Hi - I inherited mineral rights in several sections area in east Weld couty. I receive checks from 3 different companies but also have land without wells on them yet. Lately I am bombarded with offers to sell, 4 calls in one day last week. I have zero interest in spelling but wonder what they know that I don’t? We have several sections including 28-7N-63W. Sure hope for some new upcoming wells. Thanks for any information.
It’s basically the same story as repeats itself over, and over, and over, and over. Professionals who are in the business of buying minerals, have detailed information that citizen mineral owners generally do not have, and is often complex to understand by those not experienced in oil and gas. They know that activity is ahead that is very likely to turn into cash flow, and they are trying to purchase your assets at anywhere from 1 cent on the dollar to 50 cents on the dollar - a very wide range obviously. It is routine for offers to come to you that can be characterized as stealing your assets, and also offers that provide a risk adjusted 25 to 50% IRR.
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We absolutely will not sell. Any idea how long until they drill new wells?
Hey Amy - have you considered getting a proper mineral evaluation done by a professional? I would suggest an experienced Landman (CPL) or perhaps an attorney though a Landman will probably be cheaper. That way you will at least know what your minerals are worth vs. the offers you are getting. It might be worth selling in some cases. You could also lease and collect the bonus and then sell later (double dip). There are lots of different strategies involved. Sometime the offers are worth it especially if the wells are depleted and CF’s will continue to decline or even worse (be PA’d). Might be worth spending the money to get a proper valuation done… just “IMO”.
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Checkout the ECMC website - the old COGCC. You can pull permits there.
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I haven’t but msy look into that, I am not sure who would be reputable, but will look into it. Thanks!
Happy to refer you if you need. Good luck!
Yes please! Thank you!
We are trying to sell. But no offers
Amy, Colorado is a great State to get information on oil and gas production/well activity through the State website. You can get historical pooling and spacing information through the State. Spend a couple of hours online to educate yourself on the activity on your property as well as the surrounding sections. The informed mineral owner has the best chance to make good decisions.
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