Going rate in Dawson

I’m wondering what the going rate for selling royalty interest is in Dawson Cty. How does it relate to the leasing rate for mineral interests? I know. I know. The price is not stable enough to know if anyone is even going to lease right now, but just thought I’d throw this out there since some one is asking to buy. Section 7 Blk 34 T4N

I haven’t looked directly at that section, in general the further south I’m closer to the southern County Line you are the better and you probably want to be on the east side of that southern County Line to be in an area where there’s been successful wolfcamp Wells if you’re looking to get one of those higher acre offers… But it’s a tough time right now, $30 oil changes a lot

Good morning, Is this a mineral interest or a non-participating royalty interest? I have seen mineral interests in this block and township go for around $1500/ac, assuming a 25% royalty. But that was before these prices were depressed.

It’s a non-participating royalty interest. I’m wondering how the sales prices of these royalty interests compare to the sales prices of mineral interests. I understand that in the current situation everything is in a state of flux, but I wondered if there were a rule of thumb for calculating a reasonable sales price. 25X the going leasing rate for mineral interests? or some other rule of thumb. Thanks.

I’ve always heard 4x the lease bonus is a reasonable purchase price for mineral interest. For NPRIs, the price will be lower since you are not entitled to any lease bonus. Maybe half?

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The current oil prices will decrease offers some as the risk gets higher for mineral buyers and operators. The longer the price stays low the further offers will fall. I work in Lubbock and have clients that are still interested in buying in the Dawson County area but I’m not sure what current prices look like. If you want to sell I often recommend finding a landman who will shop the minerals/royalty for you to find the best deal.

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