Williams county,nd - how much are my mineral rights worth!? in the bakken

General Mineral Rights Discussion
1

HELLO,

I’M NEW TO THIS FORUM, SO HERE WE GO. MY GRAND MOTHER HAS MINERAL RIGHTS IN
WILLIAMS COUNTY ND, THEY ARE LEASED BY DIAMOND RESOURCES. TOTAL NET ACRES ARE 69.21,THAT LEASED FOR $200.00 A NET ACRE ,COULD'VE GOT MORE BUT I WAS'NT THERE TO NEGOTIATE FOR HER, SO SHE LEASED IT ANYWAY. SO NOW SHE WANTS TO SELL IT,BUT SHE HAS A DELEMA,IS SHE SELLING IT FOR ENOUGH MONEY,HER OFFERS ARE AS FOLLOWS:

$2000.00,$2250.00 AND $2500.00

SO, I TALKED TO A MAN (CEO) OF AN OPERATOR COMPANY ONE OF THE LARGEST IN THE
WILLISTON AREA AND ASKED THE FOLLOWING : IS $2500.00 ENOUGH AND HE SAID ABSOLUTELY NOT, SO I SAID, WHAT WOULD IT BE WORTH AND HE SAID I WOULD'NT TAKE A DIME LESS THEN $7000.00 TO $8000.00 A NET ACRE!!!

SO, HERE I AM, TRYING TO FIND OUT IF THAT IS GOOD, BETTER OR BEST.

PLEASE HELP, IT WOULD BE MOST APPRECIATED. I'LL ALSO GIVE THE LEGAL DESCRIPTIONS AS FALLOWS AND MY TELEPHONE NUMBER IF ANYONE WISHES TO TALK ABOUT THIS WITH ME .

All acreage has the same royalty of 17.5 or Seventeen and One Half.

Township: 155; Range: 97; Section's 4 net acre's: 2.32
 5 net acre's: 18.49
 31 net acre's: 5.40
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Total Net Acre's: 26.21Net


Township: 155; Range: 98; Section's 5 net acre's: 19.20
 8 net acre's: 24.00

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Total Net Acre's: 43.20 Net
Daimler B. Gross (310) 867-1317

2

I wouldn’t sell unless you absolutely have to. I know Continental Resources just applied for 1280 acre pooling so why not wait it out? It could be worth a lot more in future earnings than anyone can compensate you for now.

3

I was taught mineral rights should stay in the family and NEVER be sold! If she gets nothing from it then perhaps her kids or grandkids may. I have rights in Williams also and I would never sell.

4

I was taught the same lesson. However if the grandmother is insistent on selling and/or needs the money, perhaps some one else in the family could afford to buy them from her. It might be worth taking out a loan or paying over time. Be careful with selling price to family though, as the IRS can consider it a gift, subject to gift tax, if it is sold well under market price. It sounds like you have documented offers that could be used as proof of market price. Consult with a knowledgeable tax person should you decide to go that route.

Kevin said:

I was taught mineral rights should stay in the family and NEVER be sold! If she gets nothing from it then perhaps her kids or grandkids may. I have rights in Williams also and I would never sell.