Vindy.com

Published: Thursday, August 2, 2007

Oil/gas drilling set for fall at Gypsy Lane course



An energy company is also seeking drilling rights from neighboring property
owners.

By ANGIE SCHMITT

VINDICATOR STAFF WRITER

YOUNGSTOWN — The shady North Side golf course that has tested the likes of Arnold Palmer as well as generations of local foursomes has been tapped for a entirely new purpose.

A Brecksville-based energy firm, Duck Creek Energy Inc., has entered an agreement with Youngstown to drill for oil and natural gas at Henry Stambaugh Municipal Golf Course.

The company is preparing to install four wells at the 81-acre course. In return, the city has received a $12,000 up-front payment and will be entitled to one-eighth of the extracted oil or natural gas, or the cash equivalent, said Law Director Iris Guglucello.

Golf course director David Boos said he's satisfied the drilling will have a minimal impact on the course. Boos, who said he grew up on Stambaugh's nine greens, negotiated with Duck Creek employees to find the most benign sites for the wells, he said.

"I had to make sure the location of the wells wouldn't interfere with the play on the golf course or be a distraction," said Boos. "As long as they're not going to be an eyesore and they're not going to interfere with play, it's a great deal."

Location of wells

Two wells will be situated along the borders of the golf course in out-of-play wooded areas past the 4th and 9th greens, he said. One will stand near the maintenance building; another in a vacant expanse between the third and seventh green, he said. Each 4- or 5-foot drill will be surrounded with a screened fence, Boos said.

Once in place, wells could remain in operation for up to 20 years, said geologist Brad Nelson, a partner in the project.

Homeowners whose property neighbors the golf course could be in for a share of the revenue, as well, said Nelson. Duck Creek Energy has no intention of boring wells on private property but a state law requires the company secure a mineral rights lease for 80 acres surrounding each well, he said.

"The city only has 85 acres. I need 100," he said. "I need property owners to prescribe to the effort."

Duck Creek Energy has distributed letters to homeowners on Colonial Drive and Fifth Avenue, inviting them to join in the lease. Participating property owners will receive a portion of the 1/8 royalty based on the relative size of their property, he said.

"The only person who's going to set foot on their property is the mailman with a check," he said.

A strong response

Nelson said so far, he's had a strong response from residents. But he warns prospective lessees, "Don't quit your day job," he said. Drawing from the company's past ventures in the Youngstown area, he said, "there's probably not a tremendous amount of oil."

Lessees will receive their payments on a regular basis, or whenever their share totals $25, he said.

Interim Park Director Jason Whitehead said the city's portion of the revenues will benefit the park department's general operating budget. A portion would likely be dedicated to improving the golf course, he said.

The park department is in the process of developing a comprehensive plan to improve the 85-year-old course, said Whitehead.

Boos said the course will continue to serve an important function as a training ground for young golfers. The course hosts the Junior Golf Championship for high schoolers from around the metro area, he said. The parks department's free golf lessons are also offered from the site.

"It's affordable and conveniently located," he said. "A huge percentage of the people who play golf in the area started here."

"It's very important to a lot of people in the city."

aschmitt@vindy.com

Thursday, August 2, 2007

An energy company is also seeking drilling rights from neighboring property
owners.

By ANGIE SCHMITT

VINDICATOR STAFF WRITER

YOUNGSTOWN — The shady North Side golf course that has tested the likes of Arnold Palmer as well as generations of local foursomes has been tapped for a entirely new purpose.

A Brecksville-based energy firm, Duck Creek Energy Inc., has entered an agreement with Youngstown to drill for oil and natural gas at Henry Stambaugh Municipal Golf Course.

The company is preparing to install four wells at the 81-acre course. In return, the city has received a $12,000 up-front payment and will be entitled to one-eighth of the extracted oil or natural gas, or the cash equivalent, said Law Director Iris Guglucello.

Golf course director David Boos said he's satisfied the drilling will have a minimal impact on the course. Boos, who said he grew up on Stambaugh's nine greens, negotiated with Duck Creek employees to find the most benign sites for the wells, he said.

"I had to make sure the location of the wells wouldn't interfere with the play on the golf course or be a distraction," said Boos. "As long as they're not going to be an eyesore and they're not going to interfere with play, it's a great deal."

Location of wells

Two wells will be situated along the borders of the golf course in out-of-play wooded areas past the 4th and 9th greens, he said. One will stand near the maintenance building; another in a vacant expanse between the third and seventh green, he said. Each 4- or 5-foot drill will be surrounded with a screened fence, Boos said.

Once in place, wells could remain in operation for up to 20 years, said geologist Brad Nelson, a partner in the project.

Homeowners whose property neighbors the golf course could be in for a share of the revenue, as well, said Nelson. Duck Creek Energy has no intention of boring wells on private property but a state law requires the company secure a mineral rights lease for 80 acres surrounding each well, he said.

"The city only has 85 acres. I need 100," he said. "I need property owners to prescribe to the effort."

Duck Creek Energy has distributed letters to homeowners on Colonial Drive and Fifth Avenue, inviting them to join in the lease. Participating property owners will receive a portion of the 1/8 royalty based on the relative size of their property, he said.

"The only person who's going to set foot on their property is the mailman with a check," he said.

A strong response

Nelson said so far, he's had a strong response from residents. But he warns prospective lessees, "Don't quit your day job," he said. Drawing from the company's past ventures in the Youngstown area, he said, "there's probably not a tremendous amount of oil."

Lessees will receive their payments on a regular basis, or whenever their share totals $25, he said.

Interim Park Director Jason Whitehead said the city's portion of the revenues will benefit the park department's general operating budget. A portion would likely be dedicated to improving the golf course, he said.

The park department is in the process of developing a comprehensive plan to improve the 85-year-old course, said Whitehead.

Boos said the course will continue to serve an important function as a training ground for young golfers. The course hosts the Junior Golf Championship for high schoolers from around the metro area, he said. The parks department's free golf lessons are also offered from the site.

"It's affordable and conveniently located," he said. "A huge percentage of the people who play golf in the area started here."

"It's very important to a lot of people in the city."

aschmitt@vindy.com

Thursday, August 2, 2007
The shady North Side golf course that has tested the likes of Arnold Palmer as well as generations of local foursomes...