Sell or Lease? Current Prices?

Hey there,

I am a complete stranger to all of this. That being said, my great uncle reached out to my dad to see what he should do with 500 acres in Williams County North Dakota. It is difficult to get info on the exact location, but I have been able to track it to 158N Township and a Range of 102 W. As for the section number I have no clue. The guy doesn’t have a computer and is difficult to get in contact with. He did say he has gotten several offer letters throughout the past few years, but threw them all away. My question is: Should he sell or lease? How much should I expect for each? I don’t want him to get lowballed. I will try to get the section number from him.

Thank you!

Julian

I have received several letters from companies wanting to buy my minerals. I usually get them just before permits are issued and have been offered as much as 6,000/acre, but I also through away the letters. My minerals are in R100 and Township 158N, and they are now drilling 5 wells there, and the way I figure it, I will get much more in the long run, than selling my minerals. In your case, I don’t know how the mineral acres your great uncle has or the situation regarding future heirs of the minerals, but I would not sell…just my 2 cents.

The section is going to be important. There are quite a few horizontal wells, so they are holding many of the sections by production. The Bakken is starting to heat up again. Any time someone offers to buy, they know something I don’t know and they are going to make a profit off the offer that I would rather have.

Thank you so much for your replies. So just to be clear I should tell him to lease them? What should he expect in regards to a lease? Does he get a % or do they pay him for it or both?