I received a letter stating that we are the owners of a gas lease and a company wants to buy our interest. How can I find out for sure as no one has been paying us royalties yet they have our addresses on file correct. The description is nmnm 18996 NW4 SW4 of section 21, TS21S, R30E, Eddy County, New Mexico and NMNM 18996 NW4,SW4 of section 25, TS21S, R30E, Eddy County. New Mexico. Anyone with information as to how I can determine if we are the rightful owners and why we haven’t been receiving royalties is much appreciated.
You sure about those legals?
As far as I can tell, NMNM 018996 is NW4 SW4 of Sec 21, T23S, R30E. Those 40 acres. It’s held by the Mewbourne FNR unit but there isn’t any actual production dedicated to those 40 acres yet, so no royalties to date. Mewbourne has applied for drill permits in the W/2 of Sec 16/21 I believe.
Somebody ran title, bought a Fed abstract etc and got your name from that, and once someone has your name its pretty easy to find your address etc…hence the offer. I’d assume that you are the rightful owner. I suppose you could do what they did and try to confirm that (a pain), or maybe just take their word for it. Or call Mewbourne and ask. It’s an ORRI on 40 acres, so it’s probably not a ton of acreage. In general, IMO, the value of it should be something $17-20k per NRA (take your ORRI % times 320, that’s your NRA). That is of course assuming that its that tract I show below and not something else.
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