I am exploring my options in selling my mineral rights. I am a WI mineral owner on 7 wells. I’m not sure who to contact. Any advise would be appreciated.
Have you posted the minerals for sale in this sites marketplace? I think that would be a good first step. I think it's a poor time to sell but you have to do what you think benefits you most. Titan Resources / Bole Resources sent me a buy offer which I received yesterday for T-151N R-96W section 29 $3,667 per mineral acre. It is destined for the circular file.
Susan, that can be a complicated endeavor. Especially since I am assuming you are referring to "Working Interests" when you say WI. You may want to consider reaching out to one of the forum sponsors that assists mineral owners with these types of deals. The forum frowns upon commercial solicitation in the posts, but hopefully one of the sponsors can assist you.
http://marketplace.mineralrightsforum.com/ad-category/minerals-management-consultants/
Thank you, I appreciate your response. I agree that this is not the best time to sell but as I said I’m exploring my options.
Thank you for your response, I am a Working Interest owner, but my question wasn’t for the purpose of solicitation, just the opposite. I’m looking for education and advise. When I inherited these mineral interests I had no idea of the hours I would spend between contacting oil companies and monthly documenting of expenses for tax purposes.
Susan, you still have the right to lease the minerals, that would lift the paperwork burden largely off your shoulders and still provide for a potential future upside. You could also possibly sell your interests in these particular wells, together or separately retaining the mineral rights for future wells.
You might enter into a farmout agreement.
Have you contacted the operator/s of the wells to ask if they would be interested in leasing your interest? If the wells or mineral acres have a reasonable expectation of being profitable now or in the future, I think they would be interested, and so might others.
You might explore possibilities with a mineral manager.
Inheriting working interests when you're not familiar with the oil business can be like learning to swim at the olympics. There is a lot of information to digest and it is continuously changing. Are you the operator of the wells?
It is possible she inherited a leasehold interest in the properties, as opposed to a fee mineral interest that is participating in the wells.
Yes, possible and I have heard of such but generally in ND, these working interests come from people the operators couldn't find to lease or simply refused to lease for a lowball offer.
Actually, I inherited the mineral rights and chose to participate rather than lease. Initially the wells were a very good investment and good tax advantages. Now with the down turn in oil prices, I would be willing to ride it out, my JIB’s are not unreasonable. However, there are many outlandish costs and no explanations from the oil companies.
Thank you, that might be an avenue to explore.
Most logical and best scenario would seem to sell only the working interest percentage of your royalties and retain the royalty portion and certainly your mineral interests. Contact the operator to see if they want to purchase the share above the mineral interest. I don't know what state you are in but selling the WI part only would eliminate sharing in costs. I would be sending certified return receipt demand letters for break down and support on charges and go from there if it is a significanat amt. Let me know what happens. Interesting.
are these WIs making any money?
Yes
I’m in Williams County, No. Dakota. This is an interesting idea, I would like more information on my options in this scenario, who would I contact to either represent me or help me through the legal issues?
Operators will purchase but they don't usually pay much unless you have a lot of working interest. Best offers are going to be from private oil and gas companies investing in non-op working interest- you usually need a contact to get the best offer.
Please private msg me.