The Central Arlington Property Owners group has struck an unusual natural-gas deal with Chesapeake Energy that will pay it near-record bonus and royalty amounts, as well as donations of up to $200,000 to the group.
The lease was finalized May 7, and the group began the first of many signing dates earlier this week.
The terms of the lease are:
n $26,500 per-acre lease bonus
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n 26 percent royalties, with no costs built in
n Three-year initial term and an additional two-year option
Chesapeake will donate $100,000 to the CAPO group and pledged to give another $100,000 as a matching donation if the group can raise the same amount, said Ricky Esqueda, the group’s organizer.
He added that the group is currently trying to formalize a non-profit organization to handle the money. A board of directors for the non-profit would be formed from residents. How the money would be specifically spent is not known, but Esqueda said one use could be donating to educational programs in the area.
“What CAPO wants is for this community to get involved and have a vested interest in revitalizing this area for the betterment of all,” he said.
The CAPO group generally represents property owners west of Matlock Road, north of Arbrook, east of South Cooper Street, and south of Mayfield Road.
Earlier this week, another group announced its near-record deal. The Southwest Arlington group known as Turf Green United said it’s reached a deal with the relatively unknown Titan Resources for a lease that includes a $25,500 per-acre bonus, a 25 percent royalty and a three-year initial term and an option for another two years at the same bonus rate.
DAVID WETHE, 817-390-7616