I have a relative who may be interested in selling mineral acres to me. They are leased at 1/8th via an OLD lease. There is a well spudded in January due to pay soon. If I were to purchase NOW who would get the new well payout of approximately 3 months of production? Would the owner relinquish all rights to anything not paid at the time the sale is finalized, or would they get paid for everything produced & sold up to the sale date? If THE original owner got the original production for the first 3 months, am I correct in stating that the value of the acres is reduced greatly due to the production reduction? Thanks for your help.
If you file a straight forward MD, your relative will get 3 months of checks. You can easily change that by using an effective date for the transfer of minerals dating back to before the well was drilled. All something youll have to work out with your relative