Considering selling Mineral Rights Converse County T32N, R69

Wyoming Mineral Rights Converse County, WY
1

I own the following 160.00 net mineral acres/320.00 gross mineral acres:

Converse County

Township 32 North, Range 69 West, 6th P. M.
Section 10: SW/4, W/2SE/4, SE/4SE/4

Township 32 North, Range 69 West, 6th P. M.
Section 15: NW/4NE/4

My 3-year lease expired in April of 2015. I was not informed of any efforts to begin operations, pool, or unitize, nor was I approached for an extension.

I have not seen a lot of activity in Township 32, Range 69, Sections 10 and 15. Information from the WOGCC site indicates that there had been some activity this year in Sections 2 and 4. It appears that most of the activity has been centered around Township 32, Section 71, and Township 33.

I recently sought a bid from a company that purchases mineral rights. The agent wanted to know what my asking price is and requested a copy of my (expired) lease.

Given current market conditions, the subsequent hold on operations, and the area in question, what would be a fair asking price if I were to sell my mineral rights? I know that in general, selling is not advised. However, I know of no operator currently interested in leasing in this area and I am not sure I want to wait until the market recovers.

Advice will be greatly appreciated.

2

Hello,

May I ask which company had the lease? Did they have the right to renew. I would avoid the purchasing companies if I were you. Does you ownership include surface rights to access?

Ray

3



Ray A. von Proctor said:

Hello,

May I ask which company had the lease? Did they have the right to renew. I would avoid the purchasing companies if I were you. Does you ownership include surface rights to access?

Ray

4



Jeanine Swartz said:

Greetings!

Thanks for your reply and advice. The lease was with Hoover and Stacy, for Anadarko (Kerr McGee). The lease included a right to renew for an additional 3 years. Several weeks ago I contacted the landman with whom we negotiated the lease but to date have not heard back. The lease expired April 20, 2015. I do not own the surface rights, only the mineral rights.

Many thanks,

Jeanine

Ray A. von Proctor said:

Hello,

May I ask which company had the lease? Did they have the right to renew. I would avoid the purchasing companies if I were you. Does you ownership include surface rights to access?

Ray

5

Hello Jeanine,

I have had dealings with H & S and Kerr McGee both in the past. EOG and one other company are recovering and getting ready to start things up again. Wold Oil & Gas seems to be stepping into Converse county with some big plans and they are now submitting for drilling permits again. If at all possible, try to hold off selling. They have also found bentonite deposits in Converse county which are quite valuable (don't know if that would impact your property or not) Halliburton is just now looking down in that area on the bentonite due to other areas nearly depleted. Do you know if your mineral right reservation included a clause for access to any minerals? If you truly want or need to sell, I know a Wyoming family that pays fairly (they bought my Aunt's a few years ago), I could see if they have any interest. They paid her a little over the independent appraisal (two different appraisals were done). Just thought I'd tell you what I know.

Ray

6

Hi Ray,

The information is very much appreciated. I am open to either leasing or selling all or part of my mineral interests. I may be interested in hearing from the Wyoming family you mentioned. My e-mail address is [email protected].

Thanks,

Jeanine