Offer to buy mineral rights in 27-10-05 at $6000.00 per nma. How does this compare with other local offers?
I am not aware of offers in this area, but if you are getting an offer there must be the potential for some good profits ( these guys don't make an offer unless they are getting a good deal for them ). Most offers I have seen on these forums is in the $ 15,000 to $25,000 range. No-one takes the first offer -- always go back with a high number -- 20k to 25k and see what happens. The more area ( nma ) you have the better your position.
So $6000 per nma is pocket change in comparison to what it is worth?
don't know --- but the odds may be with you -- I always hold on to minerals -- too much potential for future income for me and my kids ( but may be making incorrect decision )
It depends on several factors like your royalty interest, but $6000 an acre is a good price for that area. You might be able to see a little higher, but $15,000-$25,000/AC are way off, you would need to be in the “nut” of Blaine/Kingfisher County for those prices. This is a great forum for information, however there will be unknowledgeable/miss informed individuals who give out bad/miss leading information. Long story short yes $6000/AC is not a bad price for that area, but again you could get more or less per acre depending on your royalty interest.
Be careful whos advice you take on MRF. People try to say things are worth high amounts because they have "Seen it". But unfortunately, that means nothing. In order to know exactly what your minerals would be worth, one needs to take into consideration, exact location, wells, permits etc. It differs drastically. And just because someone elses area was going for 15k-25k doesn't mean yours would be. Too many factors. Ive seen a lot of people miss out on a good lease/purchase offers on MRF because they got bad advice, and believed nonprofessional evaluations.
seems like there is some confusion here... I think we are discuss a sale not a lease? You dont get Royalty if you sell. Now $6000 is great if you are talking lease....You will get the Royalty then -- go for 1/5 or greater....
Be careful a lot of landmen are in here ( this forum ) and try to keep prices down - it's a good place for them to find a lead or two
Alex is definitely talking about selling, hints the subject of this post. you don't get royalty when you sell, what I was saying was that the royalty interest that is subject to Alex's current lease (which I would assume Alex is already leased) will influence the price per acre to purchase.
The company that is making this offer is HPH Energy out of Oklahoma City. They sent papers to sign and are following up with phone calls. I haven’t seen any mention of that company here on this forum.
Any suggestions on who to consult for minerals. An attorney?