My father inherited section 46,Block 36 T5N in Dawson county. He is leasing it for two years at$1200 a year. He just got an offer from Valtex for $10,000. I want to know how much oil and minerals are being produced on that section. And I want to know what a reasonable selling price is. Where do I go to find a reasonable selling price? Thank you so much, Jimmy
It looks like CGS has two wells (Overton Unit) permitted in that section but I don’t believe they have started drilling yet. How many acres do you have?
Is this a good thing? The other company Valtex made the offer. Any info would help. Thanks so much. Jimmy
How many mineral acres does your father own in the section?
Yes, it’s a good thing. CGS=EOG and they have had very good results so far. Unless you need the money now, I would hold for awhile
Thank you David 3. There are two mineral acres in two different 160 acre sections. They are undivided NMAs
Valtex offered him $10,000 for the 4 acres?
Don’t sell. They wouldn’t make the offer if they hadn’t geologists confirm there are substantial minerals there.
I own 5 different leases, and constantly get these offers.
I ignore them. Good things come to those who wait.
One small lot the offer was 6K. I made that up in 4 years.
Be patient. Wait !
I have small rights in Fort Bend and Fayette counties. I get those offers all the time. I send a letter with a suggestion. “When the offer reaches 7 figures call me and we will talk.”
How do I buy the properties legally from my father?
Thanks sharylyn62. Good advise👍
To transfer minerals within a family, it is best to discuss with an attorney since there may be several different options according to the situation. One must consider tax consequences, medicaid or other senior benefits that might be affected, ways to finance, etc. The wording on the deed must be PERFECT, so not for the amateur. Done right once beats trying to untangle something down the line. There are several attorneys listed in the Directories tab above. You need one licensed in the state where the minerals are located as laws differ from state to state.
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Liked your advice plus you want to make sure the lease agreement is solid so that you still get paid royalties if the entity buying your lease decides not to participate in the well. Talk to those around you and see what kind of offers they are getting. For example, my Mom got offered $1,200 per acre. I told her to wait because I looked online and found across the street that school district was offered $35,000 per acre. Not that your offer may get that high. It was a special cycle in the area my Mom lives.
Both Overton wells, L2H and M1H, have been drilled. L2H is producing to the tanks. The flow line on M1H has not been connected.
Does that mean royalties are coming or a statement? What stage are we at? Thanks reboot
Does the Overton Unit contain Section 46, is it not farther to the north?
It actually starts on the south half of section 39, so I was incorrect that it includes section 46
Thanks kyleL. Trying to buy from my Dad
Do you have anymore info on the Overton unit, especially production figures?