I am new to the group and know very little about the oil & gas leasing process, so I need help in building a knowledge foundation. I live in Texas but my family own 200 acres in Creek County, (40) NE/4 SE/4 of Section 22-14N-9E and (160) SW/4 Section 23-14N-9E, and have been contacted by a couple different landsmen about about leasing our mineral rights.
I have a couple questions, 1) does anyone know if there is drilling activity in my area and productive it is or better yet is there a way for me to find out? 2) how do I know if their lease offers is fair market value? 3) what is the best way to get up to speed and educated on all this?
The two offers received; First offer; $150 per acre 1/8th royalty or $100 per acre 3/16th royalty and Second offer; $200 per 1/8th royalty, $150 per 1/16 royalty and $100 per 3/16 royalty. Both for 3 year terms + 3 year option. Are these in-line with what's going on in the area or are they low ball offers?
Lastly, the company names on the documents I've seen are EGB LLC, WFD Oil Corp, and Troubadour Energy LLC. Has anyone heard of these and have any opinions on whether they've been in the industry for a while and or their reputation. I have yet to contact either of them to discuss, as I would like to have some idea of what I am talking about and not be a total idiot and be taken advantage of, as I am trying to do right by my family.
Any help and advice from those of you more experienced than I would be greatly appreciated.
Thanks in advance,