I just received a lease offer from OGI Minerals for $1,000 per acre at 3/16th royalty. I’ll of course try to negotiate a higher royalty but wondering if anyone else is getting offers similar to this. We haven’t had action in Beckham County in quite some time and this is now the 4th different lease offer we’ve gotten in the last 3 months.
Where are your mineral rights located? Mine is the southeast corner of Beckham County. Without looking up my paperwork, I don’t know the exact range, etc. They haven’t made any offers on mine in years.
Offers will depend upon location. The 3/16ths is probably the middle range. Always ask for what they are offering at 1/5th and 1/4th just to see what they say. The Cherokee play seems to be extending that direction.
Four lease offers indicates increasing interest in your minerals.
Would be wise to invest in a good oil and gas attorney to review any lease draft as they are not in the mineral owner’s favor and need significant edits. If that is not economically feasible, then a force pooling also has its own merits.
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Received offer from Upland Exploration for $750 an acre at 3/16 royalty Section 7 T10N R25W in Beckham County OK. Haven’t had any new interest in over 10 years, will also try to negotiate higher.
Welcome to the forum. Might not hurt to ask what they are asking for 1/5th and 1/4th just to see what they say. If you have not leased in a while, it might be a good idea to invest in a good oil and gas attorney to help with the edits on the draft lease. The drafts are always in the operator’s favor and not in the mineral owner’s.
Thank you M_Barnes. Is there any kind of listing for good O & G attorneys that other forum members have used. Would you be willing to make any recommendations?
The directories tab above has attorneys listed. You can also go on the OK Bar Association and look up oil and gas specialists. You may have to call several because many have conflicts of interest.
You can also wait and see when the pooling is filed and might want to use that route as a alternative. If you have low acreage, this is another option that is not as expensive.