My family has an interest in a producing oil well in Section 1 in Grady County. We have been approached by a land man to sell. We know very little about the process. Question 1.: We know the buyer is to pay all costs up front. We have inherited the interest from our mother who died intestate. The land man has not, and may not be able to, tell us what his curative title cost would be for that may vary greatly. Can you all give me either estimates or from your experience, cost figures for what such title and associated costs would be? They would be deducted from what we would finally receive and this could give us an idea of the net payment.
Question 2.: We have been told that including a depth clause, a favored nation clause, and a shut in clause is good to do for several reasons. Is it your experience also that these should be included in a contract?
3.: Is there any practical way for the seller to know, and at no cost, what the forecast is for the future production of his well?
Any pointers or tips will be most welcome!