Lease Bonus and Royalty Rates in Madison County

[Recon]

Anyone have a handle on what current lease bonus and royalty rate offers are in Madison County?

[jeffreyrs]

Probably $1000/NMA and 22%

[dstallard]

Per U.S Lease Report for Jan-Feb, $75 to $551 per net acre for lease bonus, with $85 most common, 1/6 fo 1/5 royalty, and 3 to 5 yrs primary term

[fjonesiv]

@dstallard

$75 to $551 per net acre for lease bonus, with $85 most common, 1/6 fo 1/5 royalty, and 3 to 5 yrs primary term

I guess one can print anything. It does not take a genius to figure out that an estimate with a range of 75 to 551 is worth little to nothing in helping someone with understanding what the true market it. I’d be embarrassed to publish such, and call it useful.

[dstallard]

Not estimate, range of actual transactions.

[ai_land]

Without contracting a Landman or Title Attorney, a naive lessor will always receive less than a sophisticated lessor.

[Mineral_Owner5]

RIGHT! That’s a “criminal” offer,

[bhp]

Thanks for the info. Gives a good idea of where I am on that range.