I have received an offer to lease mineral interest in the above area ranging from $2500 per net mineral acre and 1/5 royalty to $3250 with 1/8th royalty. Also an offer to purchase, but I am not really interested in selling at this time. I am new to this and after reading some other posts it seems that some “negotiate” for higher offers? Just wondering if I should accept this offer as stated?
First offers are usually a bit low to final ones. I usually take the higher royalty and the smaller bonus since it usually pays off much better in the long run. Do not accept the lease that they will offer. It will require some negotiation on changing some of the clauses. Read the Mineral Help tab above and then come back with questions. You are going to need a good Exhibit A to make sure you have no post production charges, a depth clause, limited shut in time, commencement of drilling clause, no warranty clause, no top lease clause and a few others.
Thank you so much for your help!
Heard you can get $3500, 1/5th royalty…F&F Exploration
Rindy, I recently had a Lease Offer in Sec 19 and the Bonus was very low. Can you share with me who is offering you the Lease so I may get in touch with them and see if they are still interested in Leasing? Thanks, Nell