Lease Renewal Offer coming, after 3 years of no activity?

We are talking with our original landman that we signed with back in 2011. Our family owns 10 acres north of Catarina near US 83.

I’m interested in a few things:

  1. Is a renewal offer a good sign despite not seeing any well/royalty activity as of yet?

  2. Our original terms were $1,500/acre plus 25% royalty, should we expect to be able to go up, up significantly, or stay near that?

  3. Our landman has been very persistent which leads me to believe they are willing and ready to re-sign & I want to do the best we can.

  4. We are with Rosetta Resources which I don’t hear much of. I do hear a lot about Chesapeake, however.

  5. If we stall and take an opportunity for other companies to come in, could this help our process?

I have appreciated the resource of this forum, specifically the Dimmit County group, and the opportunity to hear other owner comments has helped greatly & hope I can help others as well!

Any comments or thoughts are appreciated as we will be working on this for the next week or so…

Thank you,

Jeff Bullard