# How accurate is rule of thumb on royalties value

**URL:** https://www.mineralrightsforum.com/t/how-accurate-is-rule-of-thumb-on-royalties-value/3503
**Category:** General Mineral Rights Discussion
**Created:** [January 30, 2017, 2:28am UTC](https://www.mineralrightsforum.com/t/how-accurate-is-rule-of-thumb-on-royalties-value/3503 "2017-01-30T02:28:35Z")
**Posts on this page:** 3
**Page:** 1

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### Author: ![Stoney\_Lane\_Doran](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/s/f9ae1b/32.png) [@Stoney\_Lane\_Doran](https://www.mineralrightsforum.com/u/Stoney_Lane_Doran)
#### Post date: [January 30, 2017, 2:28am UTC](https://www.mineralrightsforum.com/t/how-accurate-is-rule-of-thumb-on-royalties-value/3503/1 "2017-01-30T02:28:35Z")

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I own royalties in Stephens County, Oklahoma. I’m thinking about selling. I read that buyers pay between 36-72 times the amount of your average monthly royalty check. How accurate is this?

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### Author: ![Marcus\_T](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/m/ce73a5/32.png) [@Marcus\_T](https://www.mineralrightsforum.com/u/Marcus_T)
#### Post date: [January 30, 2017, 3:19pm UTC](https://www.mineralrightsforum.com/t/how-accurate-is-rule-of-thumb-on-royalties-value/3503/2 "2017-01-30T15:19:19Z")

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That rule of thumb can severely undervalue your minerals depending on location and future potential of your acres for horizontal development. I’d stay away from it, personally.

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### Author: ![system](https://www.mineralrightsforum.com/uploads/db5755/original/3X/6/c/6c7c56608c843272ad6e3662ce9562a5956f173e.png) [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [August 14, 2018, 10:39pm UTC](https://www.mineralrightsforum.com/t/how-accurate-is-rule-of-thumb-on-royalties-value/3503/3 "2018-08-14T22:39:22Z")

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