I have been contacted by a landman for Oil out of TX
He determined my father and his brother were airs to mineral rights.
My father quitclaimed to me his interest.
The landman then contracted with me for lease rights
From what I know there are many decendents in the line up of owners
roughly 50 is in the back of my mind
The final titling is still being done
Terms were 22.5% of what ever fraction of ownership I will end up with once titleing is complete.
That began a year ago.
In the meantime (this last year) I contacted my fathers brother and asked him for his mineral rights of which he agreed. I had him sign a quit claim deed and that document is currently being recorded.
When it is in hand I will want to lease that new ownership to the oil company.
I know nothing of doing this. This is where I feel I need some help and knowledge to negotiate in my best interest.
I knew nothing of negotiating last year on my fathers interest
I took what I was given
I'm in a little differant situation here
the landman does not yet know of this new interest I have aquired
This man is contracted Title Specialist for Gordy oil
The oil company has recently drilled and we have a wildcat well.
What do I need to know here? I'm sure it is not alot just some understanding of how to negotiate in my favor.
How do I negotiate in my best interest?
I have no one but the landman to tell me anything. Seems to be very closed lipped.
My fear is there is not enough ownership to even keep track of the taxes
Dear "With Held For Now", Hire some help, once signed, a lease will bind you for years. If U have the time to read on, I will tell U a little more.
Until now I have negotiated my family's mineral interests. My thinking was, we were a small fish, couldn't afford an attorney's fees or professional advice on each lease. I was wrong. An offer came in that was out of the norm, it made me nervous, I wasn't sure what we were agreeing to. We reviewed the blogs and answers given on this site and identified half a dozen pro's we felt comfortable with. I goggled one, his web-site gave his references, rates $80-$100/hr etc. , he accepted us as a client and good things happened. It was the best $100.00 I've spent in years. I was so impressed that I dug up an offer which we had rejected and asked him to look it over. This offer was dead in the water, I just wanted his thoughts and advice. What I got was a lease w/ a different CO., 3x's the bonus, 1/2 the primary term, "Free Royalty" terms, no add-on's at the well head etc. Now, I can't afford not to hire help.
The info you provided was very welcome. Thank You. O.K. I need a lawyer or someone experienced in negotiating lease terms. I welcome any recommendations to look over. At this time a hundred dollars is not out of my reach for this though I am currently unemployed.
two words... Mineralweb.com
basic need to know stuff.. I too am in a situation of being, THE dullest color in the box, when it comes to this stuff.. that site helped me to start in the at least, the some what right direction.. good luck ...