Can someone tell me in a nutshell what is going on in Madison County, minerals-wise, and why does a company suddenly want to buy my small-ish mineral rights in the Robbins Survey? I don't live in Texes and am not up to date on latest drilling activity. Annette
Depends on offer. I have some in Grimes northern part that I will get run of the mill. If just one I dont worry but have noticed that if you start getting several then there is activity in your area. Most of the time they do it by survey and those are some what serious but when they contact you with your lease name and RI number and offer a pretty good amount then it perks my interest that somebody knows something.. Madison south was very hot for 4-5 years. so if you are not already under lease or held by production you might be in a newer area to the NE that some companies are drilling pretty deep. Have not heard any thing major but all of the area has cut back big time. Have seen a slight increase in offers and permits being pulled for grimes county though.
http://webapps.rrc.state.tx.us/DP/initializePublicQueryAction.do click in the county box and select madison and press enter. there are 80 pages of permits and you can look at the most recent ones and find locations in relation to you minerals. I was offered ( dont know if real but think it was pretty serious) 10k + an acre and I found out that the well had a second well staked out but no permit filed. Well a month later a permit was filed for 2nd well. Tells me somebody knows something and trying to get in before public knows
Thanks. This give me some direction. I appreciate it.
I think burke has wells on the robbins survey already
Yes, they do. But someone (unrelated?) is asking to buy my rights there. I'm trying to figure out what's going on. Do companies (speculators?) just go around making offers on random tracks in random surveys or is some larger strategy being tired?
What ever you do do not sell your minerals in that area. This is one of the best area's in East Texas. Remember that the oil business is in a "rough time". It always returns and is better when it does.
What are they offering you per net. mineral acre?
If you own a 100 acre tract of land and own 25% of the minerals you have 25 net mineral acres.
Get them to send you a map, plat and the legal description along with the net. mineral acre interest you own. Most likely they won't reply. Good luck.
Thank you for your excellent advice. I have been reluctant to even consider the offer, given the limited amount of inforamation that I have, but your reply has helped me to know at least what questions to ask. I will most likely decline the offier, but wish to learn a bit more. In any case, I am most grateful for your recommendations.
Is there a "standard" for NMI per acres in the county and/or what is the range of value being brokered at this time? What is the best soruce for evaluating current market value?
Oil Companies and their lease brokers, along with speculators, who want to lease your minerals for less than they are worth, then "flip" or sell the lease to another group or oil company want to pay less and give you less royalty and lease terms. With oil prices like they are now they want to use the excuse of less money and lease terms. Where your minerals are located are as good as they come in Madison Co. Never take less than a 1/4 interest cost free royalty. Get professional help from someone out of the County.
You need to get a plat and map of the minerals, the net. mineral acres you own and a written offer. Do not deal verbally. Make them put it in writing in editable form and email it to you.
Awesome. Thank you.