Offer was $600/nma with 5yr and a 3yr option 17% Any thoughts would be much appreciated.
What company? There’s a few in the area
OKREEK - don’t know much about them
Frankly, not a strong offer. There is not much activity in that Township/Range but for $600 an acre you are agreeing that no drilling must occur in the next 8 years. At minimum, I would negotiate for 20% royalty with a 3yr term; no option.
OKREEK is probably the broker arm doing all the leasing for either Edge Energy or Longs Peak Resources…
Thanks very much for the information.