W.Va. lawmakers consider state forest drilling
Some state lawmakers want to tap the publicly owned wealth beneath West Virginia's state forests.
CHARLESTON, W.Va. -- Some state lawmakers want to start tapping portions of the publicly owned mineral wealth beneath West Virginia's state forests.
Legislators have asked the Division of Natural Resources to examine the possibility of leasing natural gas drilling rights at those properties. The topic arose during last week's monthly interim study meetings.
"There appears to be a growing interest in leasing the rights," said DNR Director Frank Jezioro.
Senate Finance Chairman Walt Helmick, who helped lead the discussion during interims, said gas leases could provide a serious revenue boost for that agency.
With the state budget still weathering the effects of the latest recession, the DNR is projected to spend around $86 million from general revenue taxes, federal funds, lottery proceeds, and such special sources as permits and fees this budget year. The agency also oversees state parks and wildlife-management areas among its various duties.
"They're here looking for money today, and they have a significant resource in minerals," said Helmick, D-Pocahontas. "We also want to determine how much wealth is out there."
Agency officials estimate that the state owns 42,577 acres of oil and gas deposits beneath all of the eight state forests except Cabwaylingo, in southwestern West Virginia.
The holdings range from 49 acres beneath the 9,300-acre Kanawha State Forest to 13,739 acres beneath Cooper's Rock State Forest in Monongalia and Preston counties, which has a surface area of 12,747 acres.
Officials also estimate that the earth beneath this land contains 57,817 acres of coal, although Jezioro said there's been no discussion of developing those resources. The surface area of the eight forests together total more than 71,000 acres.
Natural gas drilling on public lands is not new. Private interests have active wells on three of the properties, including Kanawha State Forest. A poorly cut access road there prompted 2007 legislation meant to control and limit how these drilling operations disturb the surface.
CHARLESTON, W.Va. -- Some state lawmakers want to start tapping portions of the publicly owned mineral wealth beneath West Virginia's state forests.
Legislators have asked the Division of Natural Resources to examine the possibility of leasing natural gas drilling rights at those properties. The topic arose during last week's monthly interim study meetings.
"There appears to be a growing interest in leasing the rights," said DNR Director Frank Jezioro.
Senate Finance Chairman Walt Helmick, who helped lead the discussion during interims, said gas leases could provide a serious revenue boost for that agency.
With the state budget still weathering the effects of the latest recession, the DNR is projected to spend around $86 million from general revenue taxes, federal funds, lottery proceeds, and such special sources as permits and fees this budget year. The agency also oversees state parks and wildlife-management areas among its various duties.
"They're here looking for money today, and they have a significant resource in minerals," said Helmick, D-Pocahontas. "We also want to determine how much wealth is out there."
Agency officials estimate that the state owns 42,577 acres of oil and gas deposits beneath all of the eight state forests except Cabwaylingo, in southwestern West Virginia.
The holdings range from 49 acres beneath the 9,300-acre Kanawha State Forest to 13,739 acres beneath Cooper's Rock State Forest in Monongalia and Preston counties, which has a surface area of 12,747 acres.
Officials also estimate that the earth beneath this land contains 57,817 acres of coal, although Jezioro said there's been no discussion of developing those resources. The surface area of the eight forests together total more than 71,000 acres.
Natural gas drilling on public lands is not new. Private interests have active wells on three of the properties, including Kanawha State Forest. A poorly cut access road there prompted 2007 legislation meant to control and limit how these drilling operations disturb the surface.
Cabwaylingo also hosts private wells, as does Camp Creek State Forest in Mercer County, said Joe Scarberry, DNR's Land and Streams supervisor.
Jezioro said his agency is proceeding on the legislative request with caution.
"There's a lot that has to be decided," Jezioro said. "We're the stewards of these natural resources, but the real owners are the people. We have to take into consideration how the citizens of the state would approach it."
Jezioro has headed the DNR since Gov. Joe Manchin first took office in 2005. The agency is considered the owner of the state forests and the state-held mineral rights. Jezioro pointed out, though, that the state forest system, which was established in 1924, was created for public recreation and to allow research by the state Division of Forestry.
"Extracting minerals has not been a prior practice," he said.
All of the state forests except Kanawha do see timbering, managed by the Division of Forestry.
Jezioro said a Preston County-based broker has approached his office about finding a company to lease rights to the natural gas beneath Cooper's Rock. A Pittsburgh broker also has made an informal inquiry, he said. Jezioro added that his office would consult with Manchin's as part of its study.
"We wouldn't undertake a major project like this without talking to the administration first," he said.
Helmick said consideration of a leasing program is overdue.
"These things have to be looked at if we're going to continue to maintain programming at current levels," he said, "but we also want it done in a way that's, obviously, environmentally friendly."