I am receiving offers to buy my mineral rights in Section 1-14N-17W-Custer County. Is there new activity in this area?
1 Like
I own minerals in 19W Custer County. There are drilling permits all around me. I’ve been offered $7,200ac for mine. Yes - it’s a hot area!
Don’t sell your rights! If some company is offering to buy them, that says they know something you don’t. They’ll pay you pennies for what could possibly be a lot of income in the future. My brothers and I have been getting very small revenue checks for years, and more buyout offers than we can count. NOW, there’s new & serious activity regarding these properties, and plans for 25,000+ foot wells! No oil company is going to invest multi-millions in such wells unless they expect huge profits, which we stand to share in. If we’d sold our rights years ago we’d get nothing.
1 Like
I am not selling. But I would like to know what activity is going on in or around Section 1-14N-17W in Custer County. Why the sudden interest when I have not made any $$ to speak of in the last 20 years?
Many new permits surrounding you for horizontal wells for the new Cherokee play.
Oil Capital just filed an OCC case for your section for a horizontal well. If you don’t get it in the mail in about a week, look it up on the OCC Electronic Case load listing and make sure you are included on the respondents list.
1 Like
Thank you. That’s very helpful.
What is the latest info in Custer County, Section 25, Township 13 North, Range 18 West. We signed a lease 3 or 4 months ago but have not been paid the bonus which was supposed to be paid within 7 days. Recently, we’ve been receiving offers to buy our mineral rights for $6500 per acre. Thank you.
As you have discovered, it is very important to get paid on the day that you hand over the lease. Send a demand letter by certified mail and hope that you get a response.
Anthem Arapaho LLC has started filing OCC cases for your section. They plan a well in 24/25 for the DesMoines reservoir.
Active leasing and horizontal wells nearby. The new activity is for the Cherokee and Red Fork plays.
Don’t sell your rights! We have rights in southern Ellis county on 10 wells in 3 sections, that have been paying us peanuts for many years, pumping from the Skinner and Red Fork Sands sources of supply, which are apparently very shallow. But now there’s a lot of activity going on regarding a source of supply called the Cherokee, which is over 10,000 feet underground. Considering how many millions it will cost to drill & pump that deep, these oil companies must be expecting a LOT from it! So hang onto whatever rights you have, and make sure they pass on to your heirs - this could be quite valuable to all of us!
We have just signed 2 leases for 2 different sections in Custer County. 33-12N-15W and Sec 1-15N-17W. We are 30 days out from pay day. To answer your question per my attorney there is a lot of action in these areas.
Would you mind sharing who offered you and what $/ac and royalty rate you received?
I understand the instinct to hold, especially if you believe future horizontal development is likely. Mineral rights can absolutely become more valuable over time.
That said, an offer is not proof that the buyer knows something certain. It usually means the buyer believes they can purchase the minerals at a price that gives them an acceptable return after taking on commodity price risk, title risk, timing risk, operator risk, and the risk that wells are delayed, underperform, or never get drilled.
The best question is not simply “should I sell or never sell?” The better question is: if you did not already own these minerals, would you write a check today to buy the same rights at the same price being offered?
If the answer is yes, then holding may make sense. If the answer is no, then selling at least part of the position may be rational.
Also, comparing current revenue checks to a purchase offer can be misleading. Buyers are usually not paying for today’s small checks alone; they are underwriting possible future development. But that future development is not guaranteed, and even when wells are drilled, the timing and economics can vary dramatically.
So I would not say “never sell.” I would say get educated, understand the acreage, spacing, operator activity, royalty burden, and realistic development timeline, then compare the offer to the risk-adjusted value of holding. Sometimes the right answer is to hold. Sometimes the right answer is to sell. Sometimes the best answer is to sell a portion and keep upside exposure.
Best regards.
1 Like
Section 33 leased for $1,000 acre 3 years at a 1/5 royalty, Township 15N leased for $1500 an acre at a 1/5 royalty for 3 years. Neither one of these leases had an option on them. I do not do options. Hope this helps you.
We have a lease with Anthem Arapaho. We had the same problem but we did eventually receive our bonus. The initial contact started in March of 2025. It was February 2026 before we had check in hand. The well just started producing this week so, fingers crossed. We’re in Section 22 14N 17W