Anyone know the going rate for mineral rights in Logan County, OK? I inherited mineral rights on 339 acres in Section 30, Township 18. I was just offered $1,000 for everything by a company called Packard Production. Sooner Oil & Gas Management of Guthrie, OK. is the operator of the wells and they have been contracted by Sunoco. Any information or tips would be much appreciated.
Thunder,
Township 18 is over 36 miles wide and covers three Ranges. Regardless of which Range you are in, your acreage is worth far more than $1000 and could be worth more than $1000/acre. New horizontal wells abound in the area. Get it evaluated professionally.
Thank you, Gary. Is there anyone in particular you would recommend talking to in order to get it evaluated professionally? I'm very new to all of this...
Send me a personal message through MRF or contact me directly. I live in Castle Rock Colorado. I will give you some leads. They will all want to know what range section 30 is in however. Clint Liles on MRF keeps a list of experts as well. Friend him. I can also put you in touch with other mineral owners in Oklahoma that have had had the same problems with inherited minerals.
Check your personal messages on MRF you must have several.
Gary L Hutchinson
Thunder said:
Thank you, Gary. Is there anyone in particular you would recommend talking to in order to get it evaluated professionally? I'm very new to all of this...
It would be 30-18N-2W. Sooner Oil & Gas Management operates 4 wells in the W/2. There are only 3 section 30's in Township 18 in Logan County. I live in the NE/4 of 30-18N-4W and nobody owns 339 acres of anything close to that in that section. It is very cut up as to to the minerals. Section 30-18N-3W is operated by Slawson and they are drilling the Begonia 1-30H.
The wells operated by Sooner were drilled in the late 70's. Most likely your minerals are subject to a 1/8 royalty lease. $1k an acre is lower than what we have been paying in the area. If you are interested send me a message.
Even if you are not interested but need some information just let me know. I am in the Logan County Courthouse every week.
I have been purchasing in Logan and 18N-2W can be worth well over $2000 per acre depending on the tract and in the Northern part of the township it could be worth more than $3000 per acre.
$1000 per acre would be a steal. Leasing with a $1000 bonus per acre and 3/16 (18.5%) Royalty is more like it. but there is no telling if you will make anything off the Minerals, but selling is just giving away potential profits. almost all of Logan County has potential for Gas and Oil.
Hi Thunder:
Your best source for mineral appraisers is the Directory of the American Institute of Minerals Appraisers. Around since 1991 and respected in courts, tax and estate matters. Web site www.mineralsappraisers.org . All Certified Minerals Appraisers perform their work under the Uniform Standards of Professional Appraisal Practices (USPAP), which is adopted by all 50 States.
Expect a minerals appraisal to be costly, though ($1000 to 4000 and up depending on activity and any production), because the appraisers do their research (what is the current leasing traffic in the area, what have minerals sold for, what production is seen or might be expected, etc.) Mineral appraisal reports follow a standard format like other real estate types of appraisal reports. You may get lower quotes from Associates of the AIMA, but the appraisal report will not be Certified. Maybe you do not need that. It all depends on your purpose and use of the appraisal.
Most minerals appraisers work all over the US (and some internationally) and some are specialized in oil & gas, others in mining. Some focus on specific plays like Barnett, Marcellus, Bakken, Eagle Ford, SCOOP in Okla., etc., so you may need to call around. Most refer to their peers by name, if they cannot help you themselves.
Be careful with engineers, geologists, landmen, attorneys and accountants, who claim proficiency. At a minimum they should also be certified by the Appraisal Institute, the American Society of Appraisers or the American Society of Farm Managers and Rural Appraisers in order to work competently under USPAP.
Good Luck!
John B. Gustavson
Certified Minerals Appraiser