Just received a call from Trailhead Exploration to buy my leased minerals. 5 net acres for 23,000. Make me wonder what’s up. Me and my family have 39 acres with 3/16th royality we all have equal shares. We all recieved the same offer.
Who did you lease to? They probably expect that operator to start drilling wells on your tract.
Rd Williams we are leased for 3 years. 3/16th Royaltie
I have been offered $900 acre for 9 Acres IN section 5-8S-3E and for 8 \acres in Section 8-8S-3E for a 3 year period with a 2 year option and royalty of 3/16. I don’t know if that is a good offer or not. Can someone help?
Drop the option or ask for twice the $ for the extra 2 yrs.
Thanks Todd…I’m new to this so any advice is appreciated.
What’d you wind up doing? Did you counteroffer?
First offers are usually low to what they will really go for. Also ask for the 1/5th and 1/4 offer. The terms of the lease are more important than the bonus. You will need to negotiate for better wording on many of the clauses as the current ones are in the operator favor.