Bowie, Montague County, Texas

Texas Mineral Rights Montague County, TX
1

My husband’s family has mineral rights leased to EOG and all of a sudden we have been contacted to see if we are interested in selling the rights. Any news about discoveries in the area that we should know. It just seems strange…

2

Hi Teresa, EOG has started leasing (and re-leasing expired acreage) in this area, along with Pioneer and others. Likely this is causing buyers to surface as well. What price is being offered you for purchase? I received an offer of $2300 per acre to purchase my minerals a week or so ago?

3

Hello Kenny, This is the same offer we received. The problem with the offer is that they want a decision by 5-20. Have you heard of anything substantial? Thank you! Teresa

4

Hi, Teresa…if you don’t mind my asking, how much mineral acreage do you own that EOG was interested in?

Thanks,

Kenny Love

5

Kenny Love said:

Hi, Teresa…if you don’t mind my asking, how much mineral acreage do you own that EOG was interested in?

Thanks,

Kenny Love

6

I have 19 net acres out of about 120, two miles nw of Bowie, are they still offering 600 to lease with 3/16th ? , also, what are they offering to actually purchase the minerals. ? $ 1000 a net mineral / more ?

Kenny DuBose said:

Hi Teresa,
EOG has started leasing (and re-leasing expired acreage) in this area, along with Pioneer and others. Likely this is causing buyers to surface as well. What price is being offered you for purchase? I received an offer of $2300 per acre to purchase my minerals a week or so ago?

7

Don't EVER SELL YOUR MINERAL RIGHTS - LEASE THEM BUT NEVER SELL THEM! YOU GET BONUS MONEY FOR LEASING - IF YOU SELL THEY ARE GONE FOR EVER - SEE AN ATTORNEY BEFORE YOU DO ANYTHING.

8

;-) My two bits: never sell. In the long run, you can get more from leasing and other sources (pipeline access right of way) than by selling. And in my own experience, the offers potential buyers make are pretty laughable.

The big problem is that nobody knows what's under the ground. The rule of thumb is for a buyer to offer around 2-3 times the annual production income for an interest that's being worked, which ignores anything that might be discovered in the future. You might be sitting on a gold mine and not know it.

Aside from which, you only pay taxes on surface rights and producing mineral interests. No production, no taxes. But if you sell, you pay tax on the sale price.