Hello, I am asking advise for my husband who inherited mineral rights in 2011. We are currently leasing and the lease will be up in April. When we found out about the inherited rights we did a little research and believe we got a fair price. Before we lease again we would like to ask what a fair price would be for Weld County Township 11N Range 65W Section 6 and the total acres are 75.48. We would greatly appreciate any advice.
Sincerely, Monica & Steve
Depends on royalty, term, etc. typically in the area leases have been 3-5 years, and a lot include extensions. Now I could be wrong- but last I heard in the area there were some flippers paying like $50-$150 an acre, and some actual companies paying a little more than that to lease… i believe the company in that area was longs peak. But it may very well be higher now, or lower due to lower oil prices. I know that 11-63 prices were much higher. But please be careful of advice on this forum. Make sure your comparing apple to apples.
11N-65W-6 is currently permitted by Anadarko (recently purchased by Occidental). There is little no activity in this section (see 11N-64W for closest activity by Highpoint). Anadarko has not drilled a well in Laramie County / Northern Weld in ~7 years. I would not accept any lease over 3 years as the acreage will most likely sit idle for much longer. Further, I would not accept any lease from Anadarko.