Pennsylvania Game Commission lists recent oil, gas and mineral deals

Harrisburg — Pennsylvania game commissioners, at their July 10 quarterly meeting, approved the following oil, gas and mineral agreements:

– SR1 Captura Sage Holdco I, LLC, a Delaware limited liability, requested a Limited Waiver of Surface Rights Agreement for parcel #45-35-00-0-015, under which the commission owns mineral rights. The commission does not own the surface.

The intended land use is for solar development on approximately 27 of the 47.3-acre parcel located in Derry Township, Westmoreland County.

The terms of the agreement are a 25-year surface use agreement, during which time the commission agrees not to use the surface (defined as the top 100 feet) of these 27 acres to access any underlying minerals.

In exchange, Captura will pay the commission $500 per acre for all acres affected. This is privately owned land and no solar development will occur on state game lands.

MORE COVERAGE FROM PENNSYLVANIA OUTDOOR NEWS:

Court rules Pennsylvania Game Commission warrantless searches are unconstitutional

Study says Pennsylvania game lands don’t hurt the state’s counties

Lyme disease vaccine may be on the horizon

– Snyder Brothers Inc. (SBI) of Kittanning requested the commission offer its oil and gas rights under portions of State Game Land No. 259 for non-surface use development.

The proposed tract, containing approximately 206 oil/gas acres, is located in Sugar Creek and West Franklin townships, Armstrong County. SBI will access the 206-acre reserves from its current and planned drilling operations on adjacent areas off State 259 by horizontal drilling with no additional surface use or disturbance to the game lands.

The commission negotiated the proposed terms of the agreement with SBI to prudently develop its oil/gas reserve and simultaneously protect the wildlife resources and recreational use of State Game Land 259.

The terms of the agreement include a 10-year paid up non-surface use oil and gas agreement, a $2,500 per net oil and gas acre bonus payment for all formation depths and a royalty for all oil, gas, and other liquids or condensates produced and sold from the proposed tract.

The deal also includes an amendment to an existing 146-acre lease SBI holds on game land 259 to restrict any future surface impacts on that parcel, with the exception of continued access to the existing Minteer and Baker Enterprises well on this tract.

– Laurel Mountain Energy, LLC (LME) of Pittsburgh, requested two amendments to the Non-Surface Use Oil and Gas Agreement (dated Dec. 11, 2025) as follows:

Add 48 acres for drilling and hydrocarbon production from the Marcellus Formation.

Add 214.39 net acres for drilling and hydrocarbon production from the Burket Formation.

The original agreement was approved by the Commission at its April 12, 2025, meeting, and contained approximately 646 net oil/gas acres located in Washington and Parker townships, Butler County.

The commission later approved an additional 107 acres by notational vote in November 2025. The 753 total net acres are approved only for development of the Marcellus Formation.

This amendment would increase the acreage within the Marcellus Formation to 801 total acres and provides access to the Burket formation on a subset of 214.39 acres.

The terms of this amendment will include a $1,250 per oil and gas acre bonus on the additional 48 acres within the Marcellus formation and a $250 per net oil and gas acre bonus on the 214.39 acres within the Burket formation.

– JKLM Energy, LLC (JKLM) of Sewickley requested an amendment to its Non-Surface Use Oil and Gas Agreement – 037A-24, dated Aug. 6, 2024, to change the method of their bonus payment to the commission.

The original agreement, approved by the commission at its July 12, 2024, meeting, called for JKLM to pay a $10,367,940 bonus in three installments, with 34% due the first year and 33% due in years two and three. The payments for year one and year two were received by the commission.

In lieu of JKLM paying the final $3,424,390.20 cash payment in year three of the agreement, they will cause to convey several parcels of land to the commission totaling about 1,459 acres as follows: 295 acres in Union Township, Erie County; 954 acres in Keating Township, McKean County; and, 210 acres in Clara Township, Potter County.

Under Section 723(2) of the Game and Wildlife Code, the commission is authorized to exchange oil and gas rights for suitable lands having an equal or greater value (34 Pa.C.S. §723(2)). As the value of the land being offered by JKLM is not equal to the final installment, they will pay an additional $250,000 to the commission.