I just signed a lease for $800 per mineral acre and 1/4 royalty in Live Oak County. Is that the going rate or was I too quick to sign? I have other leases in McMullen, Gonzales and DeWitt County but all those were in the $200-250 per acre with 1/5 royalty. Why is the lease worth so much more from Live Oak County?
How long ago did you do the leases in Gonzales and Dewitt?
What part of Gonzale couny are you located?
I've seen folks mention current offers in Gonzales/DeWitt more in the $1000-$3,000 + range depending upon location. So it seems more like you may have signed early on for those counties rather than the Live Oak acreage being more at current rates?
The reason I was asking is depending on what part of Gonzales county your lease is in will vary greatly on what the lease is worth. As DJG said, folks in Cheapside are getting 3500+, further west to FM1116, 1200-2000. Further west to FM 108 1000-1700 and north of Gonzales 100-700, so I was just trying give you what is happening in your area. These are current dollars so things have heated up since then. You can definitely get the 1/4 royalty for maybe a little less bonus. Don’t feel bad about the 250, I leased 3 years ago for 100 with a stupid 2 year extension for 150. So I am certainly on the sidelines for a while.
Tim…I’m in…will talk when we get the paper work from CP…