We own the rights to 5% royalty override on 32 acres located ar NW4 SW4 SECTION 21 T21S, RAGE 30 EDDY COUNTY NM AND SECTION 25 T21S. What would be a good selling price right now?
32 acres in Fed Lease NMLC 0063167 in the NW4 SW4 of Sec 21 of T21S R30E @ 5% ORRI
Which is effectively 32 x 5/12.5 = 12.8 NRA.
Honestly I’d guess people would currently offer you about $40k for that. Its one of those places that should get drilled eventually, but eventually could take 30 years if you are Exxon/XTO and you have way more locations that you could drill than you have rigs/capital to drill them, and most are better than here (the middle of potash in Big Eddy Unit). And you could conceivably be living in a political climate that won’t allow for Federal drilling permits. A year ago you would get $100k for that. So who knows, could change back I suppose.
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