Good afternoon! My Mom received a letter from a company that wants to purchase her mineral rights. She didn’t even know she had any rights. Apparently, her grandfather owned 13 acres and when he passed it was left to his 4 children and then when my grandmother died her portion went to her 3 children (one of them being my mother). So all in all I think my Mom’s interest equals just over acre, not much. And the company wants to pay $2000 per acre. What should we be thinking about before we sign this paperwork. We don’t even know what questions to ask? If we don’t sign does everyone else that holds interest in this acreage miss out on the deal? My understanding is that it is in production, gas, and the checks are really small and going to someone else in the family so there’s nothing in an escrow waiting for an owner. The buyers told her it would took 15+ years of production to make back the offer if she doesn’t sell. This is the only resource I’ve come across so far so anything helps!
Your mother, and other relatives, may have cash awaiting a probate in order to claim. An Oklahoma probate involving minerals only can be finished up quickly.
Thanks Richard! How’s your client load looking? Would you be willing to look at the information I’ve been able to dig up and let me know if you think I need your services?
What they aren’t telling you is that you have a horizontal well that is about to start paying and they are trying to get the acres away from you before you find that out so they can get the royalties instead. Nature Boy 1-28-21WXH. Surface hole in 28 and most of the well in 21. I have acreage in that section as well and have had offers far exceeding what they offered. You probably have money in suspense for the pooling that happened in November. If it were me, I would not sign any paperwork with them at all. I would get the title straightened out by filing the proper documents to get it passed to you and get those first few years of checks. Also, there is room for several more wells-which they also did not tell you. You may also need to claim your back pay from the person who got them in error.
You can sell for a much greater price than $2,000/acre, even with 1/8th royalty. Do research before
you decide to sell & tell your siblings & cousins the same thing.
3N-3W should have the Sycamore formation that should be worth more than $2000/acre.
124 township 3 s ranges 5-8 sorry new to this trying to help my dad. He was sent an offer I’ll have to get the paperwork again but do you know anything about this tract?
There are lots of offers out there. Just because you get one, doesn’t mean selling is the only option. Best to find out what is going on first. Many offers go out before the drilling rig arrives. Sometimes better to hang on. So let’s find out where you are first.
Find the paperwork, because those numbers don’t make sense yet.
Those numbers are not for just one tract. Sections are only numbered 1-36, so the first term may have a typo. 3S-5W, 6Ws, 7W, 8W is in Stephens, so check the paperwork again. Each township has a N or S number and each range has an E or W number. 5-8 might cover 24 miles, so we need to narrow it down a bit.
Hunt down the exact location and then we can help from there.