that is the question.
Specifically we have 80 acres of minerals in Dewey county Oklahoma. The offers to buy are very attractive only since new drilling activity in the area presently at $4000/acre and going up. Lease bonus’ are at around $1200/acre now. Our lease in being drilled and is locked in at $250/acre. In 3 years these bonuses have gone up that much.
1) Is it a good business decision to sell when offers are so high?
2) Are the buyers interested in something other than simply royalty revenue?
3) Will there be an opportunity to re-lease our minerals at a different depth if this well starts producing? We have a depth clause in our lease.
4) What are the minerals worth after a well starts producing or doesn’t produce or is marginal?
5) What do the buyers know or want to do that we as mineral owners don't know or not know to do that makes the minerals worth so much more?
I have never known anyone to make as much $$ on producing royalties as when the offers to buy minerals were so high...hind sight type of thing. Maybe over a 20 or 30 year period but in a 4 or 5 year period never.