Valuing small and scattered mineral interests

How do you value very small mineral interests, 1-2 nma scattered through out several Oklahoma counties probably 20 for estate purposes. Some leased with or without royalties, some never leased. Have income records for several years on the package. Seems it would be very expensive and require lot work and time to have each property evaluated. Appreciate any input.

John: This depends entirely upon what purpose. If this is for a probate proceeding and the estate is solvent, a reasonable amount should suffice. If there is a tax issue a more rigorous analysis may be needed.

Agree with Rick. However, since you’ve posted, seeking an answer, I will weigh in. One method of determining value is for producing properties, 5 x annual income for 2019. Now, presently, in 2020, that might not really be accurate based on present properties. Another way to determine values is to see if there have been any mineral deeds executed in the same section, or township and range, perhaps. You can figure out the purchase price based on the documentary stamps on the deed. The tax is $1.50 a $1000. So, if someone paid $3.00 in doc stamps, you know they (supposedly ) paid $2000. If the mineral deed says it was for 5 acres, for example, then you know that the acreage in the same general area was $400/acre. Also, many mineral buyers will value non-producing acres at $150/acre. I’m not certain the exact purpose of the valuation, but I suspect with this small amount of acres spread over several sections, I would be surprised that if the valuation were wrong, it would be material, or it would be off by much.