Hi, I’m interested in finding out if my mineral rights in Garvin county, Sec 32-2N-2W have any value. Can anyone advise me as to how I can determine the value? Thanks so much for any help you can offer.
Welcome to the forum.
Value is determined by the remaining reserves on your mineral rights based upon the currently producing wells and any potential for future wells.
An engineering evaluation can be done to determine the decline curves for the current wells and then calculate the value using a certain price deck. It is just an estimate since prices change all the time.
If you are interested in selling, then the market value is “what an informed seller under no compulsion to buy and and informed buyer under no compulsion to buy agree upon for a price”. That price can be quite different from the engineering evaluation.
Your minerals do have some value in that section. Depending upon your mineral description, you may have some older shallow wells that are near the end of life on production. You have a newer horizontal well which has quite a few years of life left on it and also the possibility of infill wells which makes the future have value. If you are not getting paid on the Herrin well, then you need to contact Rimrock Resource to find out why not.
wow Martha, that is a ton of information, thank you so much for sharing your considerable expertise! No one in my familay is receiving royalties from anything in Garvin County, so I will certainly contact Rimrock Resource and ask them about this. Again, thanks so much. So glad I stumbled upon this website, really a wealth of information here.