# Offer to Lease Letter Questions

**URL:** https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385
**Category:** McKenzie County, ND
**Created:** [September 26, 2021, 5:02pm UTC](https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385 "2021-09-26T17:02:38Z")
**Posts on this page:** 5
**Page:** 1

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### Author: ![AnnaC](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/a/f1d935/32.png) [@AnnaC](https://www.mineralrightsforum.com/u/AnnaC)
#### Post date: [September 26, 2021, 5:02pm UTC](https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385/1 "2021-09-26T17:02:38Z")

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Hi. I received an “Offer to Lease” letter offering $100/net mineral acre; 3-year term with a 2-year option to extend at 100% of the original bonus price; 18.75% royalty on production.

I have leased previously with this company (Diamond Resources) several years ago. The per acre $ amount was much higher per net mineral acre (I do get that times are not the same as they were in 2013), the 3-year term was the same, but “with a 2-year option to extend…” is new.

Is there a fair offer? Should I take what I can get, or try to negotiate?

I appreciate any help. I am out of state and am still learning what all of this means.

Thank you in advance for your help.

Anna

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### Author: ![TODD\_M\_Baker](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/t/91b2a8/32.png) [@TODD\_M\_Baker](https://www.mineralrightsforum.com/u/TODD_M_Baker)
#### Post date: [September 26, 2021, 5:14pm UTC](https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385/2 "2021-09-26T17:14:14Z")

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Hi Anna- why would you not negotiate?

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### Author: ![M\_Barnes](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/m_barnes/32/10942_2.png) [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [September 27, 2021, 12:17pm UTC](https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385/3 "2021-09-27T12:17:24Z")

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It would be wise to get an oil & gas attorney to negotiate a better lease for you. If you are new to this business, you need a pro. I never take the option to extend. Who knows what lease prices would be in three more years. The draft lease is almost always in the favor of the operator and not the mineral owner.

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### Author: ![AnnaC](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/a/f1d935/32.png) [@AnnaC](https://www.mineralrightsforum.com/u/AnnaC)
#### Post date: [October 2, 2021, 4:03pm UTC](https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385/4 "2021-10-02T16:03:02Z")

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Thank you for your honest response. I did reach out to an attorney back in 2013, I will try to see if he is available. Have a great weekend.

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### Author: ![system](https://www.mineralrightsforum.com/uploads/db5755/original/3X/6/c/6c7c56608c843272ad6e3662ce9562a5956f173e.png) [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [December 25, 2021, 5:03pm UTC](https://www.mineralrightsforum.com/t/offer-to-lease-letter-questions/63385/5 "2021-12-25T17:03:12Z")

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