In the past 2 weeks, we have received both written and phone offers for our 80 acres of minerals. We are the sole owners of them.
All offers have been between $6,000 and $7,000 per acre. Four months ago, the offers were in the $4,000-$5,000 per acre range.
There are a couple of wells by Continental in Section 29 just 1 mile to the Southwest of our farm.
Any insight as to what might be happening?
Continental is leasing heavily in that area and is planning on horizontal drilling the Woodford. They are trying to buy up acreage (as are other companies).
M Barnes
Considering selling my mineral right in 17- 1N- 1E
How do I make sure I get paid after signing deed?
Your area is in a different township.
Never, ever hand over a deed without getting paid at the same time. Even better, have a third party such as your attorney, bank, accountant hold the signed deed until the check clears the bank and then the third party will overnight or hand over the deed to they buyer.
Thanks for your reply.
I will try my local bank in PA.
Don’t have an attorney or an accountant.
I am from Houston originally.
Should I try to get an attorney in Oklahoma or a mineral rights attorney here in Pennsylvania? I’m really sort of concerned about how to go about getting the money at the same time I sign that document. Also, should I not sign the sales agreement before I talk to an attorney?
It is always wise to get an attorney to review any legal documents. For OK minerals, get an OK attorney. I would not sign any agreement that I did not understand before getting legal advice (as you may bind yourself to something you did not intend. Words have power. Signed words have consequences.}
Sort of depends on how many acres you are dealing with or money involved. I usually deal with companies that will send me checks and when it clears the bank I send them the deed.
A sight draft at the bank is the old standby method. You send the signed deed along with the sight draft to the bank, and the bank doesn’t deliver the deed until the draft is paid. Only downside is that costs money.
Caution, cold drafting is the practice of some unethical brokers who get you signed up and then don’t pay the draft if they can’t flip (sell) the lease or deed. For that reason, dealing with a known/reputable company like Continental (and others) is better. Posting the name of the buyer here is one method of flushing out con men.
Also, M Barnes’ recommendation is spot on. If there is enough money involved to justify the cost, consulting an attorney is good business.
I got a phone call last week. Are people still getting offers in this area, Garvin County? I was surprised; I thought with the price drop, but I guess there’s always buyers sometimes.
We got a call yesterday to buy and another letter last week. News extremely negative. Hard not to worry and wonder about the long-term impact.
Susie and 1990, do you both have interests in Garvin 13 Township 1N Range 1W?
I’m in Section 17-1 North 1 East. Any event the offers don’t seem to be crashing, but I would think they’d be crashing along with the price of oil. Are you guys getting offers? Like, they’re not going up, right? Assume they’re going down. What do you see and what do you think?
Continental Resources has pending cases in the 19, 20, 21, 22 area. May be why there is still interest in leasing. Hoping for an an eventual return to “normal”. On the buying front, would suspect folks would like to buy the lows and wait for the highs.
This too shall pass.
M_Barnes, I feel the same way… that those who are wanting to purchase now are like the people on the stock market who want to buy low and sell high… looking for bargains.