I'm sure there are a ton of people like me floating in and out of this forum with a million questions like the ones I have, so I will not be offended by anyone simply links me to a previous discussion.
Let's start with the basics: I'm new to all of this and know VERY little of the process. Now that's out of the way, my grandfather passed away 4 years ago and left his 4 children his mineral rights in Burke County, North Dakota. Since my father passed away years ago, his shares were distributed between me and my 3 siblings (I essentially have a 1/16th share of the acreage). There are multiple sections in "Township 161 North, Range 94 West" and "Township 163 North, Range 93 West" that we collectively own acreage in and no one has any clue what to do with this. Some of us were approached in June 2013 by Diamond Resources with a check to lease the Township 163 North, Range 93 West acreage for 3 years, but none-of us had the time to understand what were were signing up for and none of us leased our rights.
I have a ton of questions about how to get this process started again, as some of us want to sell our rights, others want to lease them, and others probably do not remember they have these rights. I'm going to list of questions I have and am open to any advice from the board:
1. The lease offer from Diamond Resources from 2013 talks about Gross Acres and Net Acres. What is the difference, and how does this their offer?
2.Diamond Resource appears to be a prominent player in the broker world for mineral rights. Are they a trust worthy company? I'm sure they have spies all over these forums, so feel free to PM if you don't want them to read your response.
3. How much negotiation power do I have with my mineral rights lease? I'm assuming this is like buying a car and there are a few different things they can play with to make the deal most beneficial to them (i.e. lease term, APR, car price) and understanding how they make money will help me get the best value.
4. The broker appears to be Diamond Resources, while the actual lease contract is with Continental Resources. What other companies might be interested in property in North Dakota? Is playing companies off of one another beneficial in this industry?
5. I'm assuming the best chance of a company installing wells is to have enough property in the right location where oil & gas could be found. Is there any benefit to getting all of us who collectively own these mineral rights getting on the same page and leasing to one company?
6. If some of us want to sell rather than lease, are there separate companies involved with the sell, or would Diamond Resources be the same type of company to talk to?
Thanks in advance for any answers and advice on this. My family and I are very appreciative for any support.