Reasonable signing bonus Magpie Unit Section 5, block 2

We have an offer of $2000/acre bonus plus 1/4 royalty in Section 5, block 2. One well is already producing and they already have permits for more. Other posts have mentioned bonuses in the $3000-$6,000/acre range. Would that be the range for our area?

You're in Section 5, Block 2, W&NW, Loving County? How many net mineral acres still open for lease?

J. M.,

You are definitely in the $3,000 to $6,000 range. Link to Production Data on an Apache well very close to Section 1.|2=02|3=2016|4=01|5=2017|103=47324|6=O|102=08|8=specificLease|204=district|9=dispDetails|10=0

Clint Liles

With that location and the amount of activity already on the section, there is significantly more on the table than $6k/ac. You might consider reaching out to the forum sponsors to see what the highest prices are that they've seen in that area. With the wells and permits on the property, you're very much in the driver's seat with the negotiations.

Best of luck!