Mayflower Petroleum, LLC- T6S, R1W (Love, OK)


#1

Hello,

Has anyone been approached by Mayflower Pertroleum, LLC? It looks like they have been actively leasing in the Township 6 South, Range 1 West area of Love County, OK- and I would like to see what kind of offers everyone has been receiving from them?

They have offered three different leasing options for my in-laws, being:

  1. $1,000/nma; 1/8th RI; 3+2 yr
  2. $750/nma; 3/16th RI; 3+2 yr
  3. $500/nma; 1/5th RI; 3+2 yr

Any assistance with the going bonus & royalty rates would be much appreciated as I am not familiar with leasing in Love County, OK (my experience has been in the Permian Basin). Also- does anyone know what Mayflower’s intention is with this acreage? Operate of Flip?

Thanks


#2

Not familiar with any other royalty rates, but personally, I never do a two year extension. Also, if they are new to leasing, read the Mineral Help above and get help on the terms of the lease. It will not be in their favor at day one.


#3

Thank you. I already informed them to only go with a three year primary term. Wasn’t sure if they offered royalty rates closer to 25% in this area?


#4

Probably not going to see 25% in this area but it never hurts to ask. There are no recent poolings to compare with.