# Mineral Rights Owner but not land owner in Goshen County
**URL:** https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030
**Category:** Goshen County, WY
**Created:** [February 16, 2020, 2:21am UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030 "2020-02-16T02:21:27Z")
**Posts on this page:** 7
**Page:** 1
### Author:  [@ORBump](https://www.mineralrightsforum.com/u/ORBump)
#### Post date: [February 16, 2020, 2:21am UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/1 "2020-02-16T02:21:27Z")
My grandfather and his siblings sold (715.5+/- acres) land in the 1950s and maintained 50% of the mineral rights. As grandchildren and great-grandchildren of the original owner, we are looking at a lease offer and appreciate any insight. The first offer was in 2010 and covered a 5-year lease with an automatic additional 5-year lease.
The land is **Township 20 North, Range 62 West, 6th P.M.**** Section 15: SW/4 ****Section 22: S/2NE/4, NE/4SE/4, N/2NW/4, SE/4NW/4, NE/4SW/4**** Section 23: N/2N/2, SE/4SE/4 ****And all those portions of the SW/4SW/4 of Section 23 and the NW/4NW/4, SE/4SW/4 and W/2SE/4 of Section 26 lying easterly and northerly and below the North Rim Rock of Bear Mountain**
The current offer is $50.00 per net mineral acre 5-year paid-up lease, providing for 1/8 landowners royalty and an option for extending the lease for an additional 5 years for an additional $75.00 per mineral acre. There is also a Pugh Clause.
I can provide other information if it helps, I have the Oil and Gas Lease.
I am not the individual who posted Jan. 9th asking for help regarding this same area, so if WayneH reads this, hello from Oregon!
Thank you.
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### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [February 16, 2020, 11:13pm UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/2 "2020-02-16T23:13:31Z")
Personally, I would not go for the five year extension as that is too long a time frame. TEN years. I would only go for a three year primary term if possible. You said a 1/8 landowner royalty. Did you really mean that or did you mean the mineral owner royalty. The Pugh Clause is not the only important clause in the lease. Quite a few are important and can hold your family for decades.
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### Author:  [@ORBump](https://www.mineralrightsforum.com/u/ORBump)
#### Post date: [February 17, 2020, 3:18am UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/3 "2020-02-17T03:18:29Z")
Thank you M\_Barnes. Yes, it does say 1/8 landowner royalty in the letter from the company, but the contract does not say landowner; there it states Lessor.
Five with a five-year extension (ten years) does seem like a long window, but the company offering indicates it is common and generous…
Is navigating this contract something I can learn with research and asking questions on this forum? There are other family members who are relying on my research.
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### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [February 17, 2020, 3:19pm UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/4 "2020-02-17T15:19:48Z")
It is always wise to get an oil and gas attorney to look over a lease agreement as it can hold your family for decades! We have one that is over a hundred years old. You can learn a lot on the forum, but for legal work, best to use a professional.
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### Author:  [@Cole](https://www.mineralrightsforum.com/u/Cole)
#### Post date: [February 17, 2020, 5:07pm UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/5 "2020-02-17T17:07:15Z")
There are only a few companies in that area, and what they offered is pretty standard. You can probably get a little more royalty depending on which company made you the offer.
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### Author:  [@maxroyalty](https://www.mineralrightsforum.com/u/maxroyalty)
#### Post date: [February 18, 2020, 9:52pm UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/6 "2020-02-18T21:52:53Z")
Sometimes there is only one company looking to lease and the terms may not be very flexible. However, standard royalty rates are typically at least 15% and 1/6 or 3/16ths can often be negotiated. As far as lease terms, I have typically found that there is a strong correlation between length and lease bonus. If you think it is not likely to get drilled in the next few years, it works to your favor to negotiate a shorter term like 3 years with a 3-year option.
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### Author:  [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [May 16, 2020, 2:21am UTC](https://www.mineralrightsforum.com/t/mineral-rights-owner-but-not-land-owner-in-goshen-county/56030/7 "2020-05-16T02:21:36Z")
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