How can I determine an estimate of what mineral rights were worth in 1995 in Lincoln County, Oklahoma? The acreage I am referring to is part of Section 15-15N-5E. Thanks.
I don’t see any production on it in the last 30 years or more so this is based on non-production mineral interests.
Value to satisfy “who”? The IRS? Family members?
Are you trying to do an after the fact probate of an estate. Or place a value (basis) on it for purpose of capital gains?
How was it acquired by you and the past owner(s).
Based on my review of a couple of estates our property in Lincoln Co, there was little or no value in 1979 and 1992. (~$1 to $5 an acre) Unless yours was leased in 1991-1995 I wouldn’t expect much of a difference in yours.
If you are trying to determine a basis for a sale to determine capital gain, value it at $0 unless you have documentation that is different. If it was inherited the basis was reset to the value at the time of death. If it was purchased as mineral rights only in 1995, the price you paid is the basis. If it was purchased with surface rights in 1995 there is likely little to no value. If it was a gift in 1995 then the basis goes back to how that person acquired it.
Caveat: I’m not a professional. Research and come to the same conclusion and/or consult a CPA familiar with oil and gas assets.
Thank you, Mr. Howell. The information you provided is just what I was looking for. Yes, it was for capital gain information. The mineral rights were inherited in 1995 and sold last year. Claiming the value at $0 makes perfect sense.