Suspicious purchase offer

will do…thanks Frank and Martha

Darla:

I have tried to deal with them, but they can never come through with what they offered me. Always an excuse.

Todd M. Baker

Hmm. I do see where they have bought a lot minerals in McClain County and have also sold some. Since they have sold some I am thinking they are probably a broker that flips their purchases. I have a large mineral sale coming up in March so I may call them and just see how they answer my questions.

For the benefit of others (as you seem to know what you are doing Darla), beware of the cold draft.

I and several other relatives, all heirs of a long dead great grandfather who was in the O&G exploration in WV many years ago, have recently been presented with offers from a broker to option to purchase our mineral rights in several tracts in Green District of Wetzel county in WV. The broker puts up no money for a 90 day, assignable, option to purchase in order to put the properties out to potential buyers. The option price is below recent comparative area pricing and, being from out of the area, I would appreciate any suggestion or recommendations for some reputable broker types or companies that do business in the WV area and put buyers and sellers together.

Be sure and ask what any broker will charge for that service.

Mrs Barnes I have received an offer that wants me to sign via email/scan documents. Sending me 1/8,1/4,3/16 each separate documents incase they find the properties were leased 1/8,3/16 or 1/4. That’s another thing the purchase price will depend on the leased rate. Which I know some of The property isn’t Leased. Please help. Donna Kooken

Donna-It is, IMHO, a bad business practice to email/fax signed mineral deeds, especially where there is no check for the full purchase price in your hand.

Also, if the amount of money involved is substantial, it is best to have a lawyer review the documents for youif you are not schooled in the black arts of buying and selling minerals.

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Beware of Delivering Lease or Deed Without Payment:

Failure of a company to pay a lease bonus is a theme that has been raised in this forum far to often. Below are a few discussions on the topic. It is always best to exchange a lease for a check at the time of the transaction. This may not always be possible because of distance. In such cases it is probably better to have an escrow company or attorney to hold the lease until the consideration is paid.

The same is true for sale of minerals

Sometimes companies file leases without payment of bonuses.

There have been cases were companies take leases but never file them. They return the leases later stating that they were never funded by the company. In the meantime, the mineral owner cannot sign with another company.

It is much easier to prevent the issue than to remedy it after the fact.

Also a Draft is not the same as a check.

Below is a sample of Nightmares:

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