Around 2015 we had a 3-year lease with 3/16ths royalty for $1,250.00 per net mineral acre. The lease was not renewed after it expired and there is not an operating well on this section. Now they are offering $2,500.00 per acre to purchase the rights and we are weighing our options and trying to learn as much as we can. Is this a fair offer at today’s prices? Most of the sections around have wells. On average what kind of production per acre do wells in the area average?
Monthly productions can be found here: www.dmr.nd.gov/oilgas/mprindex.asp If you don’t know the wells name etc , a map: www.dmr.nd.gov/OaGIMS/viewer.htm
Can you give me a rough idea where in Divide you are? We just received a mineral rights offer and our leverage is better if I know what else is going on there and if others are getting a higher value. Any information would be appreciated!
Oregon guy here, temperate climate and all … As for Oily stuff, Divide County, Fertile Valley Twp, 160N 102W 18 North of Tioga. $350/acre 4 yr 2 yr option at $300/acre 17% royalty. Not like a few years ago , Huh? This area seemed to be overlooked in the previous leasing binge, but seemingly for good reason, little oil. There is a producing well to the east but nothing much else. www.dmr.nd.gov/OaGIMS/viewer.htm can show you what’s around.
This was the site of what was to be the Erickson well (#20356) back in the binge days.
I have rights on a producing well in Divide Co- operated by Future Aquisitions. Aaberg 8-5N-1H. Well was completed last year has been producing since August 2018.
Where in Divide County? And, have you been happy with the operator?
Anna - ignore my last post - I grabbed a map and took a look. Thanks!
Turns out the offer we were presented was a fair offer for the location, and current market conditions. This was determined by a local consultant we hired. Not to say someone else wouldn’t pay more. Learned a lot in the process. Are your rights currently leased? Did you receive an offer to sell or lease?
not currently leased…and the offer is to lease…weighing options right now. What were your key learnings?