Any experience with auctions?

Does anyone have any experience with auctioning their minieral rights? I’m considering this option and would appreciate any input.

How many acres do you own and whats the monthly income? Have you been contacted by mineral companies in the last few months? I believe most of the auction sites take 10% of the deal, if it were me, Id just see whos buying in the area and reach out to them instead of giving up 10% of the deal, but to each their own

It is a more hand-off - quicker and easier - option, but you will be leaving money on the table. If you have a mixed bag of assets (more and less desirable) make sure they sell it as one piece, otherwise you may be left with assets that are hard to sell with a high administrative burden.

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My experience differs some from Kyndall’s. I have seen auctions to be valuable to sellers where:

  1. it is a money-losing working interest (people actually buy these);
  2. it is acreage that is not desirable and no one else is interested in it; and
  3. Overriding royalty interest tend to go really high.
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