Hello, All.
In the 1990s, my wife and her siblings inherited mineral rights from their grandparents, who said, "Never sell!" Over the years, they typically receive anywhere from $2,000 - to $4,000 in royalties per year. One year, they each received a large pay-out of over $6,000.
Recently, feeling the pinch of the economy, some siblings have sold their rights. One only got about $6,000 but the others did some inquiring and through another buyer, sold for about 3x that.
My wife is trying to decide if she should cash in or hold out over the long term. Any advice?
Is it worth hiring an Oil and Gas attorney? We have no way of knowing the real values of the minerals being extracted or if we've been fairly or legally treated all these years. Plus, we too are victims of the times - lay-offs, etc.
Many thanks!
Craig
Craig:
There are a great many variables to your situation (as you so well know). I think you and your wife should meet with an O&G attorney. I am not an attorney - so I am not drumming up business. The atty can answer some questions for you - based on the information you provide him. One of which would be; what does your wife really own? If the others have leased it is one thing but if they have sold it is another thing. Beyond the legal web of mineral transactions there is the location of the land. Some parts of Frio county may well be (economically) barren of minerals. It seems I am in such a "doughnut hole". On the other hand there are some super producing wells in Frio county. An expert will help you understand what you have and how best to maximize your position. Best of luck. Geo
PS let us know how it goes
Thank you, George. I appreciate your insights. I have some homework to do.
What is the best way to find a reputable O&G attorney? Are there forums about that?
Best regards,
Craig
George Harcourt said:
Craig:
There are a great many variables to your situation (as you so well know). I think you and your wife should meet with an O&G attorney. I am not an attorney - so I am not drumming up business. The atty can answer some questions for you - based on the information you provide him. One of which would be; what does your wife really own? If the others have leased it is one thing but if they have sold it is another thing. Beyond the legal web of mineral transactions there is the location of the land. Some parts of Frio county may well be (economically) barren of minerals. It seems I am in such a "doughnut hole". On the other hand there are some super producing wells in Frio county. An expert will help you understand what you have and how best to maximize your position. Best of luck. Geo
PS let us know how it goes
Craig:
There are some that are members of this forum. I know none of them personally. One is Ben Elmore who is in Houston - [email protected].
An internet search should turn up a few. Geo
Craig Claudin said:
Thank you, George. I appreciate your insights. I have some homework to do.
What is the best way to find a reputable O&G attorney? Are there forums about that?
Best regards,
Craig
George Harcourt said:
Craig:
There are a great many variables to your situation (as you so well know). I think you and your wife should meet with an O&G attorney. I am not an attorney - so I am not drumming up business. The atty can answer some questions for you - based on the information you provide him. One of which would be; what does your wife really own? If the others have leased it is one thing but if they have sold it is another thing. Beyond the legal web of mineral transactions there is the location of the land. Some parts of Frio county may well be (economically) barren of minerals. It seems I am in such a "doughnut hole". On the other hand there are some super producing wells in Frio county. An expert will help you understand what you have and how best to maximize your position. Best of luck. Geo
PS let us know how it goes
If you have people buying rights, it is a sign you are in a producing area of Frio, which is very active right now. An attorney can help in doing the research as to whether it is a fair offer, as can a landman, although with the latter it is hard to tell if they have an interest in you selling.
I would urge caution. A single Eagle Ford well can dwarf prior production royalties.
Wade Caldwell