# Lease offer
**URL:** https://www.mineralrightsforum.com/t/lease-offer/10344
**Category:** Roosevelt County, MT
**Created:** [June 3, 2014, 3:25am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344 "2014-06-03T03:25:20Z")
**Posts on this page:** 9
**Page:** 1
### Author:  [@Sheralyn\_Castro](https://www.mineralrightsforum.com/u/Sheralyn_Castro)
#### Post date: [June 3, 2014, 3:25am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/1 "2014-06-03T03:25:20Z")
Hi - we’ve received a lease offer from Herco out of Billings. 28N/56E. Offer is only $100 lease bonus per acre and 16% royalties - 3 yr with additional 2 yr option @ $200/acre. Anyone else heard from Herco? How does the offer sound?
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### Author:  [@Dawn](https://www.mineralrightsforum.com/u/Dawn)
#### Post date: [June 3, 2014, 3:26am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/2 "2014-06-03T03:26:55Z")
Not a good offer at all. I would request an AFE and get your cost to participate in well. Otherwise, if they are just leasing to tie up the property, I would not entertain that offer at all.
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### Author:  [@r\_w\_kennedy](https://www.mineralrightsforum.com/u/r_w_kennedy)
#### Post date: [June 3, 2014, 3:34am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/3 "2014-06-03T03:34:07Z")
Are you familiar with the Mt DNRC Webmapper? It may not give you the answer to your question but it may provide some very good datum points, activity, production in a five-mile radius of your acreage.
Other than that I would lean towards agreeing with Pam, except possibly if the 16% is with absolutely no deductions other than taxes.
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### Author:  [@Dctex99](https://www.mineralrightsforum.com/u/Dctex99)
#### Post date: [June 3, 2014, 3:57am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/4 "2014-06-03T03:57:54Z")
Depends on where it is at and active wells around it! We just leased for $1500 and 20%.
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### Author:  [@charles\_s\_mallory](https://www.mineralrightsforum.com/u/charles_s_mallory)
#### Post date: [June 3, 2014, 10:51am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/5 "2014-06-03T10:51:03Z")
Sheralyn:
Take the advice from above replies, bad offer. Looking at the GIS map, Statoil Oil and Gas has two Bakken wells in Sections 8 & 17 and Sections 25 & 36. One was drilled in 5/10 and is a decent well since the decline curve on production and the other drilled in 2/13 which remains a good producing well. I am not familiar with Herco and would guess that this is more of an investor operation trying to secure minerals for future profit. If I leased to them, I would add a “pugh clause” excluding the Bakken formation. Another great source of info for you is to contact Gary Hutchinson at 303-279-4113. He is extremely familiar with the area and could advise likewise.
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### Author:  [@charles\_s\_mallory](https://www.mineralrightsforum.com/u/charles_s_mallory)
#### Post date: [June 4, 2014, 8:44pm UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/6 "2014-06-04T20:44:40Z")
Sheralyn:
Just yesterday (6/3), Oasis leased an entire Section (28N; 58E; Section 10) for $1500/acre. This area is somewhat close to your area so this may shed further light in regards to your question.
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### Author:  [@Sheralyn\_Castro](https://www.mineralrightsforum.com/u/Sheralyn_Castro)
#### Post date: [June 5, 2014, 3:14am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/7 "2014-06-05T03:14:24Z")
Thanks for your info, Charles. I really appreciate it!
charles s mallory said:
Sheralyn:
Just yesterday (6/3), Oasis leased an entire Section (Township 28N; Range 58E; Section 10) for $1500/acre. This area is somewhat close to your area so this may shed further light in regards to your question.
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### Author:  [@Sheralyn\_Castro](https://www.mineralrightsforum.com/u/Sheralyn_Castro)
#### Post date: [June 5, 2014, 3:15am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/8 "2014-06-05T03:15:38Z")
Thanks for your reply. May I ask where your rights are located?
Dctex99 said:
Depends on where it is at and active wells around it! We just leased for $1500 and 20%.
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### Author:  [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [August 15, 2018, 12:36am UTC](https://www.mineralrightsforum.com/t/lease-offer/10344/9 "2018-08-15T00:36:21Z")