Ovintiv just hit real good wells across the fence in sec 12 …now getting offer from a reseller for 14,000 an acre Do oil companies buy minerals, any idea what the resellers are doing with their purchases
The answer to your question depends upon who is buying. Some buyers flip immediately for more money (so that tells you that the mineral owner did not get a “good” deal), some are oil company operators that want more royalty income, some buy and hold. In my experience, most of the offers I have received have been for the discounted cash flow of current well production and not for the increased potential for more wells. The buyers fully intend to make a profit. Depending upon how good their research is, some do make a profit, some don’t.
I just received a similar offer in Kingfisher with the “up to $14,000/ac”. Offers are based upon the royalty, so that “up to” phrase can be the kicker. I just scan the offers and shred them.
what is the name of the wells in section 12? I have minerals in section 18 and have had multiple companies looking. any info on prospects in 15N 6W
Section 12 of what township and range. in 15N-6W or in 15N-7W?
Hi Ed Im across the road to the north in sec 7 Whats the chance you would say how much they are offering and who is the company… in my case mayhawk is offering 12 k per acre
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