This might have been covered in other threads, but here goes.
I'm about to acquire 1/2 ownership of 112 acres in Stephens County. A while back, my dad was corresponding with a man. The letters that I have come into possession state that we have 5/112.9 mineral acres.
#1. Does this mean that we have a total of 5 geographical acres of mineral rights out of the whole 112.9, and if they don't drill on those acres, then we don't get anything? Or, do we get 5/112.9th of the royalties?
The answer to this will determine how I ultimately divide the land with my uncle, who will be getting the other 1/2 of the land. He has expressed no interest in the land and said that he will probably be inclined to sell the land to another family member.
The man is suppose to be sending me all the information that he has on the property including according to him, the most idea places to drill. Is there a place that I can research this information as well just to cover my bases? He said that he's 82 Y.O. and starting chemo treatment, so if he never does anything, his interest might die with him.
I don't really know what questions I'm suppose to be asking at this time.
Thanks for any and all help.
Pat
Patrick have you questioned him about selling his interest to you? Do you have the Section, Block or Abstract #?
Welcome to Mineral Rights Forum.
Clint Liles
I'm sure he would, but I have no idea of what the value would be.
East 112.9 AC SW 1/4 SEC. 452 S.P.R.R. SURVEY A-2275---> This is the info provided on the letter
Patrick,
after checking the GIS Map I see where there are numerous older wells dating back to the 1950's through 1980's. Oil wells and oil/gas wells. Most of these wells at this time have just about quit producing. Numerous dry holes have also have been drilled. I don't see any activity in several years in this area. Several plugged oil wells and oil/gas wells.
GIS Map of Stephens County A-2275:
CLICK ON MAP TO ENLARGE
Clint Liles
Does 5/112.9 mean that the mineral ownership is on only 5 specific acres, or 4% of production/royalties, which is roughly what the 5 acres represents
Pat,
From your description, I would say you own 5/112.9 interest in the tract containing 112.9 acres. If you owned a specific 5 acres the land description should detail exactly which 5 acres are covered. If a well is drilled and its unit only includes lands within the 112.9 acres then the ownership would be entitled to 5/112.9 of the royalties. If the wells unit includes land outside the 112.9 acres then the ownership would be reduced based on how much of the unit was attributable to the 112.9 acres.
