Family owns 2 section of land in reeves cty receiving a lot of offers. From 3,000-6,500/ acre for minerals and land. Currently OXY is on property And we are receiving royalty checks. Just looking for a ballpark in value. BLK 50-7, tract 37, AB 705 BLK 50-7 sec 37 T&P 640 acres BLK 50-7, tract 38, AB 2016 BLK 50-7 sec 38 T&P 640 acres. Is the anadarko find close to this land Any help would be appreciated. Thanks Paul d. Caskey. MS.
Paul, your minerals are in a great area. With that said, there are a lot of different factors that influence value, including the number of net acres owned, terms of any lease impacting the property (ie, the lease royalty), who the operator is, what any existing production looks like, whether there are permits for new wells, etc..
However, even without having the answers to those questions, your offers appear low for what is more of the norm these days. Mineral values in Reeves have been rising quickly and significantly over the past year. My advice would be to hold off on doing anything until you have the answers to the value drivers I mentioned above, and at that point, you can take a proactive role in searching for a mineral buyer (should you decide to sell, I personally would not sell) whereby you are more in the driver's seat when it comes to obtaining offers. The best way to determine market value is to have as many prospective buyers as possible review the property and make offers. Otherwise, despite conventional wisdom, there isn't a formula that can be applied to establish value. In the end, they are worth what someone is willing to pay for them.
You will likely receive friend requests on this forum from mineral buyers trying to initiate private conversations with you to buy your minerals. You could try reaching out to one of the forum sponsors to see what prices they're witnessing in your area, based on varying value drivers, but prior to doing that, you might want to confirm how many net acres you own, as well as have a copy of your lease(s) handy.
As for your question about Anadarko, I'm guessing you meant to say Apache? Apache's "Alpine High" discovery is to the West of you, and at least as of now, I view your location to be significantly more desirable. Given the location of your property, I would be inclined to hold off on selling, at least for now, and see what happens in the next few years. Best of luck!
I should've mentioned in my previous response that I do not see any new drilling permits on your properties. The tool that I used to determine that can be found at this link: http://wwwgisp.rrc.texas.gov/GISViewer2/