder, clerk of courts, Judge Shawn Hervey and Prosecuting Attorney Michael Washington worked with the commissioners to get this accomplished,” Norris continued. “It is only through all of their efforts, and CBM Ohio working with us, that we have come to an agreement,”
“We appreciate the commissioners allowing a small company that is local to try and take on a project like this,” said CBM General Manager Bob Griffin.
Griffin said CBM produces methane from abandoned coal mines in the area and has two coal base methane wells on the property. “We are looking into venturing into the Utica play now.”
Griffin also stated his company is in the process of lining up some drillers. “Eventually we will be able to work out a surface agreement and place some drilling sites. We feel this will be a lucrative agreement for both parties,” Griffin concluded.
Bids were opened for road salt, with just two received.
North American Salt sent a bid for $67.16 per ton for bulk road salt, while Morton bid $46.50 per ton. The board voted to table the bids for one week to allow Engineer Robert Sterling to review the documents.
Representatives from Access Ohio Valley addressed the board requesting the status of their contracts submitted with the county for access to towers for broadband service. The board suggested resubmitting contracts due to the change over in the prosecutor’s office.