Received offer to sell mineral rights in Section 22-13N-17W in Custer County. What kind of activity is taking place there?
I have minerals under Foss Reservoir and have been offered $3,700ac. I’m not interested in selling, but what have you been offered? Thanks -
Haven’t had a formal offer - just a fishing letter but it was between 4380-6380 dependent on royalty rate but ours are not currently producing
Thanks. I just leased nine so no production yet
There is a new “Cherokee” horizontal shale play developing in the area. Lots of buyers are trying to snap up acreage. Their offers are usually lowball to start out to see who will bite. Horizontal wells can do so much better than older vertical wells, so you can just sit back and see what develops or you can ask for more if you want to sell. There is active leasing in the sections around you that are not currently held by production.
1 Like
Thank you so much for the information!
$4,380-$6,380 seems a higher than I’ve seen. ~$3,700 seems to be about the range
Thank you. I thought they were fishing with the high offer to catch our interest. Thank you for the info!