I am well versed in the area. Ill send you a friend request, if you can send me your exact legals, I can give you a good idea of what a fair lease would be.
Hi Scott, you can email me if you want some help. Michelle@quiatcompanies.com. Don't worry they will still want to purchase your minerals if you don't agree to their offer by end of week. You are wise to try and find out the value. I am a mineral owner myself in the Greeley area and work for a family that owns alot of minerals in CO.
I too am getting numerous offers for 7N 66W. Ferrari is offering $2345 for 6.6925 net acres. Springbrook Energy is comparable.
Can anyone advise how one goes about finding out if there is any "activity" on their minerals? We did go through a pooling but haven't heard anything since.
Peggy, are your minerals leased? If you haven't leased and you have gone through a pooling-you don't want to be "forced" pooled. Not a good deal for you. Michelle@quiatcompanies.com
We are also in 7N 66W and under lease. We have been getting these offers to buy our mineral rights quite regularly. We are waiting for a company to drill before the end of the year as they have a permit into the state for approval. My advice would be to hang on to your mineral rights unless you really need the money right away as there is a lot of permit activity in our vicinity and potential for drilling
Thanks for the info Jay. We too plan to keep our rights... one never knows and the offering pricing isn't enough to make us jump now. Good to hear there is permit activity - how does one find information on that?
You can click on any proposed well and go to the map and add various things including horizontal well extentions and see the activity in your vicinity.
Scott, Would you be willing to look at our rights in Weld County and give us some kind of guidance on what to do? We have received an unsolicited offer to sell 120 acres at 3-4000 per acre. No idea if this is a good offer or not. We have leased in the past but the land is not under lease currently. Thank you so much!
Hi Stacie,
As far as the unsolicited offer to sell is concerned, the answer depends on the location. Certain townships in Weld County will demand a higher price than others (e.g. if you are in the core Wattenberg field vs. far away where there is no activity). I assume you mean 120 Net acres - if this is the case, I would highly recommend getting someone to perform an independent valuation of your property so you can get a feel for a possible fair market value range for your property to weigh against any offers. I will say that certain active parts of Weld county are demanding lease bonus offers of around $3000 per Net Mineral Acre @ 20% royalty so if you are nearby this activity, the purchase offer would be considered low. Please let me know if I can be of any assistance.
Stacie,
I just released our latest podcast episode which happens to be about what you need to know about selling your minerals. You can listen on iTunes or directly on the podcast website.
As far as how to determine a fair price per mineral acre, Episode 4 of The Mineral Rights Podcast covers this in detail as well.
Please let me know your thoughts or if you have any suggestions for future episodes.
I listened to your podcast and it was very informative. Thank you for sharing. These consultants that you refer to, do you recommend anyone specific? Thank you.
Matt,
I have 126 NMA in T10 R59W. Can you give me any idea what they are worth if I were to sell them per acre? I saw several of your posts and you seem very knowledgeable and I am looking for advice. Appreciate any input you may have. Thank you
Hi Tim,
Thanks for your question. I can’t say for sure what a fair market value range might be for your minerals without doing a more detailed analysis but I will say that there is a lot of recent activity in 10N-59W (recent drilling permit applications by 8 North and Bison). Given this and somewhat recently drilled wells to the East and South as data points from a production standpoint, there should be a good level of interest in this area for potential buyers. This Township is in the Pawnee National Grasslands so there may be additional hurdles that companies might need to go through in order to drill there (from an environmental standpoint).
I have seen values in 9N-59W ranging from $3500 - $9000 based on results of economic valuations and asking prices in that Township. That was over a year ago so things have changed and that is also in a much more developed part of the Pawnee National Grasslands.
My advice is generally to hold on to minerals unless you need money right away. Given recent permit activity, there is a chance that a well or multiple wells could get drilled in this area in the not to distant future. If you are unleased, you could proactively solicit lease offers for your minerals to get some cash now (lease bonus) while still maintaining control and upside potential from any royalties.