Pipelines and Farmland

[foragefarmer]

Do not have any pipelines running through my farm, so I have never dealt with the problems associated with them. Just wondering do these oil companies not compensate you fairly financially? Many Agriville's have come on here claiming oil is the backbone of the economy for AB and SK, and production is all that matters. From what I'm reading on this thread some posters crop production is suffering from oil companies neglect, should this be part of the trade off?

[farmaholic]

Neglect would differ from the conditions that exist from the pipeline being there. Even when everything is put back to it's original state, the large diameter pipes create their own conditions that are different from the land adjacent to the corridor. Rocks can be removed, land re-levelled, this next one coming through even paid for a fertilizer application to remedy the potential for burying nutrients too deep for the crop to easily access. It's the hard, drier conditions produced from the warmth generated by the pipeline that can't be countered.

Once again....do you want the equiivelant to a yearly lease payment versus a lump sum payment...or a combination of both?

[farmaholic]

The next one coming through paid about $93K for running across a whole quarter on an angle. They kinda pay the the meter, and acre and crop loss for several years and other odds and ends. The pipeline that came through before this next one paid about the same price as what the land cost me.

I heard oil field collector lines(terminology?) aren't anywhere near as lucrative.

Remember Enbridge is not an oil company....it is in the business of transporting oil. And I still say better under the ground in a pipe than on top on the rail. Even if I never had the pipe across my land, I'd think the same way.

Is it an inconvenience? Can you live with the limitations placed upon the land (future development)? I think I would rather have a pipe than a major hydro-electric line running across my land. I've seen land close to major centers that are an obstacle course of hydro poles(singles, doubles and the major steel ones).

[foragefarmer]

The next one coming through paid about $93K for running across a whole quarter on an angle. How many acres does this represent?

[farmaholic]

The next one coming through paid about $93K for running across a whole quarter on an angle. How many acres does this represent?

2.59 acres of purchased RIGHT OF WAY
7.17 acres of work space

Forage... the payment consists of many things, the actual easement/ROW purchase is better than what land is actually selling for but there are alot of other things that make up the bulk of the payment. I'm not going to itemize them...

[foragefarmer]

So your getting $93k for the use of ten acres of your land? If my math is right that's $93.00/acre for 100 years.

[farmaholic]

If it appears that I'm complaining in this thread.....I'm not! Just stating my experience with a major pipeline.

......the big bad pipeline! Fly by night company...here today gone tomorrow! Lol. Did quite well with their shares too. Maybe they'll do a stock split.....and hopefully ride them up again. Decent dividend too.

But all that being said......before these last two pipes, it was pretty grim.

[farming101]

Land prices have gone up a lot in 3 years. That's why I started this thread.
Adequate payment is required before allowing any utility or corporation use of your land and livelihood.
Especially when it entails turning it upside down.

[grassfarmer]

I heard oil field collector lines(terminology?) aren't anywhere near as lucrative.

Last one we had was @$25k for close to a mile and had to use a lawyer to get that much. A lot of people seem to think you are getting money for nothing but considering you are taking on the liability for that pipeline, and any environmental damage it may cause you, or your neighbours land in perpetuity, the compensation is a joke.

Just wondering do these oil companies not compensate you fairly financially? Many Agriville's have come on here claiming oil is the backbone of the economy for AB and SK, and production is all that matters. From what I'm reading on this thread some posters crop production is suffering from oil companies neglect, should this be part of the trade off?

NO and NO in my opinion.

[WiltonRanch]

Sure as heck don't get that kind of money for lines here. Mind you any of the lines I've seen in my short life have been gas line tie ins from well to well. Still though they're a pain especially if it's on grassland as there is nothing that has proved successful to get these rightaways growing grass again. Crop land the ground is shitty for three years on my clay. That said here in sask they do pay for a few years of crop and whatever for the easement but it's been quite a few years since we had any. What gets me angry is once you get a pipeline it's like picking up a case of herpes. Once you get it you're stuck with it for life and you can't go around sticking your digging stick anywhere or you might cause big problems.