Hello Reeves County! I’m new to the forum and trying to figure all this out. I have inherited minerals in SW/4 Sect 45 and am trying to find out what kind of activity is going on around that area. How much are minerals worth? How do I value them? Lots of “Bait and Hook” offers are coming in and some of the offers are starting to make me think about selling??? Any advise on how to get REAL information on production/future production, REAL offers from “legitament” companies and any other words of wisdom would be greatly appreciated. Thanks!
Do you know the legal description? For example, a block and abstract number? This will help us to show you exactly where your minerals are on theTexas Railroad Commission’s GIS viewer, where you’ll be able to see any active or permitted wells as well as evaluate the wells in nearby sections.
Reeves County is a great place to have minerals and you’ll probably end up making more money in the long run if you do not sell. Most of the offers you are receiving are probably low. A lot of these companies buy undervalued minerals and then flip them for a profit, either at auction or to a network of buyers.
LittleBigBunk,
You have the information you need, I would recommend that you first hire a Landsman you have researched in your area of interests, and get his "Opinion".
If the landsman identify interests in your property, then go to an "Oil & Gas" Attonery to verify all of your propertie's potential value . . . . at this particular time! This is an important step, from there take your attorney's information and evaluate it on your own, or with advice from a geologist . . . . your "personal evaluation" should be as extensive as it can be on the internet. Those Oil Company Geologists are "possibly" already evaluating the availlable interests in your property.
All of that being said, if no one has offered a "bonus" ($100,00 per acre) or better, Get your Lawyer to recommend an agreement!!!! If it is less, and that is a high bar, seek advice from your lawyer as to what the ceiling he believes to be "Top". If they take ANY Offer you decide is acceptable, make sure the agreement excludes Land Damages to your properties by well locations or pipeline transportation costs!!!Here is the tract of land where your minerals are located:
I added some labels so you can quickly see what kind of wells are there. There is a horizontal gas well, which is exciting.
Right clicking on the gas well icon will display information about the well, such as the API number ( 38935046), completion date, status, operator, and more.
Here is the info:
There is a link to the production figures for the lease (LOST SADDLE 45 , Lease No.: 283677 , Well No.: 1H) on the Texas Railroad Commission’s website.
It looks like the peak production was in Feb 2016 with about 70 MCF (gas) and 10,000 BBL (oil). It has since declined to 19K MCF and 1,520 BBL (as of April 2019).
Here are some screenshots:
[skipped a few - so you can see first production vs the past year]
I hope this is helpful. I was once in your shoes and the people on this forum gave me similar information to get me started.