My Family is currently negotiating 320 acres amongst many heirs, and I was approached with terms of $400/acre and 15% royalties for 5 years (legal description: township North Range West P. M. section 10) After some research I have some concerns/questions:
1. What is fair value of acreages near mine
2. What exactly is pooling?
3. Can I negotiate a cash sum up front in addition to per acre/royalties?
4. Should I negotiate 3 years vice 5?
5. I read I should add 'right of first refusal' for the option to extend the contract. True?
I am looking for someone in Wyoming with knowledge/ability to get quotes/prices on leases negotiated near my family's acreage. Through research I've read per acre value can range from $200 - $6K, but I don't have any way of knowing whats in the ground on our plot. Also looking for some discussion on the questions I've listed. Essentially I am looking to maximize the lease monetarily while safeguarding against loopholes or problems down the road.