I have minerals in Section 26 Block, C-1 PSL Survey in Reeves County.
There are two producing wells on the lease, combined income is about $4500/mo.
I am trying to determine a ballpark FMV would be considering the upside potential of the lease.
Robert - I can't help you with valuation, but I am sure there are assumptions that have to be made regarding the fall off of the production and the types of production enhancing techniques to be used by the operator, among other factors. I am curious how many acres you have and what your decimal interest is in the production, if you are willing to share?