160 acres Sec 3 Non 36 Township 1S either a 1/3 or 2/3 share rate 25% 3 year if they ever drill there also some other wells all vertical
How do I figure the actual value of this? I need to do some estate stuff and everyone I have asked just does the shoulder shrug.
Ok thank you. I thought it had to be evaluated for step-up cost basis at time of inheritance and have no idea.
Caroline,
You may try reaching out to some of the land services companies that have been in Midland for decades. They may be able to help. Shaw Interests or Doug Furgeson or Landsmith might be able to help you out!
Land services companies*** not devices sorry.
Caroline, Waterson Calhoun, of Crest Engineering Services, did a historical valuation for Martin County royalty property I inherited in 1976. Contact info: W. Waterson Calhoun, P.E.
CREST Engineering Services, Inc.
2600 Robertson Road
Tyler, Texas 75701
903-253-0452 (o)
903-642-0055 (f)
CREST Process Systems
ASME Code Vessels and Production Equipment
2600 Robertson Road
Tyler, Texas 75701
Caroline, are you trying to value it now or at time of inheritance?
If from inheritance, was it producing, non-producing but leased, or not leased?
I have often seen where value might be $10 for all non-leased lands, if leased recently but not yet drilled, might be the amount of the bonus payment, and if producing it is a multiple of the cash flow.
Now if it was subject to an estate tax return, there should be a back-up schedule supporting the value the executor used.