My family got an offer out of the blue to lease the following property that we didn’t know we owned:
South 120 acres of the West 240 acres of Section 9, Block 34, Township 4-N, T&P RR Co. Survey, Dawson County, Texas, containing 120 acres more or less
How to know if the offer is reasonable??
What is the offer? MCM is leasing in that area
From that description your section of land would be here.
Which can be found at the RRC website RRC Public GIS Viewer (texas.gov) .
Looks like IKE Operating has some drilling permits put in throughout the section. The closest producing well is just to the southwest in section 17. It’s the Northern Harrier well and it has produced over 791,000 barrels since January of 2023.
You may want to contact IKE Operating and see if you are expecting a lease from them if they weren’t the ones who contacted you.
I couldn’t answer as to what a fair price might be since there is current plans to drill through your plots but hopefully someone can chime in!
You could also check out The Pecan Estimate
Sorry - read section number incorrectly. Not an area where MCM is leasing,
You should look for a royalty of 25%. I am not familiar with that area and do not know what is being offered for Bonus. Make sure you have an Oil & Gas professional review and edit your lease. I cannot emphasize that enough. Who is offering the lease and what is offered as the bonus and royalty?