By BERNIE HORNICK
The Tribune-Democrat
CARROLLTOWN
March 11, 2009 12:02 am
—
A natural gas company drilled a well Tuesday at American Legion Park that should pay the veterans group thousands of dollars a year in royalties.
But don’t think a rig will spoil summer picnics: The only evidence of the production will be a 2-foot pipe coming out of the ground.
“We’re going to use the money to help the park committee and the Sons of the American Legion put a big hall up, hopefully,” said Joe Yeckley of Carrolltown, commander of the borough’s American Legion Post.
He said the building will be erected at the park for recreation purposes.
Kevin McCoy of Ford City, a land agent for American Natural Resources of Armstrong County, said the American Legion would be paid 12.5 percent royalty on the value of the gas.
“It’s safe to say the (royalty) range is $300 to $2,600 a month,” McCoy said, although he stressed the value of every well is different.
The well should produce gas for 20 to 30 years. Plus, he said, the park will be entitled to free gas at the building they put up.
He said the natural gas well will be “logged” today, mapped to show where the strongest concentrations of gas are, by going down about 3,800 feet.
Then the gas will be piped out.
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