Hello - I received a cold call with an offer for $3,000 per net mineral acer in Garvin County Section 21, 4N, 4W. Does this sound appropriate? I inherited these royalties and am new to all this.
Sue
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Welcome to the forum!
When I get a cold call offer, I ask myself a lot of questions. Why am I getting the offer? What do they know that I don’t know and how can I find out? How much of a profit are they going to make off of me and would I rather have it instead (a lot and I want it). There is a rash of offers to buy out there. I have been tracking mine for years and they have been quite low to the actual value of my acreage. I have paid to have my acreage valued so I am prepared for these kinds of questions. If you just inherited, you need to talk to the executor as they should have given you a cost basis of the minerals as of the date of death. That is just a starting point. Now, find out what is going on in your area. Do you have producing wells already? Have you notified the operator of your name and address so that they can switch payments to you? Have you filed the probate in the county where the minerals are located?
You have a pending horizontal well on that section, so that is why your are getting offers. More reason not to sell. Read through the Garvin, Stephens and Grady county forums and get caught up on the activity. Get all the paperwork that you can from the executor or your relative’s files. There are increased density hearings all around you, so the potential for more wells is also there-another reason why they are offering to buy.
You are part of the Purdy Hart Sand Unit and it is still productive. You need to contact Daylight Petroleum LLC and get into pay status. Those are old wells and not high paying at this point, but you still want to get paid. Come back with more questions and I can give you some websites to put in your browser for free info.
(And the offer is low! )
I agree with Martha, she’s a great resource. Took a quick look and it appears that Anna Eubanks signed a lease in 2015, It does not appear that there has been an Oklahoma probate Anna Eubanks estate. Once there is production you will need to get that done otherwise a a company will likely not be willing to pay royalties.
Oklahoma Probate Options
See this posting:
Hi Martha,
I have received a couple more offers - much higher! I am the executor of my mom’s estate. This is the problem - I’m not that knowledgeable and am in California so it’s not easy to talk with someone in Garvin County. I was in the process of recording heirship documents with Garvin County when my brother died in March, so that was put on hold. It’s been complicated!
I have established the number of acres owned and have been offered help to work this through probate. Any other suggestions?
I certainly appreciate your advice!
Sue
Thank you - yes, Martha seems to be a great resource. I am looking into probate. I appreciate you sending the information on to me.
If this qualifies for a summary probate it can usually be wrapped up inside of 75 days with no court appearance by you necessary.