Considering accepting our highest offer so far for our roughly 7.5 NMAs. Offer is $9.5k per NMA.
Wondering if anyone here has any ownership in the area and is also receiving offers.
This would our first venture into this, so I’m still figuring out where to start (attorney).
Have you checked the WV commission maps for upcoming activity? Offers to buy usually come before drilling. Do you want to give up future royalties for a payout now? You can sell all, sell part or sell none. If you sell, that may kick in a capital gain tax.
@M_Barnes - What is the website that you recommended to see what drilling activity is like? We started receiving checks (two months so far), and I am interested in seeing what that activity looks like and if we should expect the checks to continue to grow. The first check was $750; the second check was $6,000.
Here is the WV GIS link. The first check may have been for a partial month and the second for a full month and perhaps for several months that were accrued. Checks are based upon the volume of products sold, the price of products and the number of days on line. Generally, the volume from a well will decrease over time as the well is producing from the reservoir and the pressure decreases. The only way checks go up is if the price goes up or other wells are drilled. Keep your check stubs and statements for seven years for IRS purposes.
Thank you! @M_Barnes I also found this site - OOG Well Work Permitting Report That shows the monthly production for each of the wells VAN WIE 1221 N-4H, N-5H, and N6H.
Excellent. You will be able to watch the volumes. The gas numbers probably won’t match your stubs exactly. Production amounts reported to the state are at the meter. Your statements have products sold, so line loss along the way. But the trends are quite helpful.
This topic was automatically closed after 90 days. New replies are no longer allowed.