i own over 500 acres of Mineral Rights in Borden County, Texas. I have been approached by an oil company to lease approximately 200 acres of it in 3 different tracts of land. What should I know prior to dealing with these people?
Know what is going on around your land. Know permit applications, permit approvals, well completions. and older production. (That's the way I have been establishing geologic potential for 35 years.) With that knowledge you will likely know more than the land agents that contact you.
With 500 acres under control, (and maybe surface too) there my be a fortune to be made with a good plan. If you have the knowledge you have the power to get what is best for you. The first thing to know is the geometry of the 3 parcels and if your interest is whole or undivided shares of the whole. Protect your future by dictating lease terms that don't tie up 200 acres forever through the use of part of one tract. If you do own the surface, don't automatically include its use in a lease. You may have other plans for it.
Gary L Hutchinson
Thank you Gary, I only own the mineral rights. Should I hire an attorney?