CRANBERRY TWP — The township supervisors Thursday night approved an oil and gas lease for drilling under the Cranberry Highlands Golf Course that will bring the township an upfront payment of $933,000.

The lease stipulates that PennEnergy Resources will get the subsurface gas and oil rights for the 311 acres under the course.

It prohibits any surface drilling or other disturbances, and the company intends on drilling under the golf course from at least a mile away in either southern Jackson Township or in Beaver County.

The board approved the lease by a unanimous vote after no comments or questions from either the supervisors or the public.

Township manager Jerry Andree said at the meeting that PennEnergy will pay the township $3,000 per acre for the drilling rights.

In addition, the township will receive a 17 percent royalty provision on the proceeds of the oil and gas taken from underneath the golf course.

Andree said after the meeting that the township tentatively plans to use the money for road improvements.

He called the lease a fair deal for both the township and PennEnergy.

“We got what the township needed, and PennEnergy got what they needed,” he said.

Officials aren’t yet sure on when drilling under the course might start.