I'm new to this site and am hoping to get some input from others who may have information in regards to an offer I recently received from Data Land Management. I have surface and mineral rights in Blaine County and was offered $200/acre bonus and 3/16 royalty for a 3 year period. Has anyone else in the area received a similar offer? I'm wanting to find out if the $200/acre is reasonable. I believe it is low but am not certain. From what I understand 3/16 royalty is appropriate. Any feedback I can get would be much appreciated!
If you could please specify section, township, and range, that would really help. A good part of Blaine County has Woodford Shale potential. In any case, $200 is definitely on the low side. 3/16 is fairly standard, but it has been possible to get 1/5, 22.5%, and 1/4 royalites in many locations.
Thanks Mr. Anderson. It is within Section 10; T18N-R13W. Any info. is greatly appreciated!
JW Anderson said:
If you could please specify section, township, and range, that would really help. A good part of Blaine County has Woodford Shale potential. In any case, $200 is definitely on the low side. 3/16 is fairly standard, but it has been possible to get 1/5, 22.5%, and 1/4 royalites in many locations.
Your property is a good 4 miles north of any Woodford leasing activity in 2010 and 2011. It's also a good 10 miles north of any existing Woodford wells. The Woodford is the big driver on most of the activity in the county in the last few years.
There are some very recent recorded leases by Southpoint Energy in the Township to your north, but I'd don't who they represent or what they are after.
Still, $200 is on the low side. Maybe someone else has seen something and would like to weigh in.
If it were me, I would ask for more and see what happens. You'll soon find out how bad they want it.
Thanks very much, I appreciate your feedback Mr. Anderson.
JW Anderson said:
Your property is a good 4 miles north of any Woodford leasing activity in 2010 and 2011. It's also a good 10 miles north of any existing Woodford wells. The Woodford is the big driver on most of the activity in the county in the last few years.
There are some very recent recorded leases by Southpoint Energy in the Township to your north, but I'd don't who they represent or what they are after.
Still, $200 is on the low side. Maybe someone else has seen something and would like to weigh in.
If it were me, I would ask for more and see what happens. You'll soon find out how bad they want it.