Our family recently received an offer to lease on Section 27-9N-10W. The offer was for $700 per acre and 3/16. This was raised a few days later to $1000 and 3/16. Does this sound like a reasonable offer? Thanks Don
Yes it does to me ! Just make sure you get paid when you sign the lease! Good luck
Thanks Jimmy. I appreciate your advice. Don
You are welcome, and welcome to this forum there’s a lot of good people on here that can help you with anything oil and gas related! Have a good evening
Welcome to the forum. It is always best practice to exchange the lease for a check (not a draft). You will find many instances in this forum where people sent off a lease and never got paid. Also, leases offered by companies typically do not protect the owner. Be sure to negotiate for better terms.
This post is not legal, tax or investment advice. Reading or responding to this post does not create an attorney/client relationship.
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I do not not find any activity in that section of than production in the NE NE. My general practice is an OGL does not exceed 2 years. Operators will only get 1 year with a pooling. If someone increases their offer 40% in a few days, then they are willing to pay more or increase the royalty. Remember some market condition is making them increase offers. Be patient.
Thank you James for your advise. This is sort of like playing a game of darts blindfolded, so I really appreciate the help. Don