Hello all-
I am a novice when it comes to O&G. I live in TX, but recently inherited 13.3 net acres of mineral rights in Weld Co (Wattenburg/Retail Prospect) with a 25% royalty. I have been approached to sell it for $10k/acre. Thoughts? I am inclined to hold out until oil prices recover a bit, but who knows when that will be.
I received an offer for $14k per acre in Sept of '14, but the rights were brand new to me and I had not had the opportunity to research. Private message me for more info on the companies looking to buy. How long have you had the interest in Weld? What are future prospects looking like? Hard to say, I know.
B. Bynum said:
Hello Gal
I own interest in Weld also and received an offer for $12,000 pnma back in 2014 but didn't take it. Maybe I should have looking back. I'm curious which company made the offer to you? Maybe it's the same company still out there buying.
I guess my other questions would be:
1. How can you go about calculating what type of income stream/bonus someone with such a small amount of acreage can expect? (13.3 net, 80 gross)
2. Is there a feeling that there is a bubble forming in offers to buy? Does this offer seem unusually high, or is it typical for the area?
3. Is having a 25% royalty a "turn off" to an oil company? Would they be inclined to drill somewhere else where the terms are more favorable to them?
Thank you in advance- just trying to educate myself in a world of jargon to me!
I was curious if anyone is still receiving offers to purchase minerals recently, or if the activity seems to have dried up?
Are you still getting offers?
Yes- I have. PM me for the gentleman who gave me an offer much higher than prevailing offers
Yes- I have. PM me for the gentleman who gave me an offer much higher than prevailing offers