Anything in Grady 9N-5W is a hot commodity right now, as well as 8N-5W and 6N-6W. Operators and brokers are buying in this area for considerably high prices and I would strongly recommend selling to any owners that are on the fence. Prices spiked in Grady and McClain last year, essentially due to private equity backed companies inflating prices throughout the counties. The same thing is happening right now, and companies are offering more money than the interests are potentially worth.
Realistically you can expect to get $6,000.00-$12,000.00 per NMA, depending on your royalty percentage. If you are dealing with Buffalo Bayou they have been offering in the $15,000.00 + range, but to my knowledge have not closed a single deal at that price. Be careful when you get an offer from them, and be prepared to file an affidavit of non payment.
Personally, I would take the view to hold in 1-9N-5W. EOG is the operator and they have quite a few wells planned. Livingston 12-1H, 0112 1H and 0112 3H up to 9H. With that many wells planned, I would sure hang on. Most have already spud. Someone is trying to buy your royalties out from under you.
Contact EOG and make sure they know the probate is pending.
EOG RESOURCES INC
3817 NW EXPRESSWAY STE 500 OKLAHOMA CITY, OK 73112-1483
What do you mean someone is trying to by the royalties out from under us? I know the sister’s son signed some contract with a landman in July (she gave him power of attorney over her legal matters that day) and said that the bonus they got was for all of the heirs and would be put into an escrow account until the probate was settled. Please call me directly Ms. Barnes. 918-896-5342, I don’t know where to find that information.
If he does not inherit then neither does the sister who filed the probate because she is literally in the same situation… the dead spouse’s child from a former marriage. The will only states that they would not inherit if she (the mineral rights owner) survived their father, which was not the case, she died years before he did and left everything to him (their father). I will admit, the sister has done some shady and secretive things (lying, dog and pony show, etc) in the 2 months since I first spoke to her and officially met her, but the law is the law when it comes to probate. Each child of the spouse is entitled to 1/3 of whatever estate his dad had or was left to him, and she cannot change the law no matter how much she wants to.
Division Orders typically come about five months after first sales. These wells are still drilling, so it could be months before first sales and then another five months after that.
Buyers want to buy current royalties from producing wells and they also want the royalties from future wells. In this case, if you sold today, then all the royalties from the currently drilling wells and any future wells would go to the buyer. Mineral owners may only know about an old well or just one current well. Some of the sales letters may be persuasive, but leave out critical information. The mineral owner may not know about the plans for future drilling. Or they may have just inherited and have not had time to get up to speed. They may blindly sell without knowing about the real potential “under them”. Hence my comment about buying the royalties out from under you.